Catalyst Fund Hits $30M Second Close for African Climate-Tech Startups

A Sector Regaining Investor Confidence

The second close arrives as African climate-tech funding recovers from a difficult stretch. As TechCabal reported, citing its own TechCabal Insights funding tracker, investment in the sector dropped to $754 million in 2024 before climbing back to $1.1 billion by November 2025. Catalyst Fund frames that rebound as a sign that investors increasingly see climate solutions as commercially viable rather than purely impact-driven.

Founder and general partner Maelis Carraro described climate adaptation as one of the defining investment themes of the coming decade, arguing the need is immediate across Africa while entrepreneurial talent is abundant. Fellow partner Maxime Bayen said climate concerns are now reshaping sectors ranging from agriculture and logistics to healthcare and financial services, giving startups access to large and growing markets.

IFC's Farid Fezoua, global director for disruptive technologies, services, and funds, said the partnership aims to mobilise capital and expertise to help early-stage ventures scale, attract private investors, and create jobs in underserved communities.

How the Fund Operates

Catalyst Fund is led by partners Carraro, Bayen, Olúwatóyìn Emmanuel-Olubake, and Amolo Ng'weno. It invests exclusively through equity, typically writing pre-seed cheques of about $200,000 and reserving further capital for follow-on rounds. Following a $9 million first close in the third quarter of 2023, the firm has assembled a portfolio of 28 startups across 10 African markets and made nine follow-on investments in its best performers. It expects to grow the portfolio to roughly 40 companies.

Its most active markets are Nigeria, Kenya, Egypt, and Tanzania, where climate-tech ecosystems have matured fastest. Portfolio companies include Tanzania's agritech venture MazaoHub, Egypt's waste-recycling platform Bekia, and Kenya's Keep It Cool, which builds solar-powered cold-chain infrastructure for fish and poultry farmers.

Beyond funding, the firm pairs its investments with hands-on venture-building support delivered by BFA Global, covering product strategy, hiring, commercial growth, fundraising, and partnerships. Catalyst Fund says the model is designed to help founders navigate operational gaps common at the early stage as it continues deploying capital toward its final raise.

A coalition of social mobility and venture capital names has launched Common Path to place graduates from low-income backgrounds into UK startup roles.