UNDP and Pegasus Capital Advisors (PCA) signed a Memorandum of Understanding (MoU) today, for a transformative partnership dedicated to mobilizing significant investment for climate, energy, and nature-positive infrastructure across emerging economies, Least Developed Countries, and Small Island Developing States.
UNDP, currently supporting 140 countries with USD $5 billion in grants from the Global Environment Facility (GEF), Green Climate Fund (GCF) as well as other partners (Germany, Switzerland, Japan, and many others), will join forces with PCA to catalyze increased public and private investments in critical areas such as food systems, water, clean energy, plastics, and waste.
"Our partnership with Pegasus Capital Advisors underscores the importance of uniting public and private forces to scale up sustainable development that not only addresses immediate challenges but also lays the foundation for a resilient and equitable global landscape. Together, we strive to unlock innovative solutions, catalyze investments, and build a legacy of sustainable development that transcends borders and benefits generations to come," stated Marcos Neto, Assistant Secretary-General and Director of UNDP's Bureau of Policy and Programme Support.
UNDP will leverage its on-the-ground presence to initiate projects, provide de-risking policy guidance, offer technical assistance, and support project implementation, monitoring, and impact verification. PCA's capital investments will complement UNDP's efforts. The partnership aims to unlock in excess of USD $1 billion in combined grants and investments by 2025.
"Public-private partnerships with multiple parties will be key to meeting the scale and pace of our global climate crisis, especially as we aim to prioritize sustainable development in emerging economies," said Craig Cogut, founder, chairman, and CEO at Pegasus Capital Advisors. "By synchronizing our efforts, UNDP and PCA can catalyze positive change, actualizing our shared dedication to building a resilient and sustainable future. Together we can accelerate, scale, and replicate needed development programs."
Under the agreement, both organizations will utilize their respective funding portfolios and network of development partners to layer and sequence different sources and types of financing, including guarantees, loans, and concessional finance from International, Regional, and National Development Financial Institutions, as well as other public and private sector partners.
The partnership will emphasize investment in solutions that strengthen human and economic development, build people's resilience to climate change, and address the key drivers of greenhouse gas emissions and biodiversity loss. UNDP and Pegasus will operationalize their partnership across multiple regions and countries.
