Acumen has launched its second KawiSafi fund focused on accelerating climate solutions in Africa, with $90 million in approved capital, including $40 million in committed capital, for its for-profit investment strategy. The fund builds markets with fast-growing companies that will help unlock Africa’s potential for a low-carbon, climate-resilient, and inclusive economy. KawiSafi’s pipeline focuses on meeting everyday needs and creating decent work through energy transition, clean transportation, and nature-based carbon solutions across Africa. Its goal is to impact 50 million people and avert 50 million tons of CO2 at scale.
Following the successful deployment of the predecessor KawiSafi fund, a $67 million clean energy fund launched in 2016, Fund II’s strategy is to provide catalytic equity financing to businesses that build low-carbon pathways to economic resilience in underserved communities. At a moment when climate resilience is critical for economic stability, Fund II is channeling capital toward businesses that combine capital appreciation with measurable climate impact.
Climate change disproportionately affects Africa. The continent is home to the majority world’s poorest people and receives only 6 percent of global investment flows, while climate shocks, including droughts, floods, and rising seas, could push an additional 100 million people into poverty worldwide.
Fund II supports business models addressing these structural risks. The fund targets use cases such as distributed renewable energy, resilient mobility, clean cooking, and access to carbon finance. It builds on lessons from its predecessor while expanding into new sectors and technologies.
This milestone comes at a pivotal moment in Africa’s energy transition. Expanding access will require investment beyond traditional grids and infrastructure to reach communities historically excluded from energy systems. Fund II is responding by deploying capital to Africa-based entrepreneurs building the foundation of a low-carbon future.
“Securing $90 million for a successor KawiSafi fund is a major milestone and a signal to the market: capital can and must flow toward a more inclusive, low-carbon future,” said Amar Inamdar, Managing Director of the KawiSafi funds. “We are backing the entrepreneurs who are building scalable business models that turn climate challenges into growth opportunities across Africa.”
Anchor investors include the African Development Bank’s Sustainable Energy Fund for Africa (SEFA), the Green Climate Fund, Schmidt Family Foundation, and with funding from Quadrature Climate Foundation.
“The KawiSafi fund comes to market at a critical time, offering much-needed venture and growth capital to emerging businesses advancing energy access and the energy transition,” said João Duarte Cunha, Manager of the African Development Bank’s Renewable Energy Funds Division, which oversees SEFA. “Our support for this fund reflects the Bank’s broader commitment to scaling innovative low-carbon solutions and mobilizing private capital to accelerate Africa’s clean energy future.”
The fund’s blended finance structure is designed to de-risk investment and attract commercial capital. Each dollar of concessional funding helps unlock greater participation from private and institutional investors by absorbing early-stage risk. With a robust pipeline in place, the fund is poised to deploy capital to enterprises positioned to drive systemic change in Africa’s climate and energy landscape.
“The KawiSafi funds show that distributed clean energy solutions can drive Africa’s energy transition and economic transformation,” said Jacqueline Novogratz, Founder and CEO of Acumen. “This milestone brings together years of learning, a coalition of committed partners, and the local insight needed to scale climate solutions where they matter most.”
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