ADI Anchors US$8 Million Investment in AC Ventures’ Climate and Sustainability Fund

Australian Development Investments (ADI), Australia’s leading impact investment fund, has committed US$8 million as an anchor investment in AC Ventures’ Climate and Sustainability Fund. Announced under the KINETIK initiative, this partnership will support high-impact businesses in Indonesia that are driving the transition to a low-carbon economy.

The AC Ventures Climate Strategy will focus on key sectors, including renewable energy, electric mobility, energy efficiency, waste management, circular economy, and climate-smart agriculture. The initiative targets a reduction of 10 megatons of CO2 emissions, with broader efforts to promote sustainable economic growth in Indonesia.

AC Ventures, a prominent venture capital firm known for backing sustainable enterprises, is set to leverage its expertise and network to enhance the impact of this initiative. With a strong focus on climate-focused investments, the firm aims to accelerate Indonesia’s transition to a low-carbon economy through strategic funding and business support.

Beyond financial backing, ADI will offer strategic assistance to AC Ventures and its portfolio companies, incorporating a gender-inclusive investment approach and supporting businesses in scaling their operations. This collaboration seeks to ensure measurable environmental and social benefits while encouraging long-term business sustainability.

“The Australian Government’s anchor commitment will enable AC Ventures to invest in and support businesses leading the energy transition,” said Gita Kamath, Chargé d’Affaires at the Australian Embassy in Jakarta. She emphasized ADI’s commitment to funding initiatives that generate financial returns while delivering tangible climate, gender, and development impacts.

This investment is expected to attract additional private-sector funding, accelerating the deployment of capital toward innovative climate solutions.

The announcement coincides with an Australian investor delegation’s visit to Indonesia, featuring major financial institutions such as Macquarie Group, ANZ Bank, and Aspen Medical. Over the past decade, Australian companies have invested more than US$4.3 billion in Indonesia, with current annual investments exceeding US$500 million. Greater funding for Indonesia’s SMEs through ADI is expected to contribute to the country’s economic growth while drawing more Australian impact investors into the region.

“We want to see Australian investors recognizing and capitalizing on the opportunities Indonesia presents. There are many different entry points to the market, including impact-focused venture funds like AC Ventures,” said delegation leader Jennifer Westacott.