The International Climate Finance Accelerator (ICFA) supports first- and second-time investment management or advisory firms in launching climate-focused investment vehicles. Designed to promote climate action in challenging geographies, ICFA offers a comprehensive support package to emerging fund managers aiming to deliver financial returns and positive social and environmental impact.
By combining financial resources, technical expertise, and practical guidance, ICFA empowers emerging fund managers to launch impactful investment vehicles. With a mission to advance global climate finance, ICFA supports the creation of sustainable solutions that address climate challenges and foster long-term economic and environmental resilience.
Core Benefits of the ICFA Program:
Financial Support:
€80,000 Grant: Covers critical expenses such as fund structuring, risk management policy development, and impact measurement methodology.
€200,000 Loan: Offered in collaboration with Spuerkeess and backed by the Luxembourg Government, this loan supports fund marketing, team development, and pipeline building.
Access to Private Sector Expertise: ICFA partners with financial services firms specializing in sustainable finance, offering fund managers reduced rates on essential services.
Capacity Building: Comprehensive training, coaching, and fundraising advice equip fund managers with the skills and tools needed to navigate the complexities of fund establishment and management.
Program Objectives:
- Support for funds targeting climate change mitigation and adaptation.
- Promote investments in regions eligible for international climate finance, ensuring high-impact deployment of resources.
- Enable fund managers to align their strategies with measurable social and environmental outcomes.
Target
Emerging fund managers focus on investments in climate change solutions.
Eligibility Criteria
- The applicant must be a first- or second-time investment manager or advisory company intending to establish an impact investment vehicle (the “Project”).
- The applicant must demonstrate adherence to recognized market practices and frameworks for responsible investments.
- Applicants must be or intend to be authorized by a competent EU Member State authority or operate under an equivalent regulatory regime.
- The Project must target both financial returns and substantial, measurable impacts, particularly addressing unmet needs for specific populations.
- An integrated system is required to identify, manage, monitor, and measure environmental and social impacts across 100% of the portfolio, alongside adherence to defined exclusion policies.
Key Features of Eligible Projects:
- At least 75% of total assets must be allocated to investments contributing to climate change mitigation or adaptation.
- Target investments must predominantly focus on regions eligible for international climate finance, with at least 70% of assets allocated to these areas.
- Comprehensive systems for measuring and managing environmental and social impacts are essential, reflecting a solid commitment to transparency and accountability.
