Q. Consider the following statements regarding “Climate Investment Funds (CIFs)”:
1. World Bank is the trustee of CIFs.
2. They were designed by developed Countries only.
Which of the statements given above is/are correct?

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: A
Notes:

The Climate Investment Funds (CIFs) are implemented by the Multilateral Development Banks (MDBs) to bridge the financing and learning gap between international climate change agreements.  

  • They were designed by developed and developing countries. The World Bank is the Trustee of the CIFs.  
  • It includes a “sunset clause” to ensure that the Fund’s activities do not prejudice the outcome on the UNFCCC negotiations.  

CIFs are two distinct funds  

  • Clean Technology Fund  
  • Strategic Climate Fund.  

The CTF promotes scaled-up financing for demonstration, deployment and transfer of low carbon technologies with a significant potential for long-term greenhouse gas emissions savings. 

Source: World Bank