Oman is preparing a national bank for Green Climate Fund accreditation while qualifying a second domestic institution to access international climate finance directly. The move is part of Oman’s broader strategy to strengthen climate investment, support clean energy and green hydrogen, and finance projects aligned with its updated 2035 emissions targets.
Background & Development
Oman is taking steps to strengthen its access to international climate finance by preparing an Omani bank for accreditation with the Green Climate Fund (GCF).
The initiative was presented at the 25th Annual General Conference on Government Readiness for a Sustainable Future in Salalah. According to the presentation by Eng Khalid bin Mohammed Al Balushi of Oman’s Environment Authority, the country is also working to qualify a second national institution to operate in the climate finance space.
The bank selected for accreditation has not yet received approval from the Green Climate Fund, and the institution has not been publicly named. No specific timetable for completing the accreditation process was provided.
The development reflects Oman’s interest in accessing international climate funding without relying heavily on foreign intermediaries to channel financing into domestic projects.
The GCF has expanded significantly in recent years and, according to the information presented, its network had reached 168 partner agencies across more than 130 countries by March 2026.
Why Direct Climate Finance Access Matters
Direct access to climate finance remains relatively uncommon among developing countries.
The presentation referenced a 2024 Transparency International Bangladesh analysis of 2023 GCF data, which found that international entities implemented the majority of GCF projects, while national direct-access entities accounted for a much smaller share.
The analysis also indicated that a significant proportion of eligible countries did not have a direct-access entity.
For Oman, developing national institutions capable of working directly with international climate funds could potentially make it easier to develop, coordinate and finance projects that reflect national priorities.
However, accreditation is not automatic. Institutions seeking GCF accreditation must satisfy the fund’s requirements and undergo a formal review process.
Oman’s National Climate Platform
A central part of Oman’s strategy is the National Climate Platform, which was launched during COP30 in Belém in November 2025.
The platform is intended to function as a national coordination and investment centre for climate finance.
Its role includes helping transform national climate strategies into financeable projects, connecting projects with international funds, development banks and commercial lenders, and coordinating funding requests submitted by Oman.
The platform focuses on several priority areas, including:
- Clean energy and green hydrogen
- Water and agriculture
- Climate resilience
- Waste management and the circular economy
- Private-sector climate finance
The initiative is also intended to strengthen national ownership, partnerships and transparency in climate investment.
Digital tools are expected to support investment tracking and improve the disclosure of climate-related financing and project information.
Oman’s Updated Climate Targets
The push for greater climate finance access comes as Oman works toward more ambitious emissions-reduction objectives.
According to the report, Oman submitted its NDC 3.0 to the United Nations Framework Convention on Climate Change on July 30, 2026.
The updated target identifies the potential for a 33% reduction in greenhouse-gas emissions by 2035 compared with a 2024 baseline.
The target is divided into two components:
- 7% unconditional emissions reduction
- 26% conditional reduction, dependent on international finance, technical support, technology transfer and capacity building
Oman has also maintained a net-zero emissions target for 2050.
This means that a substantial portion of the country’s potential emissions reduction depends on access to international financial and technical support.
Global Climate Finance Gap
The presentation highlighted the scale of the financing challenge facing countries attempting to meet climate and development objectives.
Global financing requirements were estimated at between $4.5 trillion and $6 trillion through 2030.
Separate estimates from the UN Framework Convention on Climate Change put the financing needs identified in the national climate plans of 98 developing countries at approximately $5.01 trillion to $6.85 trillion over a comparable period.
The two estimates use different methodologies and scopes and therefore should not be treated as directly equivalent.
Climate adaptation is another major area of concern.
The UN Environment Programme estimates that developing countries could require between $310 billion and $365 billion annually for adaptation by 2035, depending on the methodology used.
International public adaptation finance, meanwhile, stood at approximately $26 billion in 2023, down from $28 billion the previous year.
Challenges to Climate Finance Access
Oman’s presentation identified several obstacles that can make it difficult for institutions and countries to access international climate funding.
These include:
- Exchange-rate volatility
- Regulatory instability
- Complex international procedures
- Limited disclosure and environmental data
- Difficulties measuring environmental impacts
- Risks associated with greenwashing
Strong data systems are particularly important because climate financiers need reliable information to evaluate environmental outcomes and demonstrate that funded projects are delivering measurable benefits.
Green Climate Fund Accreditation Process
Accreditation with the Green Climate Fund can be a lengthy process.
Historically, accreditation has taken approximately two to three years in some cases.
The GCF has introduced a process involving two accreditation cycles each year, with each cycle featuring a two-month application window and a nine-month review period.
However, the nine-month review period does not necessarily mean that the entire accreditation process will be completed within nine months. The period excludes time applicants may require to respond to questions and requests for additional information.
Oman’s preparations therefore represent an important institutional development, but accreditation should not be interpreted as having already been secured.
Opportunities for Oman
Successful development of national direct-access institutions could potentially strengthen Oman’s ability to mobilise climate finance for domestic priorities.
Clean energy, green hydrogen, water security, agriculture, climate resilience and circular-economy projects could all benefit from improved access to international financing mechanisms.
The approach could also help Oman better align climate investment with national development priorities while strengthening cooperation between government institutions, financial institutions, international funds and private-sector organizations.
The National Climate Platform could serve as an important coordinating mechanism in this process by helping identify projects, develop financing proposals and connect domestic priorities with international sources of capital.
Conclusion
Oman is strengthening its climate-finance architecture as it works toward more ambitious emissions-reduction and net-zero objectives.
The preparation of an Omani bank for Green Climate Fund accreditation, alongside efforts to qualify another national institution, represents an attempt to improve the country’s direct access to international climate finance.
The initiative comes at a time when developing countries face significant financing gaps for climate mitigation and adaptation.
For Oman, improving national capacity to access and manage climate finance could become increasingly important as the country pursues its 2035 emissions targets, expands clean-energy initiatives and works toward net zero by 2050.
Source: Oman Observer, August 15, 2026.
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