International Development Grant

Canadian Climate Fund for the Private Sector in Asia - II

Project Number: CA-3-D003984001

Status: Operational

Country/Region: Unknown

Regional Focus:

Asia 95%
Oceania 5%

Maximum Contribution: $200,000,000.00

Start Date: March 27, 2017

End Date: September 27, 2044

Duration: 27.5 years

Project Description

This initiative is the second phase of the Canadian Climate Fund for the Private Sector in Asia. It aims to catalyze greater private sector investment in climate change mitigation and adaption projects in low and lower middle income Asian and Pacific countries and upper middle income small island developing states in the region. The Fund provides concessional financing alongside Asian Development Bank resources to private sector projects that require more generous terms to be viable. The Fund invests in private sector led activities that support countries’ efforts to pursue a low-carbon and climate-resilient development path for the region. This includes activities related to water supply and management agriculture and forestry land use management natural resource management resilient infrastructure coastal protection disaster risk management clean and renewable energy sustainable transport and waste management. Projects supported by the Fund also contribute to increased gender-responsive economic development in eligible countries and integrate gender equality outputs. Over the life of the Fund Canada's contribution is expected to leverage up to two times its amount in private sector investment help reduce or avoid greenhouse gas emissions of up to 20 million tonnes and support up to 100 000 beneficiaries to adapt to the effects of climate change.

Expected Results

The expected outcomes for this project include: (1) reduced use and production of carbon by firms and individuals in project countries; (2) increased adoption of climate-resilient and adaptive practices by key stakeholders in project countries; and (3) enhanced economic participation of women in climate mitigation and adaptation activities.

Progress & Results Achieved

Results achieved as of December 2023 include: (1) allocated US$109 million in concessional loans. This is done through 9 different private sector led projects that advance sustainable and inclusive low-carbon and climate-resilient pathways in developing Indo-Pacific countries; (2) will reduce greenhouse gas emissions by around 34 million tons over the fund`s lifetime equivalent to removing over 8 million cars yearly; (3) will generate over 3 600 gigawatts of renewable energy each year through solar wind or hydropower sources; (4) will install over 1 180 megawatts of renewable energy; and (5) increased gender equality and women’s empowerment in 90% of all funded projects. This is done through initiatives helping to create jobs providing training promoting gender-responsive workplaces and corporate policies (e.g. anti-sexual exploitation abuse and harassment policies) gender-inclusive procurement and support for local women’s entrepreneurship. Since the beginning of this fund to date Canada’s Concessional financing has contributed to several landmark climate projects in the Indo-Pacific region. This includes the first privately developed utility scale solar projects in Afghanistan Indonesia and Uzbekistan. It has also supported Southeast Asia’s first and largest large scale floating solar project in Vietnam Southeast Asia’s largest cross border wind power plant in the Lao People’s Democratic Republic (providing power to neighbouring Vietnam) and Nepal`s first private sector-led hydropower project.

Key Information

Executing Agency:
ASIAN DEVELOPMENT BANK (AsDB)

Reporting Organization:
Global Affairs Canada

Program:
YFMInternaAssistPartnershp&Programing Br

Last Modified:
September 19, 2025

Development Classifications

DAC Sector:

Energy generation renewable sources - multiple technologies 20%
Solar energy 20%
Wind energy 20%
Geothermal energy 20%
Biofuel-fired power plants 20%

Aid Type: Contributions to specific-purpose programmes and funds managed by implementing partners

Collaboration: Bilateral

Finance Type: Reimbursable grant

Selection Mechanism:
Department-Initiated

Policy Markers
Level 1 Gender equality
Level 2 Environmental sustainability (cross-cutting)
Level 2 Climate change mitigation
Level 1 Climate Change Adaptation
Major Funding (>$1M)
Budget Breakdown
2016-04-01 to 2017-03-31 $200,000,000 CAD
Geographic Information
500
Project Number: CA-3-D003984001