- Sidbi has secured approval from the Green Climate Fund (GCF) for its first anchored project.
- The aim of the ASF project is to invest in early-stage companies harnessing technology-led innovation to spur climate solutions.
Sidbi, a development bank, has secured a USD 120 million approval from the Green Climate Fund (GCF) for its first anchored project, Avaana Sustainability Fund (ASF).
Sidbi, an accredited entity of GCF, said in a statement that the announcement was made at the 38th board meeting of the GCF, which will invest USD 24.5 million in the fund in Kigali, Rwanda.
Also, the ASF project aims to invest in early-stage companies harnessing technology-led innovation to spur climate solutions and sustainability in Rwanda. The anticipated outcomes include significant contributions to climate change mitigation, adaptation, and the enhancement of resilience in vulnerable sectors of the economy.
In addition, Sidbi said this is the first project anchored by Sidbi, including the first secured for the country in the past few years, and will go a long way in advancing the country’s nationally determined contributions by effecting substantial global changes through its proficiency in green and climate finance.
Furthermore, the Green Climate Fund is a key component of the historic Paris Agreement and the world’s largest climate fund. The fund’s investment strategy targets four significant transitions–built environment; energy industry; human security, livelihood, well-being; and land use-forests and ecosystems, employing four key approaches.