Persistent, a venture builder focused on climate solutions, has launched the $70 million Persistent Africa Climate Venture (ACV) Fund to support early-stage climate technology startups across Africa. The fund has already achieved its first close at $52 million, signaling strong interest from development finance institutions and impact investors. Headquartered in Mauritius, the fund aims to help promising African startups grow and scale while addressing climate challenges across the continent.
The new fund has been created to address a major financing gap in Africa’s climate sector. Although African countries are among the most vulnerable to climate change, the region receives only a small share of global climate finance. The ACV Fund intends to bridge this gap by investing in startups working in areas such as renewable energy, agriculture, and resource transition. These sectors are considered critical for building climate resilience and supporting sustainable economic development.
The fund will focus on companies at early stages of development, ranging from pre-seed to Series A funding rounds. In addition to providing initial investments, the fund will also offer follow-on funding to startups that demonstrate strong growth potential. This approach is expected to help startups maintain momentum and scale their climate-focused technologies more effectively.
A distinctive feature of the fund is the inclusion of a $5 million Venture Building Facility. This facility will provide operational support to startups, helping them develop strong business models and accelerate growth. The support will include guidance in key areas such as financial management, technology development, strategy, and business operations. By combining investment capital with hands-on support, Persistent aims to strengthen the long-term success of climate-focused startups.
The ACV Fund has attracted backing from several well-known development and financial institutions. Key investors include the African Development Bank through its Sustainable Energy Fund for Africa, along with FSD Africa Investments, Nordic Development Fund, Japan International Cooperation Agency, and the Soros Economic Development Fund. This mix of public and development finance institutions creates a blended finance model that helps reduce risks for private investors and encourages more capital to flow into Africa’s climate sector.
The long-term impact goals of the fund are significant. Persistent expects the initiative to help reduce more than 17 million tons of carbon emissions over time. It also aims to positively impact more than 7 million people across Africa, with a strong focus on improving gender equality and economic opportunities.
In addition, the fund aims to create around 60,000 direct jobs while improving electricity access for more than 420,000 households. These targets highlight the potential of climate-focused investments to deliver both environmental and social benefits.
By connecting catalytic funding with commercial investment, the Persistent Africa Climate Venture Fund aims to empower African entrepreneurs and accelerate the continent’s transition toward clean energy and sustainable development.
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