Turning climate risks to business opportunities – Climate-Smart Business Challenge Initiative

© AKF/Tajikistan
  • Country: Tajikistan, India, Pakistan
  • Organisation: Aga Khan Foundation (AKF)
  • Support area: Adapting to the impacts of climate change, Conserving natural carbon sinks / forestry, Mitigation of greenhouse gas emissions
  • Objective: Competitive funding scheme for small growing businesses in agriculture, forestry, and other land use.
  • IKI funding: 900,000 euros
  • Project start: 15/10/2022
  • Project end: 30/06/2025
  • Website: Aga Khan Foundation

This IKI Small Grants funding institution focused on innovative low-carbon and climate-resilient solutions in the agriculture and water nexus in Central and South Asia. Through setting up a competitive climate-smart business challenge initiative, the Aga Khan Foundation (AKF) established an instrument to support local enterprises to implement innovative, context-specific, climate-resilient, and low-carbon business products and services. The support included financial contributions, technical mentoring, and advisory to the selected small growing businesses. Moreover, peer learning and knowledge management activities helped raise awareness of climate risks and smart practices and technologies to adapt to the changing climate among local businesses in the region. The project also strengthened AKF’s capacities based on a capacity needs analysis, including mainstreaming climate-resilient and gender-sensitive programming.

GALLERY

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Gardener Alisho Yatimov stands in front of the newly installed solar panel that creates electricity to pump water up his garden in the hills of Tajikistan. © Saifiddin Safarmamadov/AKF Tajikistan
Gardener Alisho Yatimov stands in front of the newly installed solar panel that creates electricity to pump water up his garden in the hills of Tajikistan. © Saifiddin Safarmamadov/AKF Tajikistan
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Saffron grows with minimal water, even during the dry season, and restores soil health using manure – not chemicals – in the highlands of Chitral, Pakistan. © Aga Khan Foundation
Saffron grows with minimal water, even during the dry season, and restores soil health using manure – not chemicals – in the highlands of Chitral, Pakistan. © Aga Khan Foundation
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In India, IKI Small Grants funding helps turn agricultural waste into biofertiliser. © AKF India
In India, IKI Small Grants funding helps turn agricultural waste into biofertiliser. © AKF India
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From rural Varanasi to self-reliant entrepreneur, Sadhna Devi’s journey with the Aga Khan Foundation's business challenge shows how skills, support, and private sector commitment can transform lives and increase resilience. © Aga Khan Foundation
From rural Varanasi to self-reliant entrepreneur, Sadhna Devi’s journey with the Aga Khan Foundation's business challenge shows how skills, support, and private sector commitment can transform lives and increase resilience. © Aga Khan Foundation

PROJECT APPROACH

AKF ran a regional climate-smart business challenge initiative with a call for proposals. Eight innovative business approaches were piloted and provided with tailored technical support. Additionally, a robust knowledge management and communication strategy helped increase awareness of climate-related risks, climate change adaptation and low-carbon technologies among local business communities. Finally, AKF conducted a capacity needs assessment and implemented measures to mainstream climate-resilient and gender-sensitive programming for institutional expertise and implementation strength. A detailed plan of action addressed gaps.

Muhammad Ali works for the Aga Khan Foundation in Pakistan and teamed up with IKI Small Grants and local businesses to promote climate-smart farming. © Aga Khan Foundation

Project video

Links

An overview of the project can be found here: Project fact sheet

Panorama
The PANORAMA platform is a global learning community that compiles inspiring and replicable solutions for a healthy planet. In the context of the project, two solutions were identified and added to the platform.

ABOUT THE ORGANISATION

IPFG
AKF is a private, not-for-profit, non-denominational, international development agency established in 1967 by His Highness the Aga Khan. AKF brings together human, financial, and technical resources to address some of the challenges faced by the poorest and most marginalised communities in the world. With an emphasis on women and girls, AKF invests in human potential, expanding opportunities and improving quality of life.