Amundi, Europe’s largest asset manager, has been appointed to manage a landmark €3 billion investment vehicle aimed at accelerating the green transition in emerging markets and developing economies. Launched today in Brussels, the fund is the centrepiece of the Global Green Bond Initiative (GGBI), a flagship project under the European Union’s Global Gateway strategy.
The public-private investment vehicle is designed to mobilise institutional capital at scale. It will leverage approximately €1 billion in equity from a consortium of multilateral development banks (MDBs) and development finance institutions (DFIs) to attract up to €2 billion from private investors. The fund will serve as an anchor investor in primary green bond issuances, providing the necessary stability to draw further private financing into climate and environmental projects.
The initiative is bolstered by a guarantee from the European Commission’s European Fund for Sustainable Development Plus (EFSD+), which offers critical credit protection to the consortium.
“Unlocking capital is critical to enabling greater participation by emerging markets in the energy transition,” said Valérie Baudson, Chief Executive Officer of Amundi. “To this end, blended finance offers a unique opportunity to deploy capital that delivers both sustainable impact and financial returns. We are very pleased to contribute to this landmark initiative, being the asset manager of the largest blended finance fund ever launched.”
The GGBI consortium comprises an extensive list of European and international financial heavyweights, including:
- The European Investment Bank (EIB)
- The Spanish Government
- KfW Responsible Bank (Germany)
- Proparco (France)
- FMO (Netherlands)
- Cassa dei Depositi e Prestiti (Italy)
- The European Bank for Reconstruction and Development (EBRD)
The Government of Luxembourg is also a key participant, with additional funding anticipated from the Green Climate Fund later this year. The European Commission and participating DFIs will oversee the governance of the fund.
Baudson added that the initiative is “fully aligned with the strategic ambitions of Amundi in responsible investment,” noting that collaboration between public and private stakeholders is essential for designing effective financial structures.
The launch marks a significant step in the EU’s efforts to foster economic growth in partner countries while addressing the global climate crisis through innovative “blended finance” models.
