Why Core Funding
Investing in UNCDF
While UNCDF has achieved tremendous success in the mobilization of non-core (earmarked) resources, the necessity of core (unearmarked) resources remains absolutely critical to the organization
Said simply, core resources are fundamental to positioning UNCDF to plan for strategic, integrated country presence in the world’s Least Developed Countries (LDCs) in order to bring a range of tools to help governments achieve their Agenda 2030 Commitments, as well for the implementation of the Doha Programme of Action (DPoA).
Core resources sustain our unique mandate and focus on the LDCs
UNCDF relies on core resources to position itself for strategic, integrated country presence in the world's Least Developed Countries (LDCs), where it can bring a variety of tools to assist governments in meeting their Agenda 2030 Commitments and implementing the Doha Programme of Action (DPoA).
More specifically, UNCDF's core funding supports three broad programmatic areas:
01
Piloting and Innovation
Core resources allow UNCDF to pilot and test innovative new models. UNCDF’s current core funding seeds the innovations that will be the flagship programmes of the future.
Learn More02
Transparency and Accountability
Core resources fund the organizational backbone, ensure the highest standards of transparency and accountability, enable rigorous monitoring and evaluation, assure retention of high-quality staff, and provide seed capital.
Learn More03
Country Presence
Core resources allow UNCDF to maintain on-going country presence. Our experience shows that we need 12-18 months to develop a new programme, secure government and stakeholder support.
Learn MoreCore Funding
Contributions to regular resources provide a foundation for UNCDF’s ability to innovate, ensure maximum presence in the LDCs and provide robust support to the UN system.
How Core Resources sustain our operations
When seen from the perspective of the organization's operational units, core funding is the most essential source of revenue to these units, which include the following:
Evaluation Unit
Day-to-day responsibility for evaluation in UNCDF lies with its Evaluation Unit, which reports directly to UNCDF's Executive Secretary and works according to multi-annual Evaluation Plans that are aligned with the Strategic Framework. Responsibilities include:
UN Quality Standards
Managing and conducting evaluations according to relevant UN quality standards.
Results Framework
Supporting the elaboration of well-defined results frameworks to facilitate the evaluation of programmes and activities.
Lessons Learned
Ensuring the dissemination of evaluation findings and lessons.
Management Responses and Recommendations
Tracking management responses and follow-up to agreed evaluation recommendations.
Capacity Building
Contributing to developing evaluation capacity within UNCDF and beyond.
Independence
Reports directly to UNCDF's Executive Secretary and works according to multi-annual Evaluation Plans aligned with the Strategic Framework.
Highlights and Achievements
100%
Implementation rate of agreed actions in evaluation management responses
100%
IEO External quality assessment rated satisfactory or above
100%
Unqualified Audits
IEO Award
IEO Excellence Award
UNCDF evaluations and management responses
All completed UNCDF evaluations and management responses are published and can be found in the links below. Completed UNCDF Evaluations
Evaluations Evaluation PolicyFinance and Management Services Unit
The Finance and Management Services unit works to enhance the institutional effectiveness of UNCDF through operational solutions, the development of management policies, prescriptive content, and the overall management of all operational, resource management and financial aspects of the organization.
The Finance and Management Services unit oversees:
Policy Adherence
Ensuring the accountability of the UN Capital Development Fund and its Executive Secretary.
Advisory and Transactional Services
Providing advisory and transactional services.
Core Functional Areas
- Accounts and finance.
- Human Resources.
- Procurement and
- Administration.
- Information Technology.
Highlights and Achievements
88%
Compliance with UN System-Wide Action Plan (UN-SWAP) on Gender
82%
Delivery against
approved budget
86.3%
Total expenditure
committed to LDCs
0
# of times accessed
operational reserves
Institutional effectiveness through operational solutions, resource management, and financial management of the organisation
The Finance and Management Services unit is responsible to steer the institutional effectiveness.
Integrated Results and Results MatrixPartnerships, Policy and Communications unit
The Partnerships, Policy and Communications unit leads on the interagency, donor and external relations for the organization, spanning several capacities:
Resource Mobilization
Mobilization of resources, including both core and non-core resources.
Partnerships Developement
Development of partnerships, as well as productive ties with both internal and external donors.
UN Development System
Engagement with other UN agencies in the United Nations system.
International Agenda
Harmonization and alignment of UNCDF priorities with the International Agenda.
Advocacy and Communications
Strategic advocacy and communications.
Investment Finance
Creation of new innovative finance vehicles and instruments.
Highlights and Achievements
$14.7 Million
Core resources mobilized
$75 Million
Non-core resources mobilized
DPoA
Active participation in the formulation of the Doha Programme of Action
260,923
People engaged on our social media platforms
Through its partnerships, UNCDF is expanding its role as the United Nations' premier catalytic finance vehicle for the LDCs
to include strengthening financing mechanisms and systems for structural transformation.
Why Invest in UNCDF? What does UNCDF offer?Programme Management Support Unit
The Programme Management Support Unit provides direct, daily support to the organization through a variety of key functions:
Results Based Management
Develop harmonized and agreed upon joint indicators and targets with UNDP.
Transparency
Facilitation of knowledge building and knowledge sharing, and existing platform deployment and maintainance.
Enterprise Resource Planning
Maintaining Power Platforms Applications, deploying automatic tools, ERP and provide support.
Highlights and Achievements
69%
Expenditures with a significant gender component
Transparency
Transparency Portal features data from ERP
Quantum
New cloud-based digital enterprise resource planning (ERP)
The Programme Management Support unit delivers management support to operations and programmes
The Programme Management Support Unit provides direct and daily support to the organization through a variety of key functions.
Transparency Portal Entreprise Resource PlanningOur Work
The ability of UNCDF to keep a permanent presence in countries, carry on with its work, and develop new solutions is contingent on the availability of core resources
How Core Resources sustain our work
From the standpoint of the organization's activities, core funding is the most crucial source of income needed to maintain operations and create innovative work
Financial Innovation
Least Developed Countries Investment Platform
On Balance Sheet
UNCDF manages the loans and guarantees portfolio on its balance sheet (e.g. BRIDGE Facility)
Meeting UN demands
UNCDF issues revolving financial instruments (loans and guarantees) to meet demand for collaboration with other UN agencies
Strong Partnerships
As a center of excellence on innovative development finance works with many development partners like Luxembourg, NORAD, GAC, SDC, NDF, US Development Finance Corporation, Sida, SDC, the Netherlands, Rabobank Foundation, EU (EFSD+)
Highlights and Achievements
$59 Million
First loss liquidity capitalization and joint guarantee
$12.5 Million
BUILDER Technical Assistance Facility and Investment Advisory initiative
$4.2 Million
Grants and Invesments
€ 154 Million
EFSD+ Re-guarantee Scheme
How We Use Core Funding
How Core Funding supports Financial Innovation
$7,500,000
Core Funding
UNCDF allocated $7.5 million in core funding to sustain its financial innovation activities.
$85,000,000
Mobilized Resources
As of 2022, UNCDF has been able to mobilize $85 million with $7.5 million in core funding.
$15,000,000
Future Resources Committed
UNCDF has secured $15 million in future commitments to continue its work on financial innovation.
UNCDF builds a culture that leverages innovation
To realize its vision and Strategic Framework, UNCDF builds a culture that leverages digital and other types of innovation and encourages integrated approaches that are responsive to the priorities and opportunities of the LDCs.
Climate Finance
Local Climate Adaptive Living Facility (LoCAL) and Climate Disaster Risk Insurance
Early Support
Early support with core funding allows UNCDF to invest in new areas and expand programmes to become global.
Seed Funding
Seed Funding enables an UNCDF to support early-stage ventures to finance its first steps, and to take a vision from idea to reality.
Global Reach
UNCDF has a track record that donors trust and allows it to expand programmes beyond its initial stage with strong partners (e.g. European Union, Sweden, Green Climate Fund, the Adaptation Fund, New Zealand, Australia, India, UN Development Partnership Fund, and Luxembourg)
Highlights and Achievements
$185 Million
Pipeline of $185 million from Green Climate Fund
Scaling-Up
A significant global expansion that will include up to 11 additional countries
14 Countries
Direct access to the Green Climate Fund and the Adaptation Fund
Non-Core
Funding from Australia, New Zealand, India, UN Development Partnership Fund, and Luxembourg
How We Use Core Funding
How Core Funding supports Climate Finance
$2,150,000
Core Funding
UNCDF allocated $2 million in core funding to support our climate finance activities.
$167,400,000
Mobilized Resources
As of 2022, UNCDF has been able to mobilize $167 million with $2 million in core funding.
$12,700,000
Future Resources Committed
A pipeline of projects has produced $12.7 million in future commitments.
UNCDF directs climate finance for effective adaptation and resilience-building at subnational level
UNCDF provides a standard and internationally recognized country-based mechanism to channel climate finance to local government authorities in LDCs, contributing to countries’ implementation and achievement of the Paris Agreement commitments.
Clean Energy Finance
Increasing resilience in LDCs by supporting an energy transition agenda that emphasizes decentralized, renewable and clean energy projects and products that drive green growth
Off Balance Sheet
An investment component to improving the energy access market through off-balance sheet investments.
Value Chain
UNCDF promotes access to finance across energy value chains, from customer to enterprise to larger investments.
Strategic Partnerships
Global Off-Grid Lighting Association and Clean Cooking Alliance support the strengthening of decentralized energy markets.
Highlights and Achievements
1 - 58
Achieved a ratio of 1 to 58, with funding secured from 8 donors on non-core
9.5 Million
Outreach of 9.5 million individuals accessing energy solutions by the end of 2022 (380% over target)
70 SMEs
Supported the growth of 70+ Energy Service providers, and expanded ten fold their balance sheet
$33.2 Million
A hard-pipeline of $3.2 million, and a soft pipeline of $30 million in 2023
How We Use Core Funding
How Core Funding supports an energy transition agenda with decentralized, renewable and clean energy finance
$618,000
Core Funding
UNCDF allocated $618K in core funding to support its climate energy finance work.
$35,918,000
Mobilized Resources
As of 2022, UNCDF has been able to mobilize $36 million with $618K in core funding.
$3,200,000
Future Resources Committed
A pipeline of projects has produced $3.2 million in future commitments.
UNCDF helps fill the energy SME financing gap through use of its financial instruments
UNCDF increases resilience in LDCs by supporting an energy transition agenda that emphasizes decentralized, renewable and clean energy projects and products that drive green growth. Net-zero emissions energy solutions that expand energy access and value addition are key elements of this approach.
Inclusive Digital Economies
An inclusive market development approach that includes migrants, refugees, women, SMEs, and supports policymakers.
Expert Technical Advice
UNCDF engages at the country level to meet market and stakeholder needs.
Customer Centric
UNCDF relies on customer-centred research and design with the market players to ensure that our interventions is fit for purpose.
De-Risking
UNCDF positions itself as an early-stage investor to de-risk opportunities that can be scaled up by institutional financial partners at a later stage.
Highlights and Achievements
35+
Cooperating with central banks and private sector in 35+ countries
13
Financial health and resilience services for migrants and beneficiaries
35+
Civil society representatives advocating for women’s digital financial inclusion
26
Tools developed in support of inclusive policy reforms
How We Use Core Funding
How Core Funding supports remittances and digital economy development
$810,000
Core Funding
UNCDF allocated $810K in core funding to support its inclusive digital economies work through remittances, policy and advocacy work.
$34,400,000
Mobilized Resources
As of 2022, UNCDF has been able to mobilize $34 million with $810K in core funding.
$21,000,000
Future Resources Committed
A pipeline of projects has produced $21 million in future commitments.
UNCDF aims to equip people to use innovative digital services in their daily lives that will empower them
UNCDF promotes digital economies that leave no one behind. It aims to equip people to use innovative digital services in their daily lives that will empower them and contribute to achieving the Sustainable Development Goals.
The more than 1.08 billion people who live in LDCs face challenges ranging from their informal, undiversified economies to climate change and the global coronavirus disease (COVID-19) pandemic
These countries need capital to invest in infrastructure and human development to build institutions, establish market systems, support entrepreneurship, harness the potential of youth and achieve basic standards of living for all.
Why Invest in UNCDF?
Investing in UNCDF means meeting the demand for innovative financing solutions, expanding presence to all 46 LDCs in this Decade of Action, ensuring stronger (senior) representation on UN Country Teams for strategic financing expertise, and expanding UNCDF's cutting-edge expertise on emerging finance models that can work for the LDCs.
Why invest in UNCDF? What does UNCDF offer?Core Funding Contributions
The UN Capital Development Fund is committed to being transparent about how core contributions are used and how they benefit communities around the world.
Our partners can feel confident that their contributions are used responsibly and effectively because we have developed rigorous standards for accountability and transparency. Our website provides information about our programmes and how we use these funds.
UN flagship catalytic financing entity for the LDCs
UNCDF expands its role as the United Nations flagship catalytic financing entity for the LDCs to include strengthening financing mechanisms and systems for structural transformation.
Deliver more support for the LDCs through the UN
UNCDF combines its Sustainable Development Goal financing capabilities, instruments and sector expertise with the wider development and operational capacities of the United Nations development system to deliver more comprehensive and impactful support for the LDCs.
Build partnerships with private and public actors
UNCDF continues to build partnerships with private and public actors to achieve greater results and development impact and unlock additional resources.
Please direct your enquiries to our team
Our team of professionals and specialists can address your questions and provide detailed information about the organization
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