KawiSafi Fund II Receive $10M Investment By AfDB: Powering Africa’s Climate Innovation and Clean Energy Transition.
2024-08-15 08:29:30 | By Staff Writer
The African Development Bank Group (AfDB) is putting its money where its mouth is when it comes to tackling climate change in Africa.
They’ve just dropped a cool $10 million into the KawiSafi II Fund, all aimed at helping local businesses kickstart and expand projects that focus on sustainable energy, clean mobility, and other green initiatives.
This isn't just pocket change—it's part of a broader strategy to supercharge Africa’s shift toward a greener future.
So, what's the big deal with this investment?
For starters, it’s part of the AfDB’s Sustainable Energy Fund for Africa (SEFA), which is all about unlocking private sector investments in renewable energy.
Amar Inamdar, the Managing Director of KawiSafi Ventures, called this move “catalytic.” Basically, it’s the kind of jumpstart that could attract even more money to fuel Africa’s climate innovation.
The KawiSafi II Fund is aiming for a hefty $200 million to tackle everything from energy access to mobility solutions in sub-Saharan Africa.
This follows the success of the first KawiSafi Fund, which was set up back in 2016. That fund made some serious waves by backing companies like d.light and Bboxx, which are bringing off-grid solar power to millions of people who need it the most.
João Duarte Cunha, who manages the AfDB’s Renewable Energy Funds Division, says this cash infusion comes at just the right time. With the market crying out for venture capital, especially in the energy sector, the KawiSafi II Fund is set to fill that gap.
And it doesn’t stop there. The AfDB is also throwing another $10.5 million into Seedstars Africa Ventures I, a fund focused on backing high-growth, innovative businesses across the continent.
In a nutshell, the AfDB isn’t just talking about climate action—they’re making it happen, one investment at a time. As Africa grapples with the twin challenges of energy transition and climate change, these kinds of investments could be the key to unlocking a more sustainable future.