The European Investment Bank (EIB) and Allianz Global Investors (AllianzGI) have successfully established the Emerging Markets Climate Action Fund (EMCAF), which has reached a final size of €450 million (approximately USD 469.9 million) following a contribution from the German government. The German state-owned development bank, Kreditanstalt für Wiederaufbau (KfW), has committed €20 million on behalf of the German Federal Foreign Office, as announced by the EIB and AllianzGI.
Fund Overview:
- Purpose: EMCAF aims to mobilize up to €7.5 billion in climate finance for emerging and developing markets, focusing primarily on renewable energy and energy efficiency.
- Investment Scope: The fund will invest in approximately 15 funds, supporting around 150 projects aimed at reducing greenhouse gas emissions, adapting to climate change impacts, and promoting environmental sustainability.
- Recent Transactions: In 2024, EMCAF allocated USD 100 million across four transactions that support renewable energy, sustainable mobility, and green infrastructure in Africa, Asia, and Latin America. Notable investments include the CLEAR Fund, AIIF4 Climate Investment Fund, Southeast Asia Clean Energy Fund II, and Exagon Latin America Fund I.
Strategic Partnerships:
Apart from KfW, EMCAF has garnered support from various institutions, including the EIB, the Nordic Development Fund, the United Kingdom Foreign, Commonwealth & Development Office, Allianz, and Folksam. This collaboration reflects a collective commitment to addressing climate change and fostering sustainable development in emerging markets.
References:
- For more information about the EIB’s role and projects, visit their official website.
- Learn more about AllianzGI’s investment strategies and sustainability initiatives at their corporate site.
- To understand KfW’s contributions and projects, check their official page.
