• GGF closed 2023 securing EUR 32.8 million from Germany’s KfW Development Bank and EUR 50 from FMO, the Dutch entrepreneurial development bank.

• The funds will be instrumental in facilitating green lending across the GGF’s 19 mandate countries including Ukraine, focusing mainly on energy infrastructure and energy efficiency, energy security, and climate action.


Luxembourg, 18 January 2024 – The Green for Growth Fund (GGF), an impact investment fund advised by Finance in Motion, secured a total of EUR 82.8 million in senior share investments from two longstanding partners at the close of 2023. Germany’s KfW Development Bank has provided EUR 32.8 million in Class A shares funding. In addition, FMO, the Dutch entrepreneurial development bank, has made a EUR 50 million investment, consisting of a EUR 35 million investment in Class A shares and a EUR 15 million investment in Class B shares.

These significant investments bolster the GGF’s capacity to support its partner institutions in its 19 mandate countries including Ukraine, sending a strong message of confidence to retail sub-borrowers, micro, small, and medium enterprises (MSMEs), as well as to renewable energy (RE) and energy efficiency (EE) actors.

The GGF’s investment objectives will be focusing on economic resilience and recovery, specifically via the energy sector, emphasizing infrastructure repairs, rehabilitation, and energy efficiency in line with the broader efforts towards facilitating the green transition and effective environmental stewardship.

The fund has effectively merged energy security, economic resilience, and climate action, showing significant results. In the last decade, it has crucially steered its partners towards sustainable energy systems, achieving major CO2 reductions, expanded renewable energy use, and delivered considerable energy savings. GGF's efforts avoid 1.2 million tons of CO2 emissions yearly, equivalent to the impact of removing over eight hundred thousand cars from roads, highlighting its dedication to fighting climate change and promoting a greener future.

Christopher Knowles, Chairperson of the GGF, said, “The renewed commitment from KfW and FMO is a testament to quality and impact of the GGF’s work, particularly in these challenging times. Our focus remains steadfast on building resilience, enabling our partner institutions and, by extension, our end-borrowers, to prepare for and ensure a sustained recovery. These investments reflect not only the trust in our mission but also the urgency of our collective efforts in driving the green transition forward.”

Borislav Kostadinov, Fund Director for the Green for Growth Fund’s mandate at Finance in Motion, GGF's advisor added, “KfW and FMO’s recent investments mark a significant milestone for the Green for Growth Fund, reinforcing our determination to advance sustainable energy and economic growth. This support enables us to deepen our impact in the Fund’s mandate countries, particularly in reinforcing energy infrastructure and efficiency. It's a clear signal of the growing importance and effectiveness of our approach in fostering environmental sustainability and resilience.”

Markus Aschendorf, Head of Equity and Funds for Europe, Asia and MENA of KfW Development Bank, said, “As one of the initiators of the GGF, KfW continues to be impressed by the fund's unwavering success in meeting its mission commitments, especially under challenging global conditions. Our ongoing support is a reflection of our belief in the fund's strategy and its vital role in promoting sustainable development and economic stability.”

Juan Jose Dada Ortiz, Director of the Financial Institutions Department of FMO, concluded: “GGF has demonstrated the robustness of the blended finance, Public-Private partnership fund model, delivering impact in a challenging market. The fund is uniquely positioned given its high degree of specialization in green finance, ESG integrity and solid platform to further scale its contribution to decarbonization which augurs well with FMO’s strategic goal to support SDG 13 “Climate Action”. The products offered by GGF are innovative and there is high demand for these products in the regions where the fund operates, especially due to rising energy prices and focus on energy security. With our investment we aim to support GGF to grow its portfolio and continue to deliver impact at scale.”

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
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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

Media contact FMO
Monica Beek
Media Spokesperson
Phone: +31 70 314 9130