The Proparco Development Finance Company and Investec Bank Limited have signed a partnership to expand their climate investments.
According to a report published by Estate Intel, the partnership was in a bid to implement the Transforming Financial Systems for Climate programme in South Africa. The programme which has a total worth of about $625 million is aimed towards encouraging local finance companies to get involved in climate-change-related projects in Africa and Latin America and the Caribbeans.
โProparco, therefore, on behalf of the AFD Group has provided a climate finance-dedicated credit facility, worth $80 million to Investec Bank Limited. This makes Investec the second South African Bank after FirstRand Bank Limited, to join the programme,โ the report stated.
Read also: Guterres urges governments to adopt renewables to combat climate change
According to Proparco, TFSC intends to promote South Africa’s path to a low-carbon economy and a climate-resilient society within a South African context and in keeping with the broader goals of the Agence franรงaise de dรฉveloppement Group.
โSouth Africa has set an ambitious goal of reducing carbon emissions by 42 per cent by 2025 and diversifying its electricity production away from coal by 2050,โ it added.
Tanya Dos Santos-Ford, Head of Sustainability for the Investec Group, reaffirmed the company’s dedication to an equitable, effective, and inclusive energy transformation.
In his words, โThis senior credit facility enables us to provide further finance and support for both our clients as they progress their climate ambitions and for our country, as we help to build a more climate resilient and equitable South Africa.โ
Story was adapted from Punch.
