A new US$200 million fund to help bolster the continent’s climate resilience has reached its first financial close.

FSD Africa Investments and Allied Climate Partners are committing a total of US$50 million to the African Transition Acceleration Fund (ATAF), reports Africa Business Communities.

In addition, French development finance institution Proparco has also committed US$15 million to the fund, according to  Africa Private Equity News. Other investors include the International Finance Corporation and German development financier KfW.

The ATAF aims to speed up investment in climate infrastructure while supporting economic development and job creation across the continent, targeting early-stage projects that find it difficult to access capital.

‘Africa’s energy transition will not be financed by waiting for projects to become safe enough for conventional capital. Someone has to go first,’ says Anne-Marie Chidzero, chief investment officer at FSD Africa Investments.

ATAF is providing access to capital to early-stage developers of infrastructure projects across three climate-focused sectors: renewable power and energy efficiency; sustainable transport; and clean fuels such as green ammonia and biofuels.

17 March 2026
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