In a significant development for South Africa's burgeoning clean technology sector, Impact Amplifier has been appointed as the second executing entity for the Global Cleantech Innovation Programme (GCIP) in the region. This partnership is poised to co-launch a substantial ZAR150 million (equivalent to $8.6 million) Cleantech Debt Fund. This initiative is a collaborative effort, with the GCIP managed by the United Nations Industrial Development Organisation (UNIDO) and funded by the Global Environment Facility (GEF). Domestically, the programme is spearheaded by the Technology Innovation Agency (TIA), operating under the purview of the Department of Science, Technology, and Innovation.

The newly established fund is specifically designed to address a critical financing gap experienced by post-revenue, high-impact cleantech Small and Medium-sized Enterprises (SMEs). Its primary objectives are to facilitate the scaling, commercialisation, and creation of green jobs within these enterprises. Utilizing a blended finance model, the fund will strategically target scalable ventures that are headquartered in South Africa, ensuring local economic development and environmental sustainability.

Beyond direct funding, Impact Amplifier will extend crucial support through investment readiness programmes and comprehensive ecosystem support services. Concurrently, TIA and UNIDO will continue their vital roles in driving policy development and capacity-building initiatives, creating a holistic support framework for the cleantech sector. Karin Reiss-Haimbala, project manager at UNIDO, emphasized the broader implications of this collaboration, stating, “This partnership supports South Africa’s cleantech potential and contributes to a greener, more resilient economy.”

This launch of the Cleantech Debt Fund underscores a growing global commitment to mobilizing climate-focused capital, particularly for SMEs in South Africa. Despite its status as Africa’s most industrialized economy, South Africa's energy infrastructure remains heavily reliant on coal. Consequently, cleantech startups frequently encounter substantial hurdles in securing growth finance. The market is characterized by limited early-stage equity and a prevalent perception among commercial lenders that cleantech SMEs represent high-risk investments.

By introducing a dedicated debt facility, enhanced with blended finance features, the GCIP and Impact Amplifier aim to bridge a critical