Climate venture builder Persistent Energy Capital has launched a $70 million investment fund aimed at supporting early-stage climate startups across Africa, focusing on sectors such as clean energy, sustainable agriculture and resource management.

The fund, known as the Persistent Africa Climate Venture Builder Fund (ACV Fund), will invest primarily in pre-seed, seed and Series A startups, stages where climate innovators often struggle to secure financing.

The investment vehicle is domiciled in Mauritius and has already secured $52 million in commitments at its first close, alongside a $5 million Venture Building Facility to provide operational support for entrepreneurs.

Supporting Early-Stage Climate Innovation

The ACV Fund will combine venture capital with a venture-building approach, offering startups not only financing but also technical and strategic assistance.

The venture-building facility will help founders with areas such as financial management, business development, technology scaling, regulatory compliance and marketing.

Development finance partners supporting this facility include the Nordic Development Fund and FMO.

Focus on Energy, Agriculture and Resource Solutions

The fund will target startups developing climate solutions in key sectors critical to Africa’s sustainability transition.

One priority area is clean energy and electrification, supporting companies working on solar power, distributed energy systems and battery storage solutions.

Another major focus will be climate-smart agriculture, with investments expected in technologies such as digital farming tools, irrigation innovations and climate-resilient crops.

The fund will also back resource management and circular economy solutions, including waste recycling, water conservation and efficient resource use.

Backed by Global Development Investors

The ACV Fund has attracted strong backing from international development finance institutions and impact investors.

Anchor investors include:

• FSD Africa Investments
• Nordic Development Fund
• Sustainable Energy Fund for Africa, managed by the African Development Bank
• Other participating investors include:
• Japan International Cooperation Agency
• Soros Economic Development Fund
• Impact Fund Denmark
• Schmidt Family Foundation
• Addressing Africa’s Climate Financing Gap

Despite contributing less than 4% of global greenhouse gas emissions, Africa receives under 5% of global climate finance, highlighting the need for more targeted investment.

Persistent believes the ACV Fund can help close this gap by supporting startups capable of delivering both environmental impact and economic growth.

Over the lifetime of the fund, the investments are expected to:

• Mitigate over 17 million tons of carbon emissions
• Reach more than 7 million beneficiaries
• Create over 60,000 jobs
• Provide electricity access to more than 420,000 households
• Growing Momentum for Climate Investment

The launch of the ACV Fund reflects a broader surge in climate investment across Africa as demand grows for renewable energy, climate-resilient agriculture and circular economy solutions.

With Africa’s population expanding rapidly and climate risks intensifying, investors increasingly see the continent not only as vulnerable to climate change but also as a source of innovative climate solutions.

If successful, the Persistent fund could help unlock larger flows of capital into Africa’s climate startup ecosystem, supporting entrepreneurs building technologies that strengthen the continent’s sustainable and resilient economic future.