BlackRock has secured more than US$250 million in commitments from a consortium of global institutional investors, governments and philanthropies for the Climate Finance Partnership (CFP), a finance vehicle focused on investing in climate infrastructure across emerging markets in order to accelerate the global transition to a low carbon economy.
The Governments of France, through the French Development Agency (AFD); Germany, through KfW Development Bank (KfW); and Japan, through Japan Bank for International Cooperation (JBIC); together with the Grantham Environmental Trust, the Quadrivium Foundation, and another private foundation committed a combined US$112.5 million in catalytic capital. This catalytic capital is being used to mobilize a broader institutional capital raise, starting with commitments from Dai-ichi Life Insurance, a European pension fund, and banking partner, Standard Chartered Bank, as well as MUFG Bank, which together are the first institutional investors in CFP.
CFP will target investments in select countries in Asia, Latin America, and Africa. The fund’s focus on the climate infrastructure sector include: (i) grid connected and/or distributed renewable power generation; (ii) energy efficiency in residential, commercial and/or industrial sectors; (iii) transmission or energy storage solutions; and (iv) ultra-low emission or electrified transportation and mobility services. The partnership is targeting at least US$500 million.
