Schroders Capital and BlueOrchard have committed $5 million to the African Infrastructure Investment Fund 4 (AIIF4) through their Green Earth Impact Fund (GEIF). This investment is aimed at supporting climate-focused infrastructure projects in Africa, marking a significant step towards sustainable development in the region.
GEIF, a collaborative fund managed by Schroders Capital and BlueOrchard, specializes in channeling capital to private equity funds with a strong emphasis on climate impact. The fund’s mission is to drive positive environmental change by investing in projects that contribute to climate resilience and sustainability.
AIIF4, managed by African Infrastructure Investment Managers (AIIM), is a well-established fund in the region, leveraging extensive local partnerships to implement sustainable infrastructure initiatives. AIIM’s expertise and local knowledge enable it to identify and execute impactful projects that address critical infrastructure needs while promoting environmental sustainability.
The $5 million investment is directed at AIIF4 Climate Investment LP, a sub-fund of AIIF4 specifically focused on climate-related infrastructure projects. This targeted approach ensures that the funds are utilized effectively to support projects that have a direct and measurable impact on climate change mitigation and adaptation.
Priority areas for investment include South Africa, Morocco, and the broader sub-Saharan Africa region. These regions have been identified as having significant potential for climate-focused infrastructure development, and the investment aims to unlock this potential by providing the necessary capital and expertise.
AIIM has already undertaken significant projects in renewable energy, cold chain logistics, and green data centers, showcasing its commitment to fostering a sustainable infrastructure ecosystem across the continent. These projects not only contribute to reducing carbon emissions but also support economic development and improve quality of life for local communities.
Daniel Freedman, Senior Portfolio Manager at Schroder Investment Management, praised AIIM’s expertise and its focus on climate solutions. He highlighted the alignment between GEIF’s objectives and AIIM’s proven track record, expressing optimism about the partnership’s potential to drive clean energy, carbon reduction, and sustainable logistics in Africa.
Paul Frankish, Head of Strategic Initiatives at AIIM, welcomed GEIF as an investor and emphasized their shared commitment to addressing Africa’s infrastructure and climate challenges. He highlighted AIIM’s investments in renewable energy, green data centers, and temperature-controlled logistics, emphasizing their impact on food security and sustainable economic development.
This partnership between Schroders Capital, BlueOrchard, and AIIM represents a significant step forward in mobilizing capital for climate-focused infrastructure projects in Africa. By working together, these organizations aim to create a more sustainable and resilient future for the continent.
