V20 LOSS AND DAMAGE
FUNDING PROGRAM
The V20 Loss and Damage ((L&D) Funding Program is designed to provide direct financial assistance to climate-impacted households, communities, and micro, small, and medium-sized enterprises (MSMEs) in vulnerable economies. Its goal is to ensure that resources reach those most affected by climate-induced loss and damage without delay or excessive bureaucracy.
KEY ATTRIBUTES
- Tailored, country-centered, and inclusive process
- Focused on communities, households, and livelihoods
- Centered on vulnerable populations
- Designed as a cost-effective last-mile approach
- Built on partnerships and collaboration
- Anchored in the in-country process
THEMATIC FOCUS AREAS
Community Infrastructure
Repairing and rebuilding community buildings, water supplies, medical facilities such as clinics, schools, water and sanitation facilities, and public housing
Private Housing
Supporting house repairs, temporary housing costs, and livelihood assets
Biodiversity Regeneration
Supporting restoration and regeneration of biodiversity
Climate and Health Nexus
Assisting communities to anticipate, respond to, and recover from climate-related health events
Human-Induced Climate Migration
Supporting communities considering migration or facing the prospect of abandoning their communities
Premium Insurance Support
Providing targeted insurance premium subsidies to frontline community members in genuine need of coverage
EVOLUTION OF V20 LOSS & DAMAGE FUNDING PROGRAM
PILOT PHASE:
2022 to 2024
Designing and launching the first phase of the V20 L&D Funding Program in Kenya, Malawi, and Bangladesh
(Funded by Open Society Foundation)
SECOND PHASE:
2024 to 2025
Designing and launching the V20 L&D Funding Programs in Ghana and the Pacific (Fiji, Tonga, and the Republic of the Marshall Islands)
(Funded by Government of Wallonia)
THIRD PHASE:
2025 to 2029
Two streams of work earmarked:
- Designing and launching the V20 L&D funding programs for Somalia, The Gambia, and the Philippines (Funded by the Government of Wallonia)
- Designing and launching the V20 and UNIDO–led Adaptation Initiative (Funded through the Global Environment Facility)
Designing and launching the first phase of the V20 L&D Funding Program in Kenya, Malawi, and Bangladesh
(Funded by Open Society Foundation)
Designing and launching the V20 L&D Funding Programs in Ghana and the Pacific (Fiji, Tonga, and the Republic of the Marshall Islands)
(Funded by Government of Wallonia)
Two streams of work earmarked:
- Designing and launching the V20 L&D funding programs for Somalia, The Gambia, and the Philippines (Funded by the Government of Wallonia)
- Designing and launching the V20 and UNIDO–led Adaptation Initiative (Funded through the Global Environment Facility)
PILOT PHASE AT-A-GLANCE
| Projects / Key Interventions |
1. Livelihood restoration projects 2. Adaptation of technologies and skills |
| Target / Beneficiaries |
1. 2,000 households 2. 3,000 households |
| Locations | Garissa County |
| Projects / Key Interventions |
1. Support with shelter assistance 2. Support with WASH infrastructure 3. Support with access to resources to diversified on-farm and off-farm livelihood asset investments. |
| Target / Beneficiaries |
3,000 affected people across 600 households |
| Locations | Chikwawa District |
| Projects / Key Interventions |
1. Provide households with livelihood package 2. Private houses repair/reconstruction 3. Build disaster resilient houses 4. Trained carpenters to repair/reconstruct disaster resilient houses |
| Target / Beneficiaries |
1. 250 households 2. 250 households 3. 8 Houses 4. 30 locally trained carpenters |
| Locations | Rayenda and South Khali union of Sarankhola sub-district of Bagerhat District |
KEY MILESTONES AND IMPLEMENTATION UPDATES
The CVF-V20 successfully pioneered the first phase of the V20 Loss and Damage Program in Kenya, Bangladesh, and Malawi, with funding support from Open Society Foundations and implementation by Care International.
The total cost outlay was USD 565K, and 40,468 individuals were assisted.
The CVF-V20 advanced the second phase by launching the following funding programs, focused on restoring community infrastructure and supporting sustainable livelihoods, and anchored in a country-led approach:
- Akosombo Loss and Damage Program (AkoLAD): This was launched in Ghana with a USD 1 million funding envelope.
- Pacific Loss and Damage Program (PacLAD): This is a USD 2 million initiative for Fiji, Tonga, and the Republic of the Marshall Islands.
From 2025 and beyond, the CVF-V20 is advancing the third phase through the design and implementation of the V20 and UNIDO’s USD 5.3 million Adaptation Initiative under the Global Environment Facility (GEF), aimed at supporting innovative, locally led adaptation through structured funding, strong governance, and results-based program management.
Project Components:
- Design and management of the VFP to support impactful and innovative locally led adaptation projects.
- Operationalization of the VFP
- Learning and knowledge management
- Monitoring and Evaluation
To support this initiative, the V20 Funding Program (VFP) Committee was established to oversee the roll-out of this project.
The CVF-V20 Secretariat and UNIDO have developed a governance framework, drafted a long-term impact plan and the VFP Sustainable Strategic Framework, created an allocation methodology to distribute USD 2.5 million across five regions, and prepared an exit strategy.
PIPELINE OF V20 L&D
FUNDING INITIATIVES
The countries in the pipeline are Somalia, the Philippines, and The Gambia
Preliminary L&D design work for Somalia has already commenced and is anticipated to be completed by mid-year. The primary focus of support for Somalia is on climate-induced human mobility.
Design work for the Philippines and The Gambia is planned to be finalized by September and December 2026.
WORK
IN PROGRESS
- The V20/GEF/UNIDO adaptation initiative will officially launch upon the successful completion of the Harmonized Approach to Cash Transfers (HACT) assessment, a requirement by UNIDO to facilitate the transfer of funds to the V20.
- The CVF-V20 Secretariat is providing advisory support to regional risk pools, helping them expand exposure cover for MSMEs by providing reinsurance to the domestic insurance sector.
