Selection criteria for origination partners
The Green Guarantee Company will work with Origination Partners which have the following characteristics and capabilities:
Access to Institutional Investors in Global Credit and Capital Markets
Origination Partners need to either:
(1) Have in-house expertise, capability as well as the necessary regulatory approvals and licenses to market to and distribute Eligible Debt Instruments to Institutional Investors in Global Credit and Capital Markets; or
(2) Have access to a strategic partner who has the characteristics and capability described in (1).
Access to a pipeline of Eligible Climate Projects in ODA Countries
The Green Guarantee Company will rely on its Origination Partners to identify and introduce suitable guarantee opportunities and so access to a pipeline of Eligible Climate Projects in ODA Countries is of paramount importance.
All Origination Partners will go through a Know Your Customer screening process to ensure that there are no reputational risks identified.
Climate finance working groups
The Green Guarantee Company will establish in all target countries a working group which will include representatives from the national designated authority (“NDA”) and other relevant stakeholders in each of the NOL country (e.g. Capital Markets Authority) to identify priority climate transactions, to facilitate knowledge-sharing and capacity-building (e.g. lessons learned from successful and/or failed transactions sponsored by other developing countries in global credit and capital markets), and to support the development of local regulatory frameworks in local credit and capital markets by offering access to international best practice in global capital markets.
A list of stakeholders that are likely to be part of the country working groups are provided below.
| Institution | Non-exhaustive list of anticipated stakeholders |
|---|---|
| National government entities | Creating an enabling environment for the Green Guarantee Company through the development of policy and regulatory framework and take country ownership concerning the impact on meeting their Nationally Determined Contributions and SDG targets |
| Financiers, funders and investors | Financiers may include commercial banks, development finance institutions, multilateral finance institutions, other commercial debt financers and lenders and providers and credit enhancement instruments. |
| Local and district municipalities | To provide insights into climate-related needs specific to the region under its governance, and provide guidance on development projects in the region under its governance. |
| Civil society organisations, non-governmental organisations, etc.) | To provide a representation for citizens’ human and constitutional rights; and environmental rights, and enhanced oversight into the application of the applicable environmental, social and health safeguards. |
| Thematic or industry-related experts | To provide specific expertise and guidance on related areas (for example, a climate expert, a gender specialist or a multidisciplinary organization such as a big four consulting firm) |