Avaana Capital has announced that the Green Climate Fund (GCF) has sanctioned a significant $24.5 million investment in its climate and sustainability fund. The Avaana Capital’s climate and sustainability fund, valued at $120 million, of which $24.5 million is contributed by GCF, is promoting climate innovation and sustainability initiatives in India.
The investment by the GCF in India’s inaugural technology-driven climate venture capital firm highlights the significant role that technology and innovation play in shaping low-emission and climate-resilient development routes. The collaboration between the GCF, Avaana Capital, and SIDBI, a GCF direct access entity, to bolster the Avaana sustainability fund seeks to facilitate the commercialisation of indigenous, nascent climate technology startups. These ventures are poised to facilitate India’s shift towards a low-emission, climate-resilient future.
The GCF aids developing nations in formulating and executing climate action initiatives, allocating financial resources for both adaptation and mitigation efforts against climate change impacts. It focuses on critical sectors including energy transition, transportation, supply chains, sustainable agriculture, and food systems. In June 2023, sentra.world, an ESG SaaS platform raised $2 million in seed funding led by Avaana Capital with participation from RPG Ventures and Golden Sparrow Ventures.