M&G’s impact investing unit responsAbility Investments announced today that it has raised over $414 million in commitments for its Asia Climate Strategy, aimed at actively contributing to CO2 reduction in Asia through targeted investments in low-emission technologies.
The latest closing for the fund included a $50 million investment from World Bank Group member the International Finance Corporation (IFC).
Launched in November 2023, the strategy was established with a target to reach $500 million, and a goal to achieve 16 million tons of CO2 emissions reductions over lifetime of its assets. Key areas of investment for the fund include sectors such as renewable energy, battery storage and e-mobility, energy efficiency, and the circular economy.
responsAbility said that additional private capital commitments are expected in 2025, with the strategy on track to reach its $500 million target by the end of this year.
Stephanie Bilo, Chief Client & Investment Solutions Officer at responsAbility, said:
“With USD 414 million raised in this particular strategy, we are well positioned not only to reach our USD 500 million target but also to continue scaling the Strategy and delivering substantial CO₂ reduction impact in the region. In addition, private investments in Asia offer attractive diversification benefits for institutional investors in a volatile market environment.”
According to responsAbility, the strategy aims to help mobilize capital for Asia’s energy transition, with the region accounting for more than 50% of global CO2 emissions, while also anticipating a significant increase in energy demand by 2050.
IFC is the largest global development institution focused on the private sector in emerging markets. responsAbility noted that the strategy aligns with IFC’s objective of decarbonizing the energy and transportation sectors in the Asia region by supporting investments in renewable energy generation, electric mobility and other climate technology solutions.
Allen Forlemu, Regional Industry Director, Financial Institutions Group, Asia Pacific at IFC, said:
“Our investment in the responsAbility Asia Climate Strategy demonstrates IFC’s commitment to supporting innovative structured debt fund solutions that mobilize private capital at scale to accelerate sustainable growth. We are pleased to support responsAbility, our long-time partner, in taking the Strategy to the next level and expanding it across the region.”
