Temasek and the Monetary Authority of Singapore (MAS) are among the investors to commit US$510m (€433m) to the first close of the Green Investments Partnership (GIP).
Other investors include government agencies and global banks - Export Finance Australia, the Dutch Entrepreneurial Development Bank (FMO), British International Investment, Bank of the Philippine Islands, HSBC, Allied Climate Partners and the International Finance Corporation. The European Commission is supporting GIP under its Global Gateway programme.
GIP, a blended finance partnership under Singapore’s Financing Asia’s Transition Partnership (FAST-P) initiative, deploys capital to green infrastructure projects across the region.
MAS said Pentagreen Capital, the sustainable infrastructure debt financing platform established by HSBC and Temasek, will manage GIP in its support of investments in renewable energy and storage, electric vehicle infrastructure, sustainable transport, water and waste management and other sectors critical to Southeast and South Asia’s energy transition.
Gillian Tan, assistant MD, development and international and chief sustainability officer of MAS said: “The first close of the Green Investments Partnership is an important milestone for FAST-P. Pentagreen has brought together a diverse group of partners, which are participating across the different commercial and concessional tranches of the capital structure to de-risk and finance marginally bankable green infrastructure projects in the region.”
Tan said MAS welcomed participation by a broader community of partners in FAST-P to mobilise and scale blended finance for Asia’s transition.
Munib Madni, CEO of FAST-P Office, said: “The FAST-P Office looks forward to continuing the work with Pentagreen, our partners in other pillars, and the broader ecosystem of commercial and concessional investors, to promote blended finance solutions for sustainable infrastructure in the region.”
In 2023, MAS launched FAST-P, bringing together public, private and philanthropic capital to help finance Asia’s green transition. GIP is the first fund under the FAST-P initiative to achieve first close.
FAST-P’s GIP and its two other partnerships were conceived to address the region’s pressing climate finance gap by using innovative blended and tiered capital structures to crowd in capital at scale.
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