UNCDF works foremost in Least Developed Countries, with a broader focus on Small Island Developing States and fragile settings where risk is highest and capital is most constrained. This focus is aligned with the Compromiso de Sevilla, which recognizes UNCDF’s role as an early-stage provider of catalytic concessional first loss capital to derisk investments in Least Developed Countries and countries in special situations.

Least Developed Countries (LDCs)

LDCs are defined by the United Nations as low-income countries facing severe structural impediments to sustainable development. This classification is based on three criteria: gross national income per capita, human assets, and economic and environmental vulnerability. The official designation and list of LDCs are determined by the United Nations Committee for Development Policy and published by the UN Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States. The LDC list is formally reviewed and updated every three years, following the triennial review process.

Official source: https://www.un.org/ohrlls/content/list-ldcs

Small Island Developing States (SIDS)

SIDS are a distinct group of developing island countries recognized by the United Nations as facing unique sustainable development challenges related to their small size, geographic isolation, narrow economic base, and heightened vulnerability to external shocks, including climate change and natural disasters. The official list of SIDS is maintained by UN-OHRLLS and reflects membership recognized by the UN General Assembly. While there is no fixed review cycle, the SIDS list is updated on an as-needed basis to reflect changes in country status or UN membership.

Official source: https://www.un.org/ohrlls/content/list-sids 

Fragile and Conflict-Affected Situations (FCS) 

FCS are identified by the World Bank as countries or territories experiencing high levels of institutional and social fragility and/or active conflict. This classification is used operationally by the World Bank Group to guide strategic engagement and resource allocation and is based on a combination of policy and institutional performance indicators, conflict intensity, and qualitative assessments. The World Bank publishes an updated FCS classification annually, typically aligned with the World Bank fiscal year.

Official source: https://www.worldbank.org/en/topic/fragilityconflictviolence/brief/classification-of-fragile-and-conflict-affected-situations

Visit our country pages