International Finance Corporation creates $280m Catalyst Fund to address climate change
World Bank group member, International Finance Corporation (IFC) has created a $280m IFC Catalyst Fund to address issues related to climate change.
The investments into the fund were made by IFC, the governments of Canada and UK and the sovereign wealth fund of Azerbaijan.
IFC contributed $75m to the fund, while the UK government provided $80m.
The IFC Catalyst Fund will invest into companies that focus on renewable energy and energy efficiency projects.
IFC EVP and CEO Jin-Yong Cai outlined that the climate change remains one of the focus areas for the agency.
"The Catalyst Fund represents a concrete step forward in mobilizing commercial finance for climate. It will encourage additional private sector investment into climate projects in emerging markets," said Cai.
UK Minister of State for DECC further noted that private sector investments were crucial to mitigate the dangerous effects of climate change.