Norfund

📣Key figures for the Climate Investment Fund are in📣 Once fully operational, these investments are expected to avoid 17.6 million tonnes of CO₂ emissions annually, which correspond to 38 percent of Norway’s total emissions (!)—and that’s not even counting the impact of last year’s investments in transmission⚡ A major shoutout to our investees and to our Renewable Energy team for supporting the transition to net zero🚀🌍

💡We had the pleasure of accompanying the think tank Civita - den liberale tankesmien on a visit to d.light outside Nairobi to learn more about the company's impact. As a leading producer and distributor of solar energy solutions, d.light has provided solar solutions to almost 250 million people (!), improving energy access for households, schools, and small businesses.

⚡We are investing 575 million ZAR (350 MNOK) in Pele Green Energy together with Nedbank! The capital will finance projects that will avoid 1.9 million tons of CO₂. Proud of our partnership with Pele and our shared achievements: 980 MW in operation, 670 MW under construction, and a development pipeline exceeding 5 GW!👏   Pele is  a South African Black Economic Empowerment (BEE) infrastructure company, founded by five young entrepreneurs in 2009. We invested 400 MNOK in 2023 and the company now needs more capital to finance further growth, which is planned within projects that deliver energy directly to businesses (C&I), investments in battery storage, and government tenders for larger renewable projects🔋☀️🏢💨 "This is a game-changer for the renewable energy sector," says Gqi Raoleka, CEO of Pele Energy Group.

🔎 Want to be part of Norfund’s mission to create jobs, improve lives, and support the transition to net zero? We currently have five exciting opportunities across our offices in Oslo, Bangkok, and South Africa. 📌 Apply now and explore our career page for more details: https://lnkd.in/dSfwk-i

Contributing to safer workplaces for women🌍🚺 On International Women’s Day, we recognize that ensuring safe and inclusive workplaces is essential for advancing gender equality. 8% of women have faced sexual violence or harassment at work, according to ILO. Many businesses in our markets lack the policies and response mechanisms to address these risks. Norfund’s Business Support facility is co-funding a specialized training program for our investees in partnership with British International Investment and other DFIs. Led by SDDirect, the training equips businesses with practical tools to assess risks, strengthen policies, and implement survivor-centered grievance mechanisms. Nine Norfund-sponsored participants trained in Kenya, India, and Ghana in 2024, and the results are promising. The participants found the training directly applicable to their roles, and have implemented changes in policies, inductions, and reporting mechanisms📋 "Gender-based violence and harassment is a key risk in our markets and mitigation initiatives are highly sought after. Assisting investees in identifying, addressing, and preventing these risks reflects Norfund’s commitment to gender equality as one of our four cross-cutting issues." - Mfon Essien, E&S Manager at Norfund 🔜 What’s next? Norfund has secured about 35 seats in the program which is expanding to Senegal, Bangladesh, South Africa, Indonesia, and Côte d’Ivoire in 2025, in addition to repeat sessions planned in Kenya, and India.

Boosting solar energy and job creation in Colombia with $20 million investment 🌞 Erco Energía has played a key role in integrating renewable, cost-efficient, and digital energy solutions in Colombia. To date, the company has developed projects totaling over 323 MW from small to bigger scale, and is targeting 1 GW of installed capacity by 2030 👏⚡ “Since before our initial investment the team and achievements of Erco have impressed us. We are excited to increase the number of jobs and access to renewable energy through this investment”, says Arnoldo Morice, Senior Investment Manager in Norfund. With this we have invested a total of USD $50 million in Erco

“I wouldn’t say altruism is dead. But across the board, there is definitely going to be more self- interest,” Norfund EVP Ylva Lindberg told David Pilling in Financial Times in an article on the future of international aid amidst major budget cuts📉🌍    The global aid system is undergoing a fundamental shift—with major consequences. While commercial investments can drive growth and alleviate poverty, they cannot replace humanitarian aid.  “We might see a reforming and refinancing of the global aid toolbox, including a shift from grants to for-profit investments,” Ylva noted💬    That aid budgets are becoming more transactional, tied to geopolitics, and increasingly investment-driven, Ylva pointed out, along with Stefan Dercon and Bright Simons. You can read the article here (behind paywall) https://lnkd.in/dTV3y8QQ  👈

An external evaluation of Norfund’s renewable energy investments was launched at an event in Oslo today🎉 The evaluation, covering 2015–2023, finds that our investments in the period have contributed to: ⚡Financing more than 11 GW of new electricity production 💡 Access to electricity for 7 million households 🌍 Avoiding 14.7 million tonnes of annual CO2-emissions “I may be new to this job, but I have already had time to be impressed with the way Norfund demonstrates that profitable investments are possible also in challenging markets. And I am not the only one. The way Norfund serves as an inspiration to other investors and has mobilized them to co-invest with the Climate Investment Fund, exceeds our expectations", said the new State Secretary of International Development, Stine Renate Håheim. 💸The report finds that Norfund's focus on profitable projects is a key driver for sustainability of our results - because profitable projects produce better results in the long run. And it concludes that the Norfund organization is efficient- also when compared to peers. The evaluation also includes proposals for adjustments, including investing more in the power grid to reduce bottlenecks, setting more ambitious climate targets, and having even clearer expectations for good corporate governance in the companies in which we invest. Thanks to KPMG Norway, Norad - Norwegian Agency for Development Cooperation and Avdeling for evaluering av norsk utviklingssamarbeid for great co-operation on the report, which we will follow up in our conversations with our owner, Utenriksdepartementet (MFA).

We had our first meeting with Norway’s new Minister for International Development, Åsmund Aukrust. While he already has a strong understanding of Norfund’s work, we had the opportunity to further update him on our investments and the opportunities and challenges we see in our markets. With global development facing unprecedented challenges, it is more important than ever to channel investments where they can create lasting change. Aukrust highlighted key priorities in Norway’s development policy—mobilisation, gender equality, and the need for decent work—priorities we share at Norfund🌍

New investment in AgDevCo to strengthen African agribusiness🌾 Norfund is partnering with British International Investment and Swedfund International in a joint joint $85 million investment to enable AgDevCo to increase job creation, climate resilience, and food security. 👩🏽🌾With over 2.4 million smallholder farmers already supported, this investment will further expand high-impact agribusinesses in rural areas and strengthen AgDevCo’s portfolio across sub-Saharan Africa. “At Norfund, we recognize agriculture as a cornerstone for fostering inclusive and sustainable economic growth in sub-Saharan Africa. Our $15 million investment, bringing our total commitment in AgDevCo to $35 million, reflects our unwavering commitment to supporting enterprises that empower smallholder farmers, enhance local food systems, and build resilience against climate change,” Donald Kariuki, Investment Manager at Norfund.