EMCAF, established in 2021 and now one of the world's largest blended finance equity funds, is expected to mobilise up to €7.5 billion of climate finance in emerging and developing markets. Renewable energy and energy efficiency represent a majority of EMCAF's investments to date.
Other areas of support by EMCAF include sustainable transport, forestry, water supply and wastewater.

EMCAF will invest in around 15 funds, which themselves are expected to back about 150 projects to reduce greenhouse gas emissions, cope with the impacts of climate change and promote environmental sustainability.

“EMCAF shows the power of public and private partnerships to bridge the global climate finance gap,” said EIB Vice-President Ambroise Fayolle “As the climate bank, the EIB will continue to prioritise innovative financial instruments to assist developing countries to accelerate a green and climate change resilient transition.”

In 2022, the Group of Seven (G7) endorsed EMCAF as a concrete innovative and market-led approach to mobilise private investments for climate infrastructure and to enhance multilateral finance and collaboration.

“As we close this fund dedicated to climate mitigation and adaptation in emerging markets, we are investing not just in sustainable solutions but in the future of our planet,” said AllianzGI Chief Executive Officer Tobias Pross. “This milestone represents a powerful opportunity to drive meaningful change in the regions where the need is greatest and is testament to the trust of our partners, the dedication of our team and our shared vision for the future.

EMCAF was announced at the United Nations Climate Change conference in Glasgow in November 2021. Last year, EMCAF provided $100 million for four transactions supporting renewable energy, sustainable mobility and green infrastructure across Africa, Asia and Latin America. These investments include Helios CLEAR Fund, AIIF4 Climate Investment Fund, Southeast Asia Clean Energy Fund II and Exagon Latin America Fund I.

KfW invests in EMCAF on behalf of Germany's Federal Ministry for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection, Federal Ministry for Economic Affairs and Climate Action and Federal Foreign Office.

“EMCAF has proven, that equity investments in climate mitigation and adaptation projects represent a suitable impact investing theme” commented Stephanie Lindemann-Kohrs, Director Global Equity and Funds at KfW. Through our participation in the final close of the fund we were again able to leverage crucial private capital to provide this necessary financial instrument to the targeted regions, enabling private sector players to offer a meaningful contribution to global climate projects with high impact on the ground”.

Other investors in EMCAF include the EIB on behalf of the Government of Luxembourg, the Nordic Development Fund, the United Kingdom Foreign, Commonwealth & Development Office, Allianz insurance companies, Folksam insurance companies and EIB Global, the EIB's development arm.

"NDF was proud to be among the first investors in EMCAF, joining forces with other likeminded financiers to support this transformative Fund of Funds”, said Satu Santala, Managing Director of the Nordic Development Fund. “Through its innovative structure, EMCAF has achieved remarkable scale, driving investment into projects that contribute to both climate change mitigation and resilience while profoundly improving lives in the world's most vulnerable regions. The partnership between Allianz and the European Investment Bank has been effective and collaborative, showcasing the strength of teamwork in building critical assets, catalysing private market ecosystems, and advancing public-private partnerships. Together, we are delivering lasting, tangible impact where it is needed most."

EMCAF has recently published its second impact report covering the year 2023.  Despite being in its early stages of portfolio construction, it shows the fund's strong performance on capital mobilization as well as a first set of climate impact performance indicators, including 800,000 metric tons of greenhouse gas emissions reduced.