ADB Invests $20 Million in ABC Impact Fund II to Drive Sustainable Growth in Asia

The Asian Development Bank (ADB) has made a $20-million equity investment in ABC Impact Fund II LP (ABC Impact II), a Temasek Trust Asset Management Pte. Ltd. (TTAM)-managed private equity fund. The investment will support growing businesses that achieve significant progress in sustainable development in Asia and the Pacific.

ABC Impact II will direct funding to four main areas: healthcare and education, financial and digital inclusion, sustainable food and agriculture systems, and climate and water solutions. The initiative will target scaling growth-stage businesses across a range of major Asian economies, such as China, India, Indonesia, Malaysia, the Philippines, Thailand, and Vietnam.

Closing the Growth-Stage Funding Gap

Jackie Surtani, the Regional Director and Head of ADB’s Singapore Office said, “The impact investment landscape in the region remains nascent, with a significant funding gap for growth-stage companies”

He added, “ADB’s investment in ABC Impact Fund II reflects our commitment to catalyzing impact capital across Asia and the Pacific. By supporting innovative businesses that tackle pressing social and environmental challenges, we aim to improve lives and livelihoods throughout the region"

ABC Impact II focuses on mid-market enterprises capable of creating substantial positive change. The fund will provide long-term equity support and capacity-building resources to help these companies expand their operations and attract further investments.

Also read: ADB Funds Ayala Corp’s $100M EV Expansion in the Philippines

Commitment to Impact Standards and Verification

ABC Impact is a signatory to the Operating Principles for Impact Management, a widely recognized framework guiding responsible impact investing. Nearly 200 organizations across 40 countries endorse these principles.

Furthermore, ABC Impact’s adherence to its impact commitments is independently assessed by Bluemark, a leading global verifier of impact strategies. Headquartered in Singapore, ABC Impact operates as a private equity impact fund under the stewardship of TTAM.

With more than $600 million in capital, the fund aims to support innovative businesses that contribute to sustainable development objectives across the Asia-Pacific region. The fund aims to provide positive environmental and social impacts as well as robust financial returns.