• Funding from The Federal Ministry of Economic Cooperation and Development (BMZ), aimed at advancing green economic recovery in Ukraine and Moldova, is key to mobilizing private capital

• Investment focuses on energy-efficient technologies and renewable energies, bolstering job creation and environmental sustainability

• GGF’s blended finance model reconfirms the successful public-private partnership approach for impactful sustainable development

Luxembourg, 21 December 2023 – The Green for Growth Fund (GGF), an impact investment fund advised by Finance in Motion, announces additional capital contribution aimed at revitalizing the economy and advancing the environmental sustainability in Ukraine and Moldova. This will reinforce GGF's commitment under the 'Stand with Ukraine' program incepted in early 2022 and mark a significant step in the sustainable economic recovery and development of these target countries.

Crucial capital contribution for sustainable growth

The German Federal Ministry for Economic Cooperation and Development (BMZ) has allocated an additional EUR 50 million to be invested in Ukraine and Moldova through GGF's innovative blended finance model. The model combines public and private capital, maximizing impact and resource efficiency. EUR 30 million will be provided as first loss to accelerate green investments in the Eastern European Neighborhood, specifically Ukraine and Moldova, and EUR 20 million will facilitate financing in local currency to cover currency risk and shield businesses and households from the high FX volatility. This underlines the effectiveness of GGF's approach, as advised by Finance in Motion, in mobilizing resources for sustainable development.

Christopher Knowles, Chairperson of the GGF, said, “Securing the additional funding has been key in attracting private capital, and it validates the GGF’s blended finance model in terms of amplifying investment impact. Importantly, it arrives at a pivotal moment in the concerted efforts to build back Ukraine and Moldova, towards more resilient, sustainable, and greener economies.”

Borislav Kostadinov, Fund Director for the Green for Growth Fund’s mandate at Finance in Motion, GGF's Advisor, added “The BMZ’s investment will be channeled into energy-efficient technologies and renewable energies; its impact will be maximized through the GGF Technical Assistance Facility’s capacity-building projects already planned for 2024 to support local partner institutions, Micro, Small, and Medium Enterprises and private households.”

Fostering cooperation for sustainable development

Markus Aschendorf, Head of Equity and Funds for Europe, Asia and MENA of KfW Development Bank, said, “The GGF’s track record and its sound approach to turning the tide towards economic stability and environmental sustainability in Ukraine and Moldova again proved compelling arguments to direct BMZ funding to where it is needed most. The GGF, advised by Finance in Motion, exemplifies the power of collaboration between different sectors and countries to achieve shared sustainability goals.”


The Green for Growth Fund invests in measures designed to cut energy use and CO2 emissions and improve resource efficiency in 19 markets across Southeast Europe, the Caucasus, Ukraine, Moldova, the Middle East and North Africa. The Fund provides such financing directly to renewable energy projects, corporates and municipalities or indirectly via selected financial institutions. The GGF’s Technical Assistance Facility maximizes the fund’s investment impact through support for capacity building at local financial institutions and partners.

The GGF was initiated as a public-private partnership in December 2009 by Germany’s KfW Development Bank and the European Investment Bank, with financial support from the European Commission, the German Federal Ministry for Economic Cooperation and Development, the European Bank for Reconstruction and Development, and the Austrian Development Bank (OeEB). The fund’s growing investor base comprises donor agencies, international financial institutions and institutional private investors, including the International Finance Corporation, the Dutch development bank FMO, and the German ethical bank GLS. The GGF is advised by Finance in Motion GmbH. MACS Energy & Water GmbH, Frankfurt am Main acts as the technical advisor.

For more information on the Green for Growth Fund, see and follow us on X @GreenGrowthFund

About Finance in Motion  

Finance in Motion is a global impact asset manager focused exclusively on sustainable development in emerging markets and developing economies. The company structures, manages, and advises impact investment funds that bring together public and private investors to address climate change, strengthen biodiversity conservation, foster the sustainable use of natural resources, improve livelihoods, and promote economic opportunities.

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Media contact GGF
Louise Daruwalla-Nielsen
Marketing & Communications
Phone: +352 691 336 439

Media contact KfW
Phone: +49 69 7431 4400