Hong Kong monetary authority anchors actis’ Asia climate strategy to support decarbonisation in Asia
LONDON, HONG KONG, 20 September 2024: Actis, a leading global investor in sustainable infrastructure, Hong Kong Monetary Authority (HKMA) and other investors have closed the Actis Asia Climate Transition fund, which has raised US$560 million for climate transition investments across Asia.
The Hong Kong Monetary Authority anchored the strategy as part of its commitment to catalyse climate transition investing across the region. The Actis Asia Climate Transition fund was established to meet investor demand for an SFDR Article 9 investment strategy, focused on net zero and decarbonisation assets.
Actis, together with HKMA, saw the opportunity to create a bespoke and targeted investment vehicle to leverage the ever-pertinent need for decarbonisation. Transitioning Asian economies to net zero is vital to achieve global climate targets; Asia produces over 50% of global CO2 emissions, represents more than 50% of the world’s population and US$93 trillion is required to finance the energy transition in Asia to 2050.
The continent’s role at the forefront of global industry, means that the climate battle could be won or lost in Asia. The Actis Asia Climate Transition strategy will seek to invest US$100-150 million equity cheques in assets supporting climate solutions, including energy efficiency, smart grids, district energy and sustainable transport.
Asanka Rodrigo, Partner at Actis, said: “We will invest in Asian companies focused on decarbonisation and climate solutions, making the consumption of energy more efficient and delivering sustainable transportation solutions. Actis is ideally positioned to do this building on our long-term track record in the energy and infrastructure sectors.”
Shami Nissan, Partner, Head of Sustainability at Actis, commented: “With half the world’s population, rapid industrialisation, carbon intensive grids and accounting for half of global emissions, Asia is absolutely vital to our ability to deliver a net zero future. We are delighted to be partnering with a long-term strategic investor of Actis to support this need, through a SFDR Article 9 investment strategy.”