UNIQUE PUBLIC PRIVATE PARTNERSHIP STRUCTURE ATTRACTS FAIR-FINANCE AS NEW PRIVATE INVESTOR TO GGF
• GGF receives investment of EUR 10 million from fair-finance in support of climate finance
• Energy efficiency and renewable energy measures enabled through fair-finance’s investment are projected to achieve annual savings of approximately 8,264 metric tons of CO2 and 31,880 MWh of primary energy
Luxembourg and Vienna, December 22, 2017 – The Green for Growth Fund (GGF) has received an investment of EUR 10 million from Austrian-based fair-finance Vorsorgekasse AG (fair-finance). This investment brings the GGF’s committed capital to EUR 437 million.
fair-finance is a sustainability-oriented pension fund that uses strong impact criteria for its investments. The investment is in line with fair-finance’s focus on sustainability and supports the GGF’s work towards climate change mitigation through investments in energy efficiency and renewable energy.
For fair-finance, investing in the GGF was especially attractive due to the fund’s public private partnership form and layered risk-return profile, enabling the pension fund to invest in regions and markets in which it would not otherwise be able to directly do so. The GGF is active in Southeast Europe, the Caucasus and the MENA region and finances loans to businesses and households through financial institutions, while also providing direct financing to non-financial institutions.
GGF Chairman Christopher Knowles stated: “This investment from fair-finance further supports the fund’s work to enhance energy efficiency and foster renewable energy in our target region. We are very pleased to welcome fair-finance as the fund’s newest private investor supporting the GGF.”
fair-finance Chairman Markus Zeilinger added: “For us, this investment in the GGF not only fulfills the requirements that we place on sustainable investments, but in supporting this investment project we can also provide an example for similar investment constellations in Austria.”
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ABOUT THE GGF
The Green for Growth Fund invests in measures designed to cut energy use and CO2 emissions by a minimum of 20% in 19 markets across Southeast Europe, the Caucasus, Ukraine, Moldova, the Middle East and North Africa. The fund provides financing to local partners that on-lend to enterprises and private households, and it invests directly, primarily through the contribution of senior debt, in renewable energy projects. 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, the German ethical bank GLS, and Church of Sweden. The GGF is advised by Finance in Motion GmbH. MACS Management & Consulting Services GmbH, Frankfurt am Main acts as the technical advisor.
For more information follow us on Twitter @GreenGrowthFund
ABOUT FAIR-FINANCE VORSORGEKASSE AG
As one of eight provident funds in Austria we are managing and investing those 1.53 % of the gross salary or the taxable income which our clients – employers as well as independent employees and freelancers – are required to pay into a Vorsorgekasse by law. We have about 300.000 beneficiaries and manage about EUR 460 million of assets.
The average investment performance of the last 5 years (2012-2016) is 3.58% p.a. compared to 2.89% in the market average. fair-finance is honored in 2017 as Beste Vorsorgekasse (Der Börsianer).
For more information see www.fair.finance.at
Media contact GGF
Tel: +49 (0)69 271 035-171
Media contact fair-finance Vorsorgekasse AG
Mag. Rainer Ladentrog
Engagement, Marketing, Kommunikation
Tel: + 43 1 405 71 71 -20