The Government of the Cook Islands proudly announces that the Green Climate Fund (GCF) Board has approved the country’s second national funding proposal titled “Direct Financing for Communities and Businesses to Respond to Climate Change in the Cook Islands.”
This marks another major milestone, just 19 months after the approval of our first national GCF project in March 2024, and reflects the Cook Islands’ growing capability and leadership in advancing climate resilience.
The Cook Islands face growing risks from climate change, particularly through the intensification of tropical cyclones. The country currently incurs, on average, around USD 5 million per year, about two per cent of GDP in direct losses from cyclone-related impacts, with around 90 per cent of those losses occurring in the building sector. As cyclone intensity increases in the coming decades, these losses are expected to worsen. This threat is critical, as nearly all buildings across the country are privately owned and highly exposed to climate hazards.
The approved project unlocks USD 39.98 million in climate finance from the GCF, alongside USD 4.2 million in co-financing from the Government of the Cook Islands and the Bank of the Cook Islands (BCI). Together, these funds, totalling USD 44.2 million will strengthen the resilience of homes, public buildings, and vulnerable communities against the impacts of tropical cyclones and extreme weather events.
This is the largest climate change project ever undertaken through Direct Access in the Cook Islands. It has been locally led and country-driven, developed primarily by our in-country team using local expertise. It demonstrates the professionalism and capability of our people to deliver climate solutions to international standards.
Prime Minister Mark Brown said the approval reflected years of sustained effort and partnership across government, financial institutions, and the community.
“The evolution of the Green Climate Fund and its Enhanced Direct Access modality is something our government has strongly supported over the years. It took significant effort to have both the Ministry of Finance and Economic Management and the Bank of the Cook Islands accredited as National Access Entities, that was a milestone in itself. To now have an EDA application of this size approved for the Cook Islands is another major step forward. It’s proof that our local systems, expertise, and leadership can deliver for our people. I want to congratulate everyone involved in this achievement.”
Led by the Ministry of Finance and Economic Management (MFEM), in partnership with the Office of the Prime Minister’s Climate Change Cook Islands (CCCI) and the Bank of the Cook Islands, the project will establish an Enhanced Direct Access (EDA) Facility. A first-of-its-kind mechanism that allows communities, individuals, NGOs, and small businesses to access climate finance directly through local institutions.
The EDA Facility will provide a unified framework for technical support, building retrofits, concessional finance, and public awareness, enabling scalable, country-owned solutions that integrate technical, financial, and institutional elements to build long-term resilience.
Financial Secretary Garth Henderson emphasised the collaborative nature of the initiative:
“This proposal reflects a powerful partnership between our communities, government, and the Bank of the Cook Islands. Together, we’re not waiting for change, we’re driving it. By working side by side, we’re building resilience from the ground up and ensuring climate finance reaches those who need it most.”
Chief of Staff for the Office of the Prime Minister, Ms Karopaerangi Ngatoko, highlighted the work done across government to understand and address asset challenges:
“This project comes from years of listening to our people and understanding the challenges they face in protecting their homes, businesses, and public buildings. We’ve focused on strengthening our building assets not just for disaster preparedness, but to adapt to the long-term changes already impacting our islands.”
Bank of the Cook Islands CEO Jennifer Henry spoke to the innovation behind the financing model:
“By combining grants and affordable loans through the new EDA Facility, we’re opening doors to climate finance for families and small businesses. This approach removes barriers and helps build long-term resilience where it matters most, in our communities.”
The EDA project will:
- Upgrade over 2,150 homes and buildings to meet the 2019 Cook Islands Building Code for cyclone resilience.
- Install water tanks and sanitation systems to improve health and water security.
- Provide grants and concessional financing through a tiered approach, prioritising the most vulnerable.
- Train and certify local tradespeople and inspectors in climate-resilient construction.
- Establish a revolving fund to sustain access to climate finance beyond the project’s lifespan.
The programme is expected to protect a substantial portion of the population and reduce long-term damage to infrastructure, enabling faster post-disaster recovery and economic continuity. Improved access to clean water and better-functioning community facilities will improve public health, while regional learning will be enhanced by positioning the Cook Islands as a model for climate-adaptive building practices among other Small Island Developing States.
The Government of the Cook Islands acknowledges the invaluable support of the GCF Board, Secretariat, and all partners who contributed to this transformative proposal.
This initiative builds on years of investment in readiness programmes and community engagement, and aligns with the Cook Islands National Sustainable Development Agenda 2020+, Climate Change Policy, and Country Programme.
