Selected from a global pool of submissions coming from over 100 countries, North Macedonia’s joint programme for establishing a Green Financing Facility (GFF) was among a total of ten programmes considered as the most impactful, with greatest co-financing leverage and investment-ready by the Joint SDG Fund.

To accelerate the usage of renewable energy and energy efficiency solutions, IOM together with EBRD, UNDP, UNECE and the Government of North Macedonia have launched a joint programme, “Green Finance Facility to Improve Air Quality and Combat Climate Change in North Macedonia” supporting the transformation and making a positive difference. The target groups that will benefit from this facility include, SMEs, female-headed households, single-parents, households with PWD, Roma households, employees who were affected by COVID-19, remittance recipients and returning migrants.

This innovative approach accelerates the widespread adoption of energy efficiency and renewable energy solutions. Namely, in collaboration with eight local banks, a new loans scheme has been designed for investments in clean energy. Additionally, those who would invest in environment friendly solutions will receive incentive of 30% of the loan amount.

With this project, and for the first time, the returnees and remittance recipients are getting the possibility to invest in renewable energy and energy efficiency solutions. Remittances comprise a significant part of the national GDP. Special attention is given to women, in particular the most vulnerable such as female-headed households and single-female parents that will be also targeted with incentives for investment in clean energy.

The $7.9 million received from the Joint SDG Fund will help the establishment of the programme worth a combined $46.5M, including the anticipated co-funding coming from the partners involved.

Furthermore, enabling access to affordable financing for renewable energy and energy efficiency solutions will contribute to advancements towards SDGs 7 and 13.

The new Green Financing Facility (GFF) will be launched in the summer 2022 and is expected to become fully operational by the end of the year.