UNCDF has been present in Tanzania since 1982, promoting local economic development and financial inclusion, and enhancing local government alternative sources of funds to finance local infrastructure.
Today, UNCDF offers “last mile” finance models that unlock public and private resources, especially at the domestic level, to reduce poverty and support local economic development.
Through financial inclusion, UNCDF is implementing CleanStart programme is supporting clean energy policy development and providing risk capital and technical assistance to competitively selected financial service providers and energy enterprises on a regional or national levels.
Through local development finance, UNCDF is implementing Local Finance Initiative (LFI), bridging the gap between local infrastructure needs and available funds. Additionally, Local Climate Adaptive Living (LoCAL) helps governments channel global climate adaptation financing to the local level, to cope with increased cost of building resilience against climate change and natural disasters.
In Tanzania, rapid urbanization has incentivized UNCDF to pilot its Municipal Investment Finance (MIF) programme and to develop financing instruments that diversify and aggregate municipalities’ financial base.