Evaluation of GEF Engagement with Micro, Small and Medium Enterprises (MSMEs) (2020)

July 2020
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Since its inception, the Global Environment Facility (GEF) has recognized the private sector as a key stakeholder in fulfilling its mandate. Strategies that have evolved with every replenishment period from 1996 to the present show how the GEF has sought to engage private sector funds and technological innovation through various mechanisms ranging from funding platforms to non-grant instruments to competitions.

As the GEF has shifted into more integrated approaches, it has also increasingly engaged the private sector not only as a source of sustainable financing or innovative technologies, but more important as a critical partner in scaling up the generation of global environmental benefits (GEBs). Programming in the last two GEF replenishment phases - particularly through the Integrated Approach Pilots (IAPs) and Impact Programs (IPs) - directly addresses environmental drivers in part through working with private sector stakeholders, using value chains as an organizing framework for delivering interventions.

This evaluation will for the first time assess how different types of GEF-supported interventions - many of which are delivered at higher levels of governance - engage Micro, Small and Medium Enterprises (MSMEs) as a key partner in the generation of GEBs. It aims to quantify how these interventions, in the process of creating positive environmental impacts, also contribute to generating economic and social impacts for these stakeholders that constitute the larger part of the private sector in the countries that the GEF works in.