The Forest Investment Programme (FIP), is a targeted programme underthe Strategic Climate Fund (SCF) of the Climate Investment Fund (CIF).The FIP aims to finance country specific efforts to address the underlying causes of deforestation and forest degradation and to overcome barriers that have hindered past efforts to do so.
Ghana was among eight (8) countries in the world selected as a pilot country for the FIP in March 2010. Each pilot country had to develop a Forest Investment Plan for the approval of the Climate Investment Fund Subcommittee. Ghana prepared its Investment Plan together with stakeholders and was approved by the CIF subcommittee in November 2012.
The Investment Plan outlined three (3) projects and secured a total funding of 50 Million Dollars from the SCF which is being disbursed through Multilateral Development Banks (World Bank, African Development Bank and International Finance Cooperation). The African Development Bank also gave a grant worth 5Million Dollars to support the project 2 of the GFIP.
The aim of the Forest Investment Plan (FIP) for Ghana is to address the underlying drivers of deforestation and catalyse transformational change by providing upfront investment to support the implementation of the REDD+ strategy, and generate information and experience for policy and regulatory changes, with the ultimate aim of reducing the emissions of GHG within the LULUCF sector in Ghana.
The GFIP is being implemented in the High Forest Zone of Ghana covering the Western and the Brong-Ahafo Regions The three projects under the Investment Plan are;
I. Project 1 (Enhancing Natural Forest and Agro-Forest Landscape Project- ENFALP) – USD 30M
ii. Project 2 (Engaging Local Communities inREDD+/Enhancing carbon Stock –ELCIR+) – USD15M
iii. Project 3 (Engaging the private sector inREDD+) – USD 10M- This project was later discontinued by IFC because the private sector could not meet the fiduciary requirements of the bank. However, the total allocated budget has been taken up by the Government of Ghana as concessional loan for private sector investment in plantations.
Along the FIP funding is the Dedicated Grant Mechanism (DGM) of 5Miilion Dollars from the World Bank which seeks to build capacity of FIP projects communities to effectively engage in the FIP process. GFIP-Project-Highlight-2018.pdf
Read more on https://mlnrgfip.com/