ADB has approved total equity investments of $40m in two new private equity funds, which will invest in green firms and projects in Asia.

Around $20 million has been injected into the Clean Resources Asia Growth Fund and the Renewable Energy Asia Fund.

Clean Resources Asia Growth Fund will target private equity investments in clean energy technology companies focused on Asia.

The Renewable Energy Asia Fund will target renewable energy projects in India and the Philippines.

Private Sector Operations Department Head of Private Equity Shin Kim said “The investment will aid capital markets development by filling a financing gap, and encourage support for other private equity funds interested in the sector.”

Booming economies and an increasing demand for clean power in Asia, along with sector reforms in many countries, are opening up the region for investments.