UNEP Finance Initiative (UNEP FI) – Climate Finance Specialist

Result of Service The consultant will develop UNEP FI’s strategy and structure for working with DFIs and contribute to establishing UNEP FI’s approach to engaging DFIs on PRB implementation. Through these services the Initiative will be able to engage a broad range of development financial institutions, including multi-lateral, bilateral and national development banks and agencies in implementing global finance sector principles to catalyze integration of sustainability into financial market practice.

Work Location Working remotely.

Expected duration 9 months

Duties and Responsibilities The United Nations Environment Programme (UNEP) is the leading global environmental authority that sets the global environmental agenda, promotes the coherent implementation of the environmental dimension of sustainable development within the United Nations system and serves as an authoritative advocate for the global environment.

The overall objective of the UNEP’s Economy Division is to encourage decision makers in government, local authorities and industry to develop and adopt policies, strategies and practices and technologies that promote sustainable patterns of consumption and production, make efficient use of natural resources, ensure safe management of chemicals and contribute to making trade and environment policies mutually supportive. It promotes the development, use and transfer of policies, technologies, economic instruments, managerial practices and other tools that assist in environmentally sound decision making and the building of corresponding activities.

The United Nations Environment Programme Finance Initiative (UNEP FI) works with its network of more than 450 banks, insurers and investors to help shape the international sustainable finance agenda, setting global norms and contributing to changing the financial system. Through its work-streams and regional activities, peer learning, methodology development, training and research, UNEP FI promotes sustainable finance and helps the financial industry align with and contribute to the Paris Agreement and Sustainable Development Goals.

UNEP FI supports the development and implementation of frameworks including the Principles for Responsible Banking (PRB), now committed to by more than 310 banks collectively holding USD 89 trillion in assets, representing almost half of global banking assets, and the Principles for Sustainable Insurance (PSI), established 2012 by UNEP FI and today applied by one-quarter of the world’s insurers (25% of world premium).

UNEP FI has developed a capacity building and technical assistance programme to help banks identify portfolio impacts and set and implement targets in areas including climate mitigation and financial inclusion & financial health, and plans to foster cooperation between development banks and commercial financial institutions in order to scale up public and private financing for sustainable development in developing countries.

UNEP FI needs a consultant to assist with establishing and implementing its strategy to cooperate with national, bilateral and multilateral development banks in working with commercial financial institutions to scale up financing to address the triple planetary crises of climate change, nature loss and pollution. The consultant will also support UNEP FIs capacity building programme with banks to support implementation of the Principles for Responsible Banking, and contribute to resource mobilization to expand capacity building, technical assistance and catalyzing of financing instruments to contribute to financing for sustainable development in developing countries.

The consultant will develop UNEP FI’s strategy and structure for working with DFIs and contribute to establishing UNEP FI’s approach to engaging DFIs on PRB implementation. The consultant will also support UNEP FI’s engagement of DFIs in UNEP FI’s capacity building and technical assistance programme. The specialist will contribute to mobilizing resources to scale up support for banks to accelerate alignment of portfolios with global, regional and national sustainability frameworks.

The consultant will provide assistance in the following tasks:

• Develop evidence base and theory of change to inform DFI strategy.
• Undertake needs assessment/market research and analysis to inform cooperation between DFIs and the financial sector through cooperation under UNEP FI’s programme of work on climate, transition and sustainable finance.
• Develop strategy for UNEP FI to engage development financial institutions, including multi-lateral, bilateral and national development banks and agencies in implementing global finance sector principles to catalyze integration of sustainability into financial market practice.
• Develop structure/model of engaging DFIs on promoting sustainability in all aspects of the financial sector’s operations and services, focusing on their core business and financing instruments.
• Broaden UNEP FI’s outreach to enhance cooperation between public and private banks to scale up sustainable finance, focusing on climate and transition finance initially.
• Engage DFIs in UNEP FI’s capacity building and technical assistance programme and support for banks to mobilise climate and transition finance to implement climate targets.
• Help design capacity, finance, and technology change programme to redirect public and private finance towards climate solutions, including financing to achieve the Net-Zero in high risk and hard-to-abate sectors.¿
• Provide advice on risk mitigation tools to facilitate net-zero and SDG aligned investments.
• Pilot DFI engagement in capacity building/technical assistance programme.
• Test strategy and model/structure of DFI engagement.
• Consult UNEP FI members (banking and insurance) on draft DFI engagement strategy.
• Engage stakeholders (e.g. international financial institutions, multilateral climate funds, bilateral donors and development banks, technical assistance partners) and develop resourcing plan to implement strategy and establish structure for DFI engagement.
• Support preparation of proposals, pitch decks, grant reports and other donor-facing materials.
• Provide policy recommendations to mobilise DFI financing in developing countries.
• Support the development of the IFI/MDB strategy to catalyse refinancing/risk-sharing for the net zero transition in banking.

Outputs and Deliverables:

• Research & analysis on DFI and banking cooperation on climate, transition and sustainable finance.
• Strategy, structure and resource plan for DFI engagement.
• Proposal delivered to mobilise resources for UNEP FI programme to provide technical assistance and facilitate development finance capacity to leverage private climate finance.
• Capacity building/technical assistance delivered with DFIs for PRB signatories.
• Plan to engage DFIs on climate and transition finance to help banks implement climate targets.
• Policy recommendations on mobilizing DFI financing to inform UNEP’s intergovernmental processes.
• IFI/MDB strategy to catalyse refinancing/risk-sharing for the net zero transition in banking.

The consultant shall be under the overall supervision of the Head of UNEP FI and report directly to the Programme Management Officer, working in close coordination with UNEP FI’s Regional Coordination and Banking Teams.

Qualifications/special skills Education: A Master’s degree University degree or equivalent experience in finance, banking, economic development, sustainable finance, climate finance, climate technologies, sustainable development or a related field. A First degree could be taken in lieu of advanced degree provided the selected candidate has 9 years of relevant experience.

Professional Experience: At least seven (7) years’ working experience with development finance institutions or in sustainable finance. Experience of working with private financial organization. Experience in developing financing mechanisms and risk mitigation instruments, including debt finance.

Skills & Knowledge: Knowledge of development finance institutions and commercial banks, technical support/training and mechanisms for public finance to leverage private finance for sustainable development. Ability to work with a variety of public and private stakeholders to foster partnerships and financial instruments in developing countries. Understanding of climate finance and structuring of financing for mitigation and/or adaptation. Experience in project preparation and development , training and capacity building and a strong understanding of the international climate finance landscape. Desirable: Understanding of de-risking mechanisms such as guarantees and/or blended finance. Ability to develop market-driven solutions to accelerate investments and financing in climate change mitigation and adaptation projects. Experience working in developing countries and understanding of policy frameworks relevant to DFIs

Languages Languages: English is the working language of UNEP FI. Knowledge of other United Nations languages is an asset.

No Fee THE UNITED NATIONS DOES NOT CHARGE A FEE AT ANY STAGE OF THE RECRUITMENT PROCESS (APPLICATION, INTERVIEW MEETING, PROCESSING, OR TRAINING). THE UNITED NATIONS DOES NOT CONCERN ITSELF WITH INFORMATION ON APPLICANTS’ BANK ACCOUNTS.