Germany - Foreign economic-aid-related services - 81322177-Fortalecimiento de capacidades y acompañamiento para el financiamiento de medidas AbE para microfinancieras peruanas

1. Brief information about the project The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is implementing the project "Resilient Puna: Ecosystem-based adaptation for communities and sustainable high Andean landscapes in Peru". The project is financed by the German cooperation (BMZ), the Green Climate Fund (GCF) and the Canadian Cooperation (GAC), in addition to the counterpart of the Peruvian government. The project works with the Ministry of Agrarian Development and Irrigation (MIDAGRI), Profonanpe (Peru's environmental fund), the National Service of Natural Areas Protected by the State (SERNANP) and The Mountain Institute (IdM). The "Resilient Puna" project contributes to restoring, conserving and better managing the ecosystem of the Peruvian puna. To this end, it promotes ecosystem-based adaptation (EbA) measures, which serve to make agriculture, livestock and communities more resilient to climate change in the prioritized districts of the departments of Arequipa, Cusco, Puno, Lima (Yauyos) and Apurimac, and its promote their active and equitable participation in agricultural and livestock value chains. It also supports the establishment of a long-term financial mechanism for communities to restore wetlands, grasslands and water reservoirs. Finally, the project aims to integrate the EbA approach into public instruments of participatory territorial planning and the different programs supporting productivity of both public and private entities, also considering the mainstreaming of gender equity, intergenerational and intercultural approaches. The project activities are organized into three components: - Component 1: Puna ecosystems are better restored, conserved, and managed to support climate-resilient livelihoods, through the implementation of EbA measures. - Component 2: Public and private investments aligned and leveraged to scale EbA measures. - Component 3: Multilevel territorial governance for the incorporation of EbA measures. According to the intervention logic proposed by the Resilient Puna project, through component 2, the Puna Competitive Fund implemented by Profonanpe will be established to grant financing through a call for proposals for Local Initiatives led by Indigenous Peoples and Local Communities aimed at increasing climate resilience. This component will also align and leverage public and private financing for EbA measures and Climate Resilient Value Chains at different levels in a coordinated way. At the macro level, it will focus on aligning, leveraging, mobilizing, and scaling up public and private funds to finance EbA activities on the ground. At the meso level, it will strengthen the capacities of local institutions and organizations to access financial resources and technical assistance. At the micro level, it will work to improve access to alternative financial services for smallholder farmers, such as microfinance, and access to public programs to improve entrepreneurship (i.e., MIDAGRI's Agroideas and Agromercado) and climate-resilient investments (i.e., MIDAGRI's Agrorural and Sierra Azul). The focus of the project is to mobilize financing at different scales and with different schemes, with impact beyond specific landscapes. The key feature of this project is its leverage potential, to facilitate the mobilization of resources from MIDAGRI, MERESE and private and financial institutions. Implementation of a capacity building and technical support program Peruvian microfinance institutions for the development and roll-out of gender responsive financial products for financing EbA measures and managing climate risks. General Objective Raise awareness and strengthen capacities at the organizational level and at the level of officials of 4 microfinance institutions (MFIs) for the implementation of financial products for Ecosystem-based Adaptation (EbA), considering gender, intercultural and intergenerational criteria, to increase the of the access to financing for EbA measures of the high Andean population, especially in communities above 3500 meters above sea level to improve the sustainability of the ecosystem services on which they depend to sustain their productive activities. Specific Objectives - Design and implement an organizational awareness raising campaign for finance institutions regarding climate change and its gender-differentiated impact on the population and their livelihoods. This campaign shall target the four MFIs which are strategic allies of the Resilient Puna Project as well as other relevant financial institutions in the scope of the project (Financial Institutions, Cooperatives, Rural Savings Banks, among others). - Design and implement a training program in climate risk management and financing of EbA measures for climate-resilient value chains (CVCRs) considering gender, intercultural and intergenerational criteria, for officials of the four strategic partner MFIs of the Resilient Puna Project. - Prepare an analysis of challenges and potentials regarding gender equity, interculturality and intergenerational criteria in the operations of the four MFIs which are strategic allies of the Resilient Puna Project and advise them on gender-responsive management . - Advise the officials of the four MFIs which are strategic allies of the Resilient Puna Project, on the design and roll-out of financial products for financing EbA measures to increase the Climate-Resilience of selected Value Chains. Design and implement a communication campaign for each of the 4 MFIs, with the aim of launching the proposed EbA credit products to the market. This advice must be carried out directly with each participating institution.