About the fund
The BII–FirstRand Transition Finance Facility is a US$150 million debt financing partnership between British International Investment (BII), the UK’s development finance institution, and FirstRand, one of Africa’s largest financial services groups. The facility is designed to accelerate transition finance across Africa by providing capital to high-emitting companies seeking to reduce their carbon footprint while maintaining economic growth.
The facility targets “hard-to-abate” sectors—such as heavy industry, energy, and manufacturing—where immediate full decarbonisation is not yet feasible. Through loans originated by FirstRand’s corporate and commercial banking arms (Rand Merchant Bank and First National Bank), the facility finances investments in cleaner technologies, energy efficiency, and lower-carbon production processes.
In addition to capital deployment, BII provides technical assistance to support the development of FirstRand’s transition finance framework, ensuring alignment with global standards and credible emissions reduction pathways. The initiative represents BII’s first dedicated investment in transition finance and aims to establish the asset class in African markets while mobilizing additional private capital.
By bridging a critical climate finance gap, the facility seeks to enable a just and pragmatic energy transition—supporting emissions reduction in essential industries while safeguarding jobs, economic development, and industrial competitiveness across the continent.
