FinDev Canada and its 2X Canada facility have announced that it would be donating $13 million to the Energy Entrepreneurs Growth Fund to finance energy companies.
The Energy Entrepreneurs Growth Fund offers financial and technical assistance to early and growth-stage companies that show that they can increase access to clean, safe, dependable and affordable energy for off-grid houses and businesses in sub-Saharan Africa.
This would be FinDev’s first transaction under the recently launched 2X Canada, and through its investments, the funding would aid in solving the energy needs of African women consumers and African women business owners. In addition, the fund commits to promoting inclusive practices within its companies thereby contributing to positive impact on women’s economic empowerment.
What they are saying
Paulo Martelli, Vice President and Chief Investment Officer of Fin Dev Canada stated that the Covid-19 pandemic has slowed down electrification in Africa, a situation that was already bad before the pandemic and that the funding is committed to expanding access to clean and reliable energy for African households and businesses, leading to inclusive and sustainable growth and the improvement of millions of lives.
“By increasing EEGF’s capacity to invest in this sector, FinDev Canada and its 2X Canada facility support energy companies committed to expanding access to clean and reliable energy for African households and businesses, leading to inclusive and sustainable growth and the improvement of millions of lives,” Martelli said.
Jan-Henrik Kuhlmann, Head of Sustainable Energy at Triple Jump said, “Investment Manager Triple Jump and Advisor Persistent are thrilled to welcome FinDev Canada as a new fund partner, given our alignment not only on climate-friendly energy access, BoP client support in LDCs in Africa, but also on gender equality and women economic empowerment.
“FinDev Canada’s investment paired with targeted Technical Assistance support, will help address the unique needs of women as customers, entrepreneurs and employees in the access to energy sector.”
What you should know
Fin Dev is a Canadian Institution dedicated to providing financial services to the private sector in developing countries with the aim of combating poverty through economic growth by focusing on three main sectors: economic development through job creation, women’s economic empowerment, and climate change mitigation.
2X Canada is a finance fragility implemented by Fin Dev and funded by the Canadian government which aims at enhancing the resilience and socioeconomic well-being of low-income and marginalized populations, particularly women and girls, in the Caribbean and Sub-Saharan Africa. To Achieve this they have created the 2X challenge as a call to facilitate action and shift capital towards investments that empower women.