Grant

 

Any solution that invovles the allocation of a grant. This includes private donations and Official Development Assistance. The financing solutions that encompass a grant element are listed below.

Climate credit mechanisms

Market mechanisms that enable entities, for which the cost of reducing emissions is high, to pay low-cost emitters for carbon credits that they can use to meet emission-reduction obligations.

Crowdfunding

Approach for projects, organizations, entrepreneurs, and startups to raise money for their causes from multiple individual donors or investors.

Debt for nature swaps

Agreement that reduces a developing country’s debt stock or service in exchange for a commitment to protect nature.

Enterprise challenge funds

Funding instrument that distributes grants (or concessional finance) to profit-seeking projects on a competitive basis.

Environmental trust funds

Legal entity and investment vehicle to help mobilizing, blending, and overseeing the collection and allocation of financial resources for environmental purposes.

Lotteries

Governments and civil society use lotteries to raise funds for benevolent purposes such as education, health, and nature conservation.

Social and development impact bonds (Results-Based Financing)

A public-private partnership that allows private (impact) investors to upfront capital for public projects that deliver social and environmental outcomes in exchange for a financial interest.

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