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The Dancing Mangrove Trees of Sumba Island in Indonesia.

Catalysing investment in nature-based carbon projects

ABOUT CAPE

Empowering High-Integrity and and High-Impact, Nature-Based Projects Across Africa

Launched by FSD Africa in partnership with Finance Earth and the African Natural Capital Alliance (ANCA), CAPE is a pioneering initiative designed to catalyse investment into high-integrity and high impact nature-based carbon and biodiversity projects across Africa.
With over 62% of its GDP highly or moderately dependent on natural capital, Africa is highly exposed to climate change and biodiversity loss yet this natural capital faces unsustainable depletion rates. There are currently low levels of investment flowing into nature-based carbon and biodiversity projects with a global annual funding gap of £32.5 billion.

CAPE addresses two critical challenges: the lack of equitable investment flows into projects that tackle climate change, address biodiversity loss, and empower local communities; and the need to build confidence in Africa’s nature-based markets.

CAPE is dedicated to addressing these through targeted support that advances the development of nature-based solutions with benefits for carbon reduction, biodiversity, and local communities. Through grants (returnable and non-returnable), CAPE will provide project development and transaction advisory services to high-impact and high-integrity nature-based projects to develop them to financial close.

Support will be focused on technical project development to make investment feasible, including:

  • Guidance on MRV techniques for carbon and biodiversity outcomes.
  • Developing jurisdiction-specific PDDs.
  • Creating benefit sharing frameworks.
  • Developing biodiversity studies.
  • Due diligence assessments. ​

Support will be centred on getting projects to a financial close, including: 

  • Creating materials for commercial viability (e.g., financial models, pitch decks, business plans). 
  • Identifying and engaging with investors. 
  • Managing investor outreach.
  • Building data rooms.
  • Modelling and structuring investment terms.
  • • Supporting project-specific credit ratings.

How CAPE works

By fostering high-quality projects, CAPE seeks to strengthen confidence in African nature-based markets, paving the way for sustainable investment flows.

Initial Assessment

Eligible projects undergo a needs assessment to create a tailored support plan.

Development & Advisory Support

Projects receive targeted development assistance and transaction advisory services.

Investment Readiness

With CAPE’s support, projects advance towards financial close, equipped with the resources needed to attract investors.
Who Can Apply to CAPE?

Eligibility Criteria

CAPE prioritises projects that include carbon, biodiversity and social impacts. In addition, CAPE is seeking projects that can show clear pathways to financial viability, evidence of buyer demand, are scalable and/or replicable, can prove adherence to high-standard validation, and are located in an enabling jurisdiction for nature-based initiatives. Projects considered for CAPE will demonstrate:

Location

Based in Africa

Project Type

Nature-based with identified revenue opportunities, delivering carbon, biodiversity and local community benefits

Development Stage

Completed a technical feasibility study with strong pre-existing engagement with local communities.

Submit your EOI by Wednesday 27th November 2024 at 17:00 EAT

Eligible projects are invited to submit an Expression of Interest (EOI). Applications for the first round of CAPE opened November 6th, and will close November 27th 2024.  Longlisted projects will be requested to provide additional information to support CAPE’s screening process.

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In February 2025, up to 5 projects will be selected for CAPE,
with support delivered between April 2025 and March 2026.​

27th Nov 2024
EOI window

Applications for CAPE close.

Jan 15 2025
Additional information request

Deadline for additional information

February 2025
Finalisation of shortlisted projects

Interviews completed and shortlisted projects agreed

April 2025
Announcement of shortlisted projects

Finalisation of service requirements with shortlisted projects

Nairobi workshop and commencement of service delivery

March 2026
Completion

Completion of Project Development and Transaction Advisory service support

Our partners

CAPE’s mission is strengthened by the expertise and collaboration of our founding partners:

A specialist development agency, established in 2012 by the UK Government, working to make finance work for Africa’s future. On the ground in over 30 countries to mobilise “green plus” finance that will power economic and social development while delivering environmental gains and building Africa’s resilience. FSD Africa work on policy and regulatory reform, capacity strengthening and improving financial infrastructure, and addressing systemic challenges in Africa’s financial markets to spark large-scale and long-term change.

An African-led collaborative multi-stakeholder initiative, acting as the vehicle to drive coordinated nature-related advocacy and action across the continent. ANCA was established in 2022 by FSD Africa out of a need to ensure an African Voice on the global nature agenda. With growing global interest in nature, including in the development of nature-related risk frameworks and standards, there is an urgent need to ensure these emerging approaches can be applied to an African context.

A mission-driven social enterprise, working in partnership with world leading environmental organisations to protect and restore nature utilising market-based mechanisms and implementing bespoke financial tools. Finance Earth helps create projects – and the investment vehicles to fund them – that balance positive outcomes for nature, communities, and investors. Finance Earth provides regulated financial advisory and fund management services focused on scaling high-integrity, high impact conservation investment to close the global biodiversity funding gap.

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Resources and Insights

We are currently working hard to make available information and resources to support CAPE’s stakeholders.
Please revisit this page periodically for updates.

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