Brookfield raises $2.4 Billion for Climate Fund backed by UAE

Brookfield Asset Management announced on Monday that it had raised $2.4 billion to support the Catalytic Transition Fund, which is supported by the United Arab Emirates. The fund aims at scaling up climate finance for emerging markets.

CTF was launched last December at the COP28 Climate Talks in Dubai, and was anchored with a commitment of $1 billion from ALTERRA - a $30 billion UAE climate fund.

ALTERRA was announced at the climate summit last year and aims to attract $250 Billion in investment by the end the decade. The Abu Dhabi-based alternative investments manager Lunate founded it.

Brookfield stated in a press release that the $2.4 billion initial closing marked "a significant landmark towards the goal of raising up $5 billion to be deployed towards clean energy assets and transition assets for emerging markets."

The statement stated that Caisse de Depot et Placement du Québec, Prudential, Temasek, and GIC from Singapore, as well as Caisse de Depot et Placement du Quebec and Prudential, were all new investors for CTF.

Brookfield stated that the CTF fund will announce its first investments in 2024. It added that a traditional close, with additional capital raised from ongoing fundraising efforts, is expected early next year. (Reporting by Federico Maccioni, editing by Susan Fenton)

(source: Reuters)