Strengthening the National Designated Authority, Candidate Direct Access Entity, National Programming Process and Development of Strategic Frameworks for Low-Carbon Development in Paraguay

The document outlines a readiness and preparatory support proposal for Paraguay, implemented by the Global Green Growth Institute (GGGI). It addresses four primary barriers: limited coordination and monitoring of climate finance, the absence of a National Direct Access Entity, a lack of standardized green investment definitions, and insufficient climate integration in long-term development planning. Key interventions include training the Ministry of Economy and Finance (MEF) in its role as the National Designated Authority (NDA), updating the GCF Country Programme and No-Objection Procedure, and supporting the AFD's GCF accreditation. Additionally, the project aims to pilot a Green Taxonomy, develop a Green Job Strategy, and establish a climate finance MRV platform to track domestic and international flows. The proposal emphasizes gender equality and social inclusion (GESI), targeting 50% women's participation in events and integrating GESI-disaggregated indicators into national planning.

• Paraguay's energy sector has seen a 222.07% increase in emissions since 1990, primarily driven by rising fossil fuel consumption from an expanding vehicle fleet.
• Extreme weather events cause significant economic damage to Paraguay's agricultural sector, with annual losses estimated at USD 237 million, and peak losses exceeding USD 1 billion, as occurred during the 2011 soybean losses.
• The Ministry of Economy and Finance (MEF) was appointed as the National Designated Authority (NDA) to the GCF in 2024, but currently lacks dedicated personnel and institutional expertise to manage GCF activities.
• Paraguay currently lacks a National Direct Access Entity, meaning all GCF resources have been channeled through international organizations and multilateral development banks.
• The Agencia Financiera de Desarrollo (AFD) is the prioritized candidate for GCF accreditation, having completed Stage I and gained access to the Digital Accreditation Platform on November 18, 2024.
• The government is developing a Green Taxonomy to provide a classification system for environmentally sustainable economic activities, aiming to reduce greenwashing risks and attract investment.
• The National Development Plan (PND) 2030 does not explicitly prioritize climate change, leading the MEF to seek support for integrating climate-related indicators and a Green Job Strategy into the upcoming PND 2050.
• Paraguay estimates it received approximately USD 181 million in climate finance between 2019 and 2021, which represents about 0.4% of its GDP.
• Gender inequality remains high in Paraguay, with women participating in the labor force at a rate of 59.5% compared to 82.4% for men, and spending 3.4 times more time on unpaid domestic and care work.

APA

Green Climate Fund (2025). Strengthening the National Designated Authority, Candidate Direct Access Entity, National Programming Process and Development of Strategic Frameworks for Low-Carbon Development in Paraguay. https://www.greenclimate.fund/sites/default/files/document/20250315-gcf-apprvd-rdnss-prsl-paraguay-gggi-pry008.pdf

Chicago

Green Climate Fund. Strengthening the National Designated Authority, Candidate Direct Access Entity, National Programming Process and Development of Strategic Frameworks for Low-Carbon Development in Paraguay. 2025. https://www.greenclimate.fund/sites/default/files/document/20250315-gcf-apprvd-rdnss-prsl-paraguay-gggi-pry008.pdf.

Wikipedia

{{cite report |author=Green Climate Fund |title=Strengthening the National Designated Authority, Candidate Direct Access Entity, National Programming Process and Development of Strategic Frameworks for Low-Carbon Development in Paraguay |date=5 March 2025 |url=https://www.greenclimate.fund/sites/default/files/document/20250315-gcf-apprvd-rdnss-prsl-paraguay-gggi-pry008.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{greenclimatefund2025strengthening, author = {{Green Climate Fund}}, title = {{Strengthening the National Designated Authority, Candidate Direct Access Entity, National Programming Process and Development of Strategic Frameworks for Low-Carbon Development in Paraguay}}, institution = {Green Climate Fund}, year = {2025}, month = mar, url = {https://www.greenclimate.fund/sites/default/files/document/20250315-gcf-apprvd-rdnss-prsl-paraguay-gggi-pry008.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }