In decision B.07/02, paragraph (n), the Board requested the Secretariat, in consultation with the Accreditation Committee and the Accreditation Panel as needed, to develop an environmental and social management system (ESMS) for GCF, based on the outline contained in annex VI to the same decision. The ESMS is a broad operational framework that allows GCF to incorporate environmental and social considerations into its decision-making and operations. The ESMS is underpinned by an overarching environmental and social policy that describes how GCF will implement the ESMS and achieve improvements in environmental and social outcomes while addressing any adverse impacts from GCFfinanced activities. This document describes the structure of the ESMS, presents the draft GCF environmental and social policy, and proposes next steps for further developing the ESMS.