South Asia Growth Fund III

The India-focused Private Equity Fund invests in companies that address climate mitigation and climate adaptation through proven business models and recurring revenue profiles. Its climate investment strategy is focused on energy efficiency, clean energy value chain, water, environmental products and services, circular economy, and green buildings materials. By contributing to job creation, gender equality and the transition to an energy-efficient, sustainable, and resilient economy, the fund is expected to deliver well on SIFEM’s strategic objectives. SIFEM committed USD 20 million in the first close.

The confluence of high population density, vulnerable ecology, extreme climate, and heavy reliance on natural resources makes environment sustainability one of the greatest challenges that India faces. Financing companies along the clean energy value chain helps to mitigate some of those challenges.

The Fund may allocate up to 10% of investments to opportunities in Indonesia, Vietnam, and the Philippines where the Fund Manager, GEF Capital Partners, believes it can extract synergies from regional linkages. Being a signatory to the ‘2X Challenge’, the Fund Manager integrates social aspects to advance gender equality and diversity and improve livelihoods. GEF Capital Partners is a long-term partner of SIFEM and several other European DFIs.