Incidentally, GCF, the world’s largest climate fund, is making its first investment in a climate venture fund in India through Avaana Climate and Sustainability Fund.
Avaana Capital, India's climate-focused venture capital firm, has managed to infuse Avaana Climate and Sustainability Fund with USD 135 million, thanks to support from renowned institutional investors, including the Green Climate Fund (GCF), said a senior official from the company on Wednesday.
In a press statement, Anjali Bansal, partner at Avaana Capital, said, "The support we’ve received from leading global and domestic institutional investors underscores the importance of innovation in driving climate action and delivering long-term impact. The Avaana Climate & Sustainability Fund will help build the next generation of climate-first companies to transform key sectors and make meaningful progress toward a sustainable future."
According to her, the fund focuses on three core sectors that account for 90 per cent of India’s carbon emissions: Energy and Resource Management, Mobility and Supply Chains, and Sustainable Agriculture and Food Systems.
Bansal said India is one of the world’s most climate-vulnerable nations and with the largest population and the sixth-largest economy, the country plays a crucial role in global climate solutions.
"Estimates suggest that India will need investments exceeding USD10 trillion by 2070 to meet its net-zero targets and address the growing risks of climate change," she added.
Incidentally, GCF, the world’s largest climate fund, is making its first investment in a climate venture fund in India through Avaana Climate and Sustainability Fund.
"Avaana’s focus on transformative technologies in critical sectors like food and agriculture, energy, mobility, aligns with GCF’s vision of catalysing meaningful climate solutions. This partnership will accelerate India’s net-zero journey and create scalable models for other emerging markets facing similar challenges," said Kavita Sinha, Director, Division of Private Sector Facility, Green Climate Fund.
Apart from GCF, other key participants include the US International Development Finance Corporation (DFC), UK Government through UK- India Development Cooperation Fund (UKIDCF), the Self Reliant India (SRI) Fund and Small Industries Development Bank of India (SIDBI) and Azim Premji Trust.