British International Investment (BII), the UK’s development finance institution and impact investor, is pleased to announce a new initiative under the recently launched £100 million Mobilisation Facility to boost the flow of private capital into emerging economies considered too risky by global investors.
Emerging economies are highly vulnerable to the impacts of climate change and desperately in need of private capital, which is essential to accelerate the global climate transition. However, risk perceptions associated with investing in these economies remain a major constraint for private investors.
BII is partnering with Mercer, a global investment firm providing leading advice, research and solutions, to issue a Call for Proposals for best-in-class investment strategies to overcome these constraints, by leveraging concessional capital to increase the level of private investment into climate-related projects in emerging markets and developing economies.
Launching in the new year, asset managers with a demonstrable track record in climate finance and interest in emerging markets and developing economies will be invited to share innovative ideas to boost private investment into these regions.
Up to £50 million of the Mobilisation Facility will be available for successful proposals, as well as the opportunity to access non-concessional investment funding from BII. All proposals should demonstrate the potential for significant mobilisation, impact, scalability, and sustainability. This will be evaluated by a panel of experts, who will identify up to three proposals to go through BII’s investment committee process for funding consideration from 2025 onwards.
For the remaining available Mobilisation Facility, BII will continue to seek new projects through our standard investment channels and across a range of sectors, regions and financing products.
BII is a champion in the fight against the climate emergency and over the last two years has invested over £1 billion in climate finance and mobilised nearly £1 billion of private capital into climate projects.
