NDF - Financing for climate change and development projects

NDF Board approves new strategy

Illustration: Rebekka Gröhn
NDF’s mandate is the core foundation of the fund and reflects the priorities of the Nordic countries. The strategy will guide NDF’s path from the mandate to the fulfilment of its purpose. The principles of engagement, which are derived from NDF’s core components of added value, will steer and guide how NDF engages in its operations. The three strategic pathways will describe the main avenues of activities that support NDF in achieving its purpose.

The new strategy will focus on strong Nordic leadership in addressing climate change and development challenges

NDF Strategy 2025

The new strategy defines NDF’s purpose to advance Nordic leadership in addressing climate change and development challenges through financing, knowledge and partnerships. Together with its strategic partners, NDF will develop, launch and scale high-impact projects to support developing countries and the most vulnerable people affected by climate change.
NDF Strategy 2025 builds on past experience and lessons learned and is structured to further sharpen the strategic focus and NDF’s unique position as the joint, and only, Nordic climate and development finance institution focused on Nordic priorities. This strategy will entail increased focus on adaptation financing and accelerating progress in gender equality. More financing will be targeted towards Africa, and special efforts will be made to further engage in the least developed countries and countries in fragile situations. NDF will use financing instruments flexibly and provide catalytic financing for both the public and private sectors for climate and development impact.
The strategy process commenced in 2019 after an external evaluation of NDF’s activities had confirmed that NDF has developed an important niche in the global climate financing landscape. “The recommendations coming out from the evaluation formed the basis to launch a strategy process to fine-tune the strategic orientation of the fund,” states Lars Roth, Chairman of NDF’s Board of Directors. “NDF has delivered more than what you can expect given its relative size in terms of staff and its financial resources,” says Roth. “Recognising the important role of the private sector in achieving the goals of the Paris agreement and in implementing Agenda 2030, the new strategy further highlights NDF’s role as an innovative financier, in providing much needed early-stage financing and de-risking in private sector climate projects. It further strengthens NDF’s focus on achieving positive co-benefits within the nexus between climate change, biodiversity and oceans. With the outbreak of COVID-19, the interlinkages between people, planet and prosperity have never been clearer and NDF can play an important role in the green recovery in developing countries that now has to take place.”
As the Chairman of the Board, Roth has had a leading role in knitting together all the different aspects for the new strategy. “It has been encouraging and rewarding to see how engaged everyone has been. We have really worked together for a common goal,” he continues. “I want to thank the whole NDF administration and the Board members for the inclusive engagement during the whole process.”
Karin Isaksson, Managing Director of NDF, looks forward to taking on the new opportunities arising from the strategy. “Over the past ten years, NDF has built a track record of adding value to climate financing with its extensive network of strategic partners. The new strategy builds on this experience and is a strong base when working towards the fulfilment of our purpose,” she says. “I am really proud that I have such a committed and motivated staff who are anxious to start implementing the new strategy together with our partners.”