Open Call: Asia Climate Solutions Design Grant

The Asia Climate Solutions (ACS) Design Grant supports innovative blended finance models that mobilize private, public, and philanthropic capital for climate-resilient agriculture, food security, and nature-based solutions in Southeast Asia. Eligible organizations and consortia can receive up to USD 350,000 in catalytic funding for feasibility studies, financial structuring, pipeline development, piloting, fundraising, and impact measurement. What Is the Asia Climate Solutions Design Grant? The Asia Climate Solutions (ACS) Design Grant is a regional blended finance accelerator led by Convergence to develop financial mechanisms that address climate adaptation and resilience financing gaps in Southeast Asia. The program focuses on solutions that can attract and combine different sources of capital, including: Public funding Philanthropic capital Private investment Institutional investment Impact investment The goal is to develop financially viable models that can eventually operate at scale while producing measurable climate, environmental, social, and development outcomes. What Does the Grant Support? The 2026 funding cycle focuses on climate-resilient agriculture, food security, and nature-based solutions. The proposed solution should go beyond a conventional grant-funded project. Applicants are expected to develop a blended finance model capable of attracting additional capital and achieving long-term financial sustainability. What Is Blended Finance? Blended finance combines different types of capital to make investments in sustainable development more attractive and achievable. For example, a proposed climate investment fund could combine: A catalytic grant from a philanthropic or development partner. Concessional financing from a public institution. Commercial investment from private investors. Revenue generated by the underlying climate or nature-based projects. The grant can therefore help reduce early-stage risks and demonstrate that a proposed financial model can attract larger-scale investment. How Much Funding Is Available? The Asia Climate Solutions Design Grant provides catalytic grants of up to USD 350,000. Funding can support activities required to move a blended finance concept toward implementation and investment readiness. Depending on the proposed solution, grant funding may support: The grants are non-repayable or conditionally repayable, depending on the stage and type of proposed activity. What Financial Models Can Be Developed? Applicants are encouraged to develop commercially viable financial instruments capable of mobilizing private capital.

Potential structures may include:

Investment funds Project finance vehicles Bonds Financing facilities Credit enhancement mechanisms Other innovative blended finance structures The proposed structure should demonstrate how different forms of capital can work together to finance climate-resilient agriculture or nature-based solutions. Priority Countries Projects must target one or more eligible countries in Southeast Asia. Applicants do not have to be domiciled in one of these countries. However, the proposed activities and ultimate beneficiaries must be located in one or more of the eligible Southeast Asian countries. Who Is Eligible? The program is open to organizations and consortia capable of developing and implementing innovative blended finance solutions.

Eligible applicants may include:

Asset owners Asset managers Advisory firms Foundations Not-for-profit organizations Private enterprises Other eligible financial or development organizations Consortia involving multiple organizations Organizations can collaborate with financial institutions, investors, technical experts, governments, development organizations, or other relevant stakeholders where this strengthens the proposed financial model. What Should Applicants Demonstrate? Strong proposals should demonstrate more than a good climate idea.

Applicants should clearly explain:

The climate or development problem being addressed. The financing gap preventing the solution from reaching scale. Why existing financing mechanisms are insufficient. How the proposed blended finance structure will address that gap. Which investors or capital providers could participate. How the model could become financially sustainable. How the proposed mechanism could be replicated or scaled. What measurable environmental and social outcomes will be achieved. How women and other potentially underserved groups will benefit. Why catalytic funding is necessary at the proposed stage. Eligible Grant Activities The ACS Design Grant can support activities that move an innovative financial mechanism from concept toward investment readiness.

Eligible activities may include:

Feasibility assessment: Testing whether the proposed financial model is commercially and technically viable.

Legal structuring: Developing appropriate legal arrangements for funds, facilities, or other financial instruments.

Financial structuring: Designing capital stacks, investment structures, risk-sharing mechanisms, and financing terms.

Pipeline development: Identifying and preparing suitable projects or investments for financing.

Fundraising: Engaging potential investors and capital providers.

Proof of concept: Testing the proposed approach before larger-scale deployment.

Piloting: Demonstrating how the financing model works in a real-world setting.

Impact measurement: Establishing systems for measuring climate, environmental, social, and development results.

Investor preparation: Building the evidence and structure needed to attract commercial and institutional capital.

Why It Matters Climate-resilient agriculture and nature-based solutions often face a major financing gap. Many projects generate significant environmental and social benefits but may not immediately provide the risk-return profile expected by commercial investors. Blended finance can help address this problem by using catalytic capital to reduce risks, demonstra