The GGF’s investments are guided by an impact agenda that stipulates not only the fund’s goals but also the specific eligibility criteria for its investments. These include achieving CO2 emissions reductions or energy savings of at least 20%, as well as complying with the GGF exclusion list. The fund's agenda is increasingly aligned with the European Union's Taxonomy for Sustainable Finance. From the outset, the fund adheres to its Environmental and Social (E&S) Policy, which is aligned with international best practice and defines the fund’s commitments to managing E&S risks and impacts associated with its investments.
Accurately monitoring the fund’s impact is of great importance to the transparency and integrity of the GGF. It helps keep track of how well the fund is progressing towards its goals and provides insights and learnings which inform the GGF’s strategy. To monitor its environmental impact, the fund employs an online tool, eSave, specifically designed for financial institutions. Depending on the scale and nature of the project, specialized consultants are also engaged to assess the potential positive environmental impact. Impact management is therefore integrated into every step of the investment and Technical Assistance (TA) cycle.
For more details on how GGF works towards its impact targets, refer to the Theory of Change, which summarizes the fund's impact logic and builds the foundation for its impact measurement and management system.