- British International Investment plans to commit $1.6 billion to climate finance across Southeast Asia over five years, combining its own capital with private investment.
- The funding will support renewable energy, electric vehicle infrastructure, waste management and water projects to reduce emissions and strengthen climate resilience.
BII Plans $1.6 Billion Climate Investment
British International Investment (BII), the UK’s development finance institution, plans to invest $1.6 billion in Southeast Asia over five years. The commitment marks the fifth anniversary of its Asian headquarters in Singapore.
The funding will support developing economies, including Vietnam, Indonesia, the Philippines, Malaysia and Thailand. These countries aim to reduce their reliance on high-emission fossil fuel power generation and expand renewable energy.
BII will provide approximately half of the planned investment. It will mobilise the remaining capital from private investors.
British Climate Partners to Channel Funding
British Climate Partners (BCP), a climate finance initiative launched by BII earlier in 2026, will channel a significant share of the funding. BCP focuses on fast-growing, carbon-intensive Asian economies.
UK Foreign Secretary Ed Miliband stressed the urgency of climate action. “The climate crisis is a national security issue that demands urgent attention,” he said. He added that the UK government prioritises climate action at home and internationally.
BII Chief Executive Officer Leslie Maasdorp said the organisation would focus on projects that support Southeast Asia’s clean and sustainable economic future. He made the remarks in Singapore while launching BII’s new five-year regional strategy.
Previous Investments Support Clean Energy
Between 2023 and 2025, BII committed nearly $400 million to climate finance in Southeast Asia. Its investments included projects involving ib vogt, Skye Renewables, the Asian Development Bank, VPBank, HDBank and Xurya.
BII also invested in several climate-focused funds. These include Pentagreen Capital’s Green Investment Partnership, Gresham House’s SUSI Asia Energy Transition Fund and 100×100 Impact Fund I.
The institution targets several sectors that can reduce emissions and strengthen climate resilience. These include renewable energy generation, electricity transmission, electric vehicle infrastructure, waste management and water infrastructure.
Projects Target Emissions Cuts and Job Creation
BII expects its investments to add approximately 1.8 gigawatts of clean energy capacity. It also projects that the investments will prevent nearly 1.7 million tonnes of carbon emissions.
Its existing infrastructure and climate portfolio has supported around 358 megawatts of operational or installed clean energy capacity. The portfolio has generated more than 556,000 megawatt-hours of renewable electricity.
It has also helped avoid approximately 368,000 tonnes of carbon emissions. In addition, BII’s portfolio has supported more than 2,000 direct, operational and temporary construction jobs.
BII Signals Larger Commitments
Srini Nagarajan, BII’s Managing Director and Head of Asia, said the institution would commit significantly more capital over the next five years. He said the investment would expand climate finance opportunities and accelerate the region’s green transition.
The planned commitment aims to attract private investment while helping Southeast Asian economies expand clean energy infrastructure, reduce emissions and strengthen resilience to climate risks.