Seed Capital Assistance Facility III (SCAF 3)

The financing of projects to reduce CO2 emissions in newly industrialising and developing countries by private investors is very difficult. On the one hand, high risks deter private investors. On the other hand, high premiums on loans on the international capital market make project development more difficult. As a multi-donor trust fund, SCAF 3 improves the financing of projects in the development phase in order to enable the use of climate-friendly technologies. It thus contributes to sustainable low-carbon development, economic growth, poverty reduction and climate change mitigation. The scope of the funding ranges from financial support for feasibility studies and business plans to qualification measures on environmental, social and gender-related aspects and co-financing of approval procedures or due diligence reviews. The current geographical focus is on Asia and Africa.