Sarmayacar Secures $15M from Green Climate Fund to Fight Climate Change in Pakistan

Pakistani venture capital firm Sarmayacar has received a $15 million commitment from the Green Climate Fund to support startups in addressing climate change impacts. This funding comes amid a challenging economic situation in Pakistan, with venture capital funding already experiencing significant declines.

The Green Climate Fund (GCF) has committed $15 million to Pakistani venture capital firm Sarmayacar to fuel startups combating climate change impacts in Pakistan. The announcement underscores the dire need for action in a nation frequently battered by extreme weather events.

Flooding in mid-2022, exacerbated by global warming, severely impacted Pakistan, affecting over 33 million people and causing more than 1,700 deaths. Despite these challenges, the country's macroeconomic and political context offers limited financial resources to address such crises.

Venture capital funding in Pakistan plummeted to $16 million in the first nine months of 2024, down 57% from the previous year. However, with Sarmayacar's strategic initiatives, supported by the GCF's commitment and additional anticipated funds, there's hope for a robust response to climate challenges through investments in sustainable sectors.

(With inputs from agencies.)