Investing catalytic capital to address climate finance bottlenecks in emerging economies
Who we are
Allied Climate Partners (ACP) is a philanthropic investment organization with a mission to address climate finance bottlenecks in emerging economies to create significant environmental, economic, and social impact. ACP’s initial focus regions are Southeast Asia, Africa, India, and the Caribbean & Central America.
ACP is backed by leading philanthropies working at the nexus of economic development, climate action, innovation, and finance in emerging economies.
What we do
ACP partners with regional investment managers in emerging economies. We help to establish and anchor funds by providing catalytic junior equity investments and value-added support. Each fund targets a key bottleneck impeding the flow of capital to climate-related sectors and aims to increase the number of bankable projects and asset-oriented businesses.
ACP’s funds are expected to create positive impacts on vulnerable & at-risk communities – including improving access to clean and resilient infrastructure (e.g., energy, transport) and strengthening resilience against climate risks.
The initial proof-of-concept for ACP is the Southeast Asia Clean Energy Facility (SEACEF), managed by Clime Capital.
“The shortage of bankable projects is a critical, persistent challenge in emerging economies. ACP’s leadership in providing affordable innovative financing to early-stage climate projects and companies addresses the urgent need in the transition to net zero, acting as a pioneering market making catalyst for underserved sectors.”
- Damilola Ogunbiyi, UN Secretary General's Special Representative
and CEO for Sustainable Energy for All (SEforALL)
Latest News
Allied Climate Partners Makes Inaugural Catalytic Investment, Anchors SEACEF II First Close
PR Newswire | 21 January 2024
Allied Climate Partners (ACP), the innovative philanthropic investment organization recently launched at COP28, today celebrated the first close of the Southeast Asia Clean Energy Fund II (SEACEF II), managed by Clime Capital. Allied Climate Partners' mission is to increase the number of bankable, climate-related projects and businesses in emerging economies to create significant environmental, economic, and social impact…
IFC and Allied Climate Partners Announce Collaboration to Scale Emerging Market Climate Investments
IFC | 1 December 2023
IFC today announced a collaboration with Allied Climate Partners (ACP) that will help create a pipeline of viable climate investments in Southeast Asia, Africa, the Caribbean and Central America, and India. ACP's new platform is backed by philanthropic capital and designed to mobilize investment in climate-related projects in emerging economies…
Exclusive: At COP28, donors join IFC to lure $11 bln in climate cash
Reuters | 1 December 2023
Some of the world's biggest charities have joined forces with the World Bank's private investment arm in a climate financing venture to try to generate $11 billion in investments in developing countries. Launching the Allied Climate Partners (ACP) platform on Friday…
The challenge: Increasing the number of bankable climate projects and businesses
Infrastructure projects face their highest risks at the earliest stages, particularly in emerging economies. As a result, risk-oriented capital is often in short supply, and it can be challenging for entrepreneurs and developers to access the early-stage capital and assistance they need to develop climate-related projects and businesses to the point of bankability and financial close.
How ACP addresses the challenge
ACP’s capital seeks to fill critical early-stage gaps to address climate-related finance bottlenecks in EMDEs.
By originating and anchoring local investment managers with catalytic, junior capital, ACP will:
Focus on climate projects and companies at early stages of development when risk-oriented capital can have a significant impact
Systematically de-risk investments by providing tranched, milestone-based disbursements and hands-on management support (e.g., strategy, hiring)
Seek to exit early, crowd in third-party investors, and recycle proceeds to create more bankable projects
Ensure investments promote jobs, green industrialization, inclusive growth, and shared prosperity in vulnerable and at-risk communities
In addition to funds focused on providing equity at the critical early stages of project development, ACP is now actively evaluating additional climate finance bottlenecks where it could focus on establishing funds (e.g., other project stages, specific sectoral funds, or new regions).
How ACP supports selected regional managers
ACP provides hands-on, value-added support by:
Anchoring selected investment managers with first-loss, junior equity. This enables them to raise senior equity and create funds of sufficient scale focused on early-stage, climate-related projects and asset-oriented businesses
Working closely with regional investment managers to support their strategies, fundraising, and networks
Investing in strategic partnerships in the ecosystem to improve the investment landscape for regional funds and achieve climate impact
