Acumen, a global impact investment firm, has secured $246.5 million in approved and committed capital to scale clean and inclusive energy access in sub-Saharan Africa’s most underserved regions. The milestone comes through its Hardest-to-Reach Initiative (H2R), a blended finance strategy launched at COP28 in 2023. The initiative aims to reach nearly 70 million people, including 50 million first-time energy users, in countries with some of the lowest electrification rates worldwide.
A Blended Finance Strategy
The funding combines $189.5 million approved for H2R Amplify, a debt vehicle offering impact-linked loans, and $57 million already committed to H2R Catalyze, a flexible facility deploying equity, debt, grants, and technical assistance. Amplify achieved its first close this month with $123 million committed, unlocking new resources to expand proven models in higher-risk markets. Meanwhile, Catalyze has been active since 2024, providing tailored capital to enterprises building energy markets in fragile contexts.
Tackling Africa’s Energy Gap
According to the World Bank, over 600 million people in sub-Saharan Africa still lacked access to electricity in 2023, disproportionately affecting women. Countries such as Malawi, Burkina Faso, and Sierra Leone report electrification rates as low as 16, 22, and 36 percent respectively. By blending public, private, and philanthropic capital, Acumen aims to close these gaps where traditional financing has failed.
Voices from the Coalition
Jacqueline Novogratz, Acumen’s Founder and CEO, emphasized the importance of this initiative, calling it a coalition designed not only to invest but to solve. She noted that H2R marks the first time such a wide range of partners have united around a model specifically built for the hardest-to-reach communities. Her message highlighted the alignment of capital with purpose to address energy poverty at scale.
Key Investors Join the Effort
The initiative is supported by a diverse group of partners including the Green Climate Fund (GCF), International Finance Corporation (IFC), Shinhan Bank, British International Investment (BII), Soros Economic Development Fund (SEDF), Nordic Development Fund (NDF), Signify Foundation, and ImpactAssets. Henry Gonzalez of the GCF said the partnership exemplifies how catalytic capital can drive clean energy access for communities most vulnerable to climate change. IFC’s Mohamed Gouled echoed this, noting that affordable, reliable, and clean energy is critical to economic opportunity and sustainable growth.
Commitment from Global Players
Seung Hyeon Seo of Shinhan Bank described the initiative as a chance to direct capital into the toughest markets, aligning with the bank’s ESG commitments. BII’s Chris Chijiutomi underlined the focus on gender equity, as women face the brunt of energy poverty. Leaders from the Soros Economic Development Fund and Nordic Development Fund also stressed the transformative impact of H2R, highlighting its ability to incentivize off-grid solar and create inclusive opportunities across the region.
Early Progress and Market Traction
H2R Catalyze has already deployed more than $10 million into pioneering companies. These include Yellow Malawi, which received $2 million in local currency financing to scale pay-as-you-go solar, and RDG Collective via BioLite, backed with $1.25 million to expand clean lighting in Zambia. Other investments, such as a Sharia-compliant debt package for KIMS Microfinance in Somalia, show how the initiative tailors capital to diverse market needs.
Looking Ahead
With this funding milestone, Acumen is now sourcing new investments to accelerate clean energy adoption in underserved regions. The dual-vehicle model positions H2R to address both immediate scaling needs and long-term market building. The coalition’s goal remains clear: to deliver reliable, affordable, and sustainable energy to millions who have long been excluded from modern power systems.
Acumen’s $246.5 million funding milestone represents a turning point for energy access in sub-Saharan Africa. By mobilizing a coalition of public, private, and philanthropic investors, the Hardest-to-Reach Initiative is set to deliver clean energy to tens of millions across some of the world’s toughest markets. This effort demonstrates how innovative financing can drive both social impact and climate resilience at scale.