Urban Financing Partnership Facility
What is Urban Financing Partnership Facility?
The facility was established in November 2009 for investment co-financing and technical assistance for urban environment infrastructure that benefits the poor. It is comprised of the following:
- Urban Climate Change Resilience Trust Fund (Multi-Partner Trust Fund)
- Urban Environmental Infrastructure Fund (Single-Partner Trust Fund)
- Cities Development Initiative for Asia (Multi-Partner Trust Fund)
- ASEAN Australia Smart Cities Trust Fund (Single-Partner Trust Fund)
The aim of the facility is to raise and utilize development partner funds for investment co-financing in urban environmental infrastructure projects and support a wide range of technical assistance to help lay the groundwork for such projects.
What are the priorities?
The facility prioritizes investments in climate change mitigation and adaptation of urban infrastructure projects by local governments and cities that benefit the poor.
What kind of activities will be financed from the facility?
The facility supports public transport, water supply and sanitation, solid waste management and urban renewal projects that are inclusive and benefit the poor, and are environmentally sustainable. It provides:
- technical assistance for building DMC/local government/utility capacity for (a) pre-feasibility assessments and project structuring (b) project implementation, (c) guarantees utilization;
- early-stage investment or viability gap financing; and
- guarantees to help build a pipeline of pro-poor bankable urban environmental projects that are able to borrow cost effectively from domestic markets and stimulate long-term investment interest from mainstream investors.