The UK Government has announced an additional GBP40 million (US$54 million) to extend the Climate Finance Accelerator (CFA) programme for another five years till 2029 to support at least 800 low carbon projects in 16 countries across Asia, Latin America, and Africa, including Vietnam.
Vietnam is promoting afforestation projects to support climate action against climate change impacts
Emily Hamblin, British consul general in Ho Chi Minh City, made the announcement at a review meeting of the CFA programme, phase 2, in Ho Chi Minh City on May 22.
According to the diplomat, the CFA is an important initiative of the UK government to support Vietnam in fulfilling its climate commitment delivered at the 26th UN Climate Change Conference (COP26) in Scotland in 2021. The programme not only helps Vietnam meet its energy transition goals but also spurs sustainable development through low carbon projects.
In phase 2 starting from August 2023, Hamblin said, the CFA selected 12 projects for implementation, three more than phase 1. She expressed her joy at the positive results recorded in phase 1, and believed that new projects would continue to receive support from investors.
Phase 2 projects will be focused on supporting capacity building in finance, technology, gender equality and social inclusion.
The UK is one of Vietnam’s major partners in the Just Energy Transition Partnership (JETP) program aiming to mobilize US$15.5 billion to support the Southeast Asian nation’s energy transition.
The Climate Finance Accelerator is a GBP12.6 million technical assistance programme funded by International Climate Finance (ICF), through the UK Government’s Department for Energy Security and Net Zero (DESNZ).
It is part of the UK’s efforts to support climate action at scale by providing practical ways to help governments in emerging economies finance and deliver their climate commitments under the Paris Agreement, including their national climate plans and Nationally Determined Contributions (NDCs). The programme has initially operated in ten countries, namely Colombia, Egypt, Mexico, Nigeria, Pakistan, Peru, South Africa, Turkey, Uganda, and Vietnam.