KawiSafi Secures $90 Million to Drive Africa’s Climate Transition
Acumen’s KawiSafi Fund has announced $90 million in approved capital to accelerate climate solutions across Africa, a significant step toward closing the financing gap that has long limited the continent’s transition to clean energy and sustainable growth. The fund, now in its second phase, will deploy catalytic equity financing to scale companies tackling climate change, with a focus on energy transition, clean transportation, and nature-based carbon solutions.
The $90 million includes $40 million in committed capital, with anchor backing from the African Development Bank’s Sustainable Energy Fund for Africa (SEFA), the Green Climate Fund, the Schmidt Family Foundation, and the Quadrature Climate Foundation. The Green Climate Fund has also provided first-loss capital, a de-risking mechanism designed to attract more commercial investors by absorbing early financial risk.
This is not KawiSafi’s first venture into African climate finance. Its initial $67 million fund, launched in 2016, was dedicated to expanding clean energy access. Fund II builds on that track record but takes a broader approach by targeting new areas critical to a low-carbon, climate-resilient economy. The ambition is bold: to reach 50 million people and avert 50 million tons of carbon emissions at scale.
Africa has historically attracted a disproportionately small share of global climate finance, despite being one of the regions most vulnerable to the effects of climate change. By investing in high-growth companies, KawiSafi aims to fill that gap, enabling local entrepreneurs to develop scalable solutions that can deliver impact and financial returns.
Still, execution will be complex. Challenges such as fragmented regulations, currency risks, and infrastructure gaps make scaling climate ventures in Africa more difficult than in other regions. There is also the question of accountability: large claims on emissions averted and people reached will require rigorous verification to ensure credibility and transparency.
Even with these risks, the significance of KawiSafi Fund II cannot be overstated. It signals growing investor confidence in Africa’s climate opportunity and may set a precedent for how blended finance can unlock larger pools of capital. If successful, the fund could demonstrate that climate solutions in Africa are not just an environmental necessity but also a compelling investment case.
