> ## Content Index
> Fetch the complete content index at: https://www.techloy.com/llms.txt
> Use this file to discover other available public pages before exploring further.

# This fund is targeting up to $100 million for African climate tech startups
- URL: https://www.techloy.com/african-climate-tech-fund-targets-100-million/
- Published: 2023-05-26T09:36:55.000Z
- Updated: 2023-05-26T09:36:55.000Z
- Author: Acquah Nana Yeboah
- Tags: ClimateTech, / Money, Tech in Africa

Despite the global decline in venture capital funding, Africa's climate tech sector is heating up rapidly. Last year, climate tech startups on the continent [raised](https://partechpartners.com/2022-africa-tech-venture-capital-report/#section3) more than $860 million in equity funding, primarily focused on clean energy technologies. This represents a remarkable 3.5 times increase from 2021.

Interestingly, climate tech has become Africa's second-most funded sector after fintech and it seems like this won't be changing anytime soon.

[E3 Capital](https://e3-cap.com/), an early-stage venture capital firm formerly known as Energy Access Ventures, and [Lion's Head Global Partners](https://www.lhgp.com/), an emerging markets-focused investment bank have just announced the first close of their E3 Low Carbon Economy Fund for Africa (E3LCEF) at $48.1 million.

The fund aims to reach a total of $100 million and joins the growing number of investment vehicles supporting startups in Africa's climate tech sector. The fund will provide initial and follow-on funding to startups focused on low-carbon economies, such as solar providers and electric vehicle (EV) companies.

E3 Capital partner Vladimir Dugin stated that the new fund will invest in businesses across sub-Saharan Africa, with typical investments ranging from $500,000 to $3 million.

Other notable climate-focused funds in Africa include Novastar's $200 million [Africa People + Planet Fund](https://www.techloy.com/novastar-ventures-to-invest-in-clean-tech-africa/), [Equator's climate tech venture capital fund](https://www.techloy.com/equator-40-million-climate-tech-fund-africa/), Satgana, [AfricaGoGreen Fund](https://www.techloy.com/climate-tech-focused-vc-firm-satgana-to-invest-in-africa-after-close-of-fund/) (AAGF), and the Energy Entrepreneurs Growth Fund (EEGF). Additionally, [Oxfam Novib](https://www.techloy.com/goodwell-investment-to-invest-20-million-in-east-african-startups/) and [Goodwell](https://www.techloy.com/goodwell-investment-to-raise-eur-150m-in-the-new-umunthu-ii-investment-fund/) have launched a new fund to provide venture debt to startups in the climate tech sector.