Belém, Brazil: The Private Infrastructure Development Group (PIDG) is expanding its capital base to drive greater climate impact in emerging markets and developing economies (EMDEs), reaffirming its position as one of the world’s leading players in blended finance[1].
PIDG’s latest Sustainability and Impact Report[2] shows that 64 per cent of all new commitments in the year were classified as climate finance, with a total of USD 5.5 billion invested, of which USD 4.1 billion was from the private sector. The Group’s 2030 Strategy targets 50–70 per cent of commitments to qualify as climate finance and a significant scale-up in adaptation, resilience, and nature-positive investments.
At COP30, PIDG is calling for greater private capital mobilisation and allocation to innovative financing structures that de-risk investment in climate infrastructure across emerging markets. The Group stresses that development and private capital must work hand in hand to deliver climate impact at scale, bridging the gap between global capital pools and local infrastructure needs.
“As one of the world’s leading mobilisers of private capital for sustainable infrastructure, we are demonstrating how blended finance can turn ambition into delivery”, said Philippe Valahu, CEO of PIDG. “By partnering with governments and institutional investors, we’re creating the right conditions for private investment to flow into overlooked markets – proving that infrastructure in frontier economies can be both bankable and transformative.”
PIDG is working with institutional investors in the EMDE Investor Taskforce, an industry-led initiative convened by the UK government, to channel new capital into EMDEs. Through technical assistance, project development, debt solutions, and guarantees, PIDG mobilises investment from untapped pools of capital to expand access to clean energy, create jobs, and build economic resilience for communities and businesses in low- and middle-income countries.
The Group has recently attracted investment from global insurer Allianz into its Emerging Africa & Asia Infrastructure Fund (EAAIF), which has mobilised almost USD 1 billion over the last two years to finance sustainable infrastructure projects in Africa and Asia. GuarantCo, PIDG’s guarantee solution, supported the mobilisation of insurance capital during its provision of a 100 per cent guarantee to a bond issuance platform that is mobilising capital from M&G Investments for a EUR 37 million loan to Valency International, to increase cashew processing capacity in Côte d’Ivoire. Smallholder farmers in the supply chain are expected to benefit from greater income generation.
PIDG is equally focused on unlocking domestic capital markets by establishing local guarantee companies, as it did with InfraCredit in Nigeria, InfraZamin in Pakistan, and Dhamana Guarantee Company in Kenya. These entities represent a replicable and scalable model to mobilise local pension funds and domestic investors into climate finance while reducing reliance on foreign currency and strengthening local financial systems.
The Group has prioritised investments in adaptation and resilience, recognising that every dollar invested in resilience yields over ten dollars[3] in avoided losses and wider economic benefits. Examples include the Dakar Bus Rapid Transit system in Senegal, which integrates anti-flood and flexible urban design measures to withstand climate pressures, and green bonds in Cambodia, Vietnam and India, with strong market transformation potential.
PIDG integrates a gender and inclusion lens into its climate and nature investment approach, recognising that women and girls are disproportionately impacted by climate change yet often excluded from infrastructure opportunities. Its Gender Lens Investing policy includes a target of at least 50 per cent financial closes promote gender equality, and the group has exceeded the target for the last two consecutive years – 72 per cent in 2024 and 68 per cent in ‘23.
Recent transactions illustrate PIDG’s catalytic climate approach.
According to Convergence’s 2025 report, PIDG remains one of the largest and most effective blended finance platforms globally, recognised for its innovative use of guarantees, local currency solutions, and catalytic capital to mobilise private investment in high-impact infrastructure. By working with international insurers, institutional investors, and domestic guarantee companies, PIDG is deepening the pool of capital available for sustainable infrastructure and reinforcing its leadership as the pre-eminent blended finance vehicle for climate action in emerging markets.
ENDS
Notes to Editors
Richa Bhardwaj, Global Communications Lead, PIDG: [email protected]
[1] https://www.convergence.finance/resource/state-of-climate-blended-finance-2025/view
[2] https://pidg.org/impact-report-2024createsbuilds/
[3]https://www.systemiq.earth/wp-content/uploads/2025/10/ReturnsOnResilience_Executive-Summary-Oct_2025_FINAL.pdf
