South Africa and Switzerland have concluded a US$3.5 million long-term finance facility with the Swiss State Secretariat for Economic Affairs and the World Bank to support the development of green energy projects, a senior finance ministry said on Wednesday.
Ministry spokesperson Mfuneko Toyana said the purpose of the facility was to leverage private financing for South Africa’s sustainable development goals and the climate-linked energy transition.
“The big challenge confronting us now is climate change. It has become a reality we cannot ignore. This new facility will go a long way in supporting our efforts to address this challenge,” Toyana said.
The facility would develop sustainable and scalable financing solutions in strategic sectors for development linked to climate change, and would particularly support the implementation of South Africa’s Just Energy Transition Programme, according to Toyana.
The programme has since expanded to the areas of the financial sector development, technology and innovation, skills exchange, and climate finance and mitigation.
NM/jn/APA