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ISLAMABAD, Oct 24 (APP):The National Rural Support Programme (NRSP) on Thursday announced the launch of its $50 million Climaventures Programme.
The NRSP acknowledged the role of the Government of Pakistan and the Ministry of Climate Change and Environmental Coordination for their unwavering support, a news release said.
The Green Climate Fund committed $25 million to Climaventures at its 40th Board Meeting held in Korea on October 22.
Investment Officer of the Green Climate Fund (GCF), Henry Gonzalez said, ‘’We are proud to support Climaventures, a pioneering initiative that develops homegrown climate solutions by leveraging Pakistan’s growing start-up ecosystem. The project aims to demonstrate that local climate needs can be met affordably, with strong demand for climate products and services, while offering investors financial returns on climate impact.’’
Climaventures is poised to be a groundbreaking initiative designed to kickstart Pakistan’s climate startup ecosystem and accelerate Pakistan’s transition towards a low-carbon, climate-resilient economy.
Pakistani Board Member of the GCF, Nauman Bashir Bhatti said, “I congratulate NRSP for the approval of the project. Although this is Pakistan’s 9th project for which the GCF Board has approved funding, it is the first indigenously conceived and designed equity project from Pakistan’s direct access entity aimed at mobilizing the domestic private sector for climate action in Pakistan.’’
Venture Accelerator, the foundational component with a size of USD 10 million, will provide financial and technical support to ideation-stage climate-focused businesses, helping them develop and scale their climate products.
The Climaventures Fund, a first-of-its-kind USD 40 million equity fund with a USD 15 million first losscovering anchor commitment from the GCF, will provide the much needed financial and strategic support to Pakistan-based early-stage climate ventures, fostering the development of scalable climate solutions across the country. Sarmayacar, the first financial institution to introduce the venture capital asset class in Pakistan, has been entrusted with managing the fund.
Together, the two components aim to fill a critical funding gap for climate technology start-ups, providing both technical assistance and direct venture investment to businesses working on addressing climate change –aiming to mitigate 3.5 mtCO2eq and benefit close to 6 million people of the climate-vulnerable population of Pakistan.