• €150M Initial Capital: The Climate Investor Three (CI3) fund, led by Climate Fund Managers (CFM), has secured €150 million in commitments to accelerate green hydrogen and energy transition projects in emerging markets.
• Blended Finance Approach: CI3 uses a risk-balancing finance model to attract both public and private investors, advancing large-scale climate initiatives.
• Strategic Focus on Namibia and South Africa: Dedicated funds for Namibia and South Africa aim to leverage local renewable resources for global decarbonization.

Climate Fund Managers (CFM) announced the launch of Climate Investor Three (CI3), a blended finance fund targeting the energy transition and green hydrogen sectors. The fund has already secured €150 million in initial capital commitments from European donors, aiming to mobilize both public and private investments to drive climate impact at scale.

How It Works:

CI3 employs a family-of-funds approach, investing directly into projects or through country-specific funds:

• SDG Namibia One: In partnership with Namibia’s Environmental Investment Fund (EIF) and Invest International, this fund will boost Namibia’s green hydrogen sector.
• SA-H2 Fund: With support from Invest International, Sanlam Limited, the Development Bank of Southern Africa (DBSA), and the Industrial Development Corporation of South Africa (IDC), this fund will propel South Africa’s energy transition projects.

Related Article: Climate Fund Managers to Manage SAPP’s $1.3 Billion Energy Transmission Initiative

Why It Matters:

Green hydrogen, created via water electrolysis using renewable energy, is key to decarbonizing difficult sectors like transport and industrial production. Countries like Namibia and South Africa, rich in renewable resources, are well-positioned to lead this charge, promoting low-emission, climate-resilient growth.

What They’re Saying:

“Green hydrogen holds immense potential to drive sustainable development in emerging markets and support the global energy transition,” said Hans Docter, co-CEO of Invest International. “For this reason, we are proud to partner with CFM in launching Climate Investor Three as a blended finance vehicle.”

“Green hydrogen is a cornerstone of the global energy transition,” noted Sebastiaan Surie, Head of Hydrogen at CFM. “With a strong project pipeline in Namibia and South Africa, we invite public and private investors to partner with us in shaping the global energy transition.”

“Global partnership is vital to support the energy transition and particularly green hydrogen development in Namibia,” added Benedict Libanda, CEO of EIF. “Collaboration among stakeholders is essential to overcome technological challenges and scale up production and export.”

The Bottom Line:

CFM’s CI3 fund aims to transform emerging markets into global green hydrogen leaders, aligning with climate goals and boosting economic development through a smart blend of public and private investments.

Follow ESG News on LinkedIn