Three lessons from our work with DFCD in 2024

As 2024 concludes, SNV reflects on a year of meaningful progress as an origination partner of the Dutch Fund for Climate and Development (DFCD). This year marked the start of a second phase in our work (2024–2027), where we built on our experience to identify and support solid business solutions that tackle climate adaptation and biodiversity restoration challenges, ultimately improving the resilience of vulnerable communities. Here are three key lessons from our work this year:

This year, SNV and its partner WWF-NL, which together manage the DFCD Origination Facility, expanded focus to address interconnected challenges, including climate adaptation, biodiversity, gender equality and social inclusion (GESI), and food and nutrition security (FNS):

• Climate adaptation: Nearly all businesses prioritized solutions that help communities adapt to climate impacts, such as sustainable farming practices and improved water management.

• Biodiversity: Tools to assess and address biodiversity loss were introduced, ensuring businesses like Camimex (Vietnam), which integrates mangrove restoration with shrimp farming, protect fragile ecosystems. Read more about our approach in our SNV-DFCD biodiversity brief.

• Gender equality and social inclusion (GESI): An enhanced GESI approach across the project lifecycle aimed to ensure inclusivity in every business project, empowering women and marginalized groups to participate in and benefit from solutions.

• Food and nutrition security (FNS): We focused on projects that improve food security and farmer resilience by promoting climate-smart practices, such as agroforestry and intercropping. For example, initiatives in West Africa combined staple crops like maize and cassava with cash crops like cocoa and shea, enhancing nutrition, incomes, and climate adaptation.

To date, businesses supported by SNV through the DFCD have unlocked €57M in financing, from both DFCD Investment Facilities and third-party impact investors. SNV played a key role in identifying and de-risking businesses, preparing them for sustainable growth.

New onboardings included:

• Phuc Sinh (Vietnam): Advancing zero-deforestation coffee.

• JohnVents Industries (Nigeria): Supporting sustainable cocoa production.

• East Africa Foods Ltd (Eastern Africa): Promoting climate-resilient agri-tech solutions.

• Forest Carbon (Southeast Asia): Developing a forest and biodiversity bond.

Graduated business projects included:

• Amru (Cambodia): Regenerative agriculture to improve soil health in rice farming.

• Vinaseed (Vietnam): Climate-smart rice farming in the Mekong Delta.

Collaboration was a cornerstone of SNV’s work in 2024 within the DFCD. By partnering with impact investors like Invest International, Triodos Bank, BIO, Agrifi and OikoCredit, and increasing outreach to Dutch business opportunities, the Origination Facility expanded opportunities for the businesses we work with.

Our team members also participated in global conversations, including the Africa Food Systems Forum and COP16 on biodiversity. At these forums, we partnered with key stakeholders to highlight the critical links between biodiversity, nature-based solutions, food systems, and financing.

Innovative approaches like the aggregator model enabled local financial institutions (FIs) to support smaller investments that scale the climate resilience of vulnerable communities and ecosystems. For example, in Nepal, cold storage solutions supported by the Origination Facility are helping smallholder farmers reduce food waste and improve livelihoods.

Testimonials from our partners

Denis Karema, CEO, SokoFresh (Kenya), said: "With SNV's origination facility, we've been able to review and refine the business model, making it more attractive to investors and paving the way for sustainable growth. Together, we are not only transforming the agri-food landscape but also empowering farmers and enhancing climate resilience across East Africa."

In 2024, Camimex became the first DFCD Origination Facility-supported private business to secure funding from FMO, receiving a $15 million loan to advance sustainable shrimp farming in Vietnam’s Mekong Delta.

Supported by SNV, Camimex strengthened its operations by achieving organic certification, hatchery expansion, and testing a credit linkage model. These efforts de-risked the business and prepared it for investment.

The investment will restore 16,500 hectares of mangrove forests, increase smallholder incomes, and expand processing capacity by 6,000 tons annually.

'Our partnership with Camimex, bolstered by the DFCD's support, demonstrates the effectiveness of collaborative efforts to de-risk business propositions in climate adaptation and resilience. Focused on areas like the Mekong Delta, this approach not only advances Camimex but also sets a global benchmark,' said SNV’s CEO Simon O’Connell.

Dang Ngoc Son, General Director, Camimex, said: “This pivotal proposed investment from FMO, facilitated by the innovative support of the DFCD, will be a milestone in our quest to blend business success with environmental stewardship. Our journey with the DFCD, from origination support by SNV to a proposed investment by FMO, has been transformative. It has allowed us to pioneer practices that not only enhance the resilience of our operations against climate change but also ensure the sustainability of the ecosystems we depend on. We are setting new standards for the industry, proving that profitability and ecological responsibility can go hand in hand.'

Read more about Camimex’s journey in FMO’s Future Minded magazine and in this story on its journey with the DFCD.

As we move into 2025, SNV will build on the progress and lessons of 2024 to broaden the reach of the DFCD and scale impactful solutions. We will continue integrating interconnected themes like climate adaptation, biodiversity, gender equality, and food security into our work, ensuring businesses are prepared for impact at scale.

Our experiences this year has reinforced the value of collaboration, innovative partnerships, and effective de-risking of businesses. In 2025, SNV will take these lessons forward by strengthening partnerships with businesses and investors, scaling climate-smart solutions, and enhancing its contribution to global conversations on sustainable and climate resilient development.