Which of the statements regarding ‘Green Climate Fund’ is/are correct?

1. It is intended to assist developing countries in adaptation and mitigation practices to counter climate change.
2. It is founded under the aegis of UNEP, OECD, Asian Development Bank and World Bank

Select the correct answer using the code given below:

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Explanation

Statement 1 is correct and statement 2 is incorrect

• The Green Climate Fund (GCF) has been designated as an operating entity of the financial mechanism under the United Nations Framework Convention on Climate Change. The decision to establish the fund was taken at COP 16 Cancun, and it was subsequently operationalised at COP 17 Durban. The GCF is headquartered in Songdo Incheon.
• It functions as a key mechanism to channel financial resources from developed to developing countries, supporting them in both mitigation and adaptation efforts to address climate change. The GCF is also envisaged as the central pillar in mobilising climate finance, with the broader goal of raising $100 billion annually to assist developing nations.

Answer: (a) 1 only; Difficulty Level: Hard