Norwegian's Ministry of Climate and Environment

About the fund

The Climate Smart Fund is a blended-finance vehicle launched by Abler Nordic to scale deforestation-free value chains and build climate resilience in Indonesia’s smallholder farming sector. By providing long-term affordable working capital, agricultural training, certification support and traceability, the fund empowers smallholders in coffee, cocoa and palm oil to raise yields on existing land, avoid forest encroachment and build climate-adaptive enterprises. With pilot funding from Norway’s Ministry of Climate and Environment and a catalytic credit guarantee from Temasek Foundation, the fund is structured to de-risk private investment and attract institutional capital. The initiative has trained over 2,100 farmers, achieved typical income increases around 35 %, engaged roughly 16,500 residents across 100,000 hectares of village land-use planning, and monitors more than 200,000 hectares for deforestation-free compliance. The fund aims to expand to support 15,000-30,000 farmers by 2030 and raise approximately US $40 million at first close via a blend of investor capital, guarantees and grants.