Good Karma Impact Fund, a Brazilian fund that finances local companies that promote measurable and disruptive solutions to the main challenges in health, education and climate change, will receive financial support from IDB Invest for amount of 5 million dollars.

Approximately 80% of the Fund’s capital will be allocated to six to eight mature venture capital-backed companies (Series B+), while the remaining 20% to three to six early-stage companies. The Fund’s portfolio covers companies focused on forest restoration, industry decarbonization, bio-inputs, waste sorting or recycling plants, ambulatory healthcare, post-acute care and sustainable agriculture, among others.

In addition, IDB Invest will provide climate and sustainable finance advisory services to support the Fund’s sustainable strategic approach throughout the first investment phase, improving investment selection and analysis for social and climate change aspects. Moreover, IDB Invest will support the Fund in creating a guide for the due diligence investment phase, reinforcing climate risk analysis and key performance indicators specific to climate risk and Paris Agreement alignment. Lastly, IDB Invest will facilitate the development of sustainable capacities among the Fund’s staff to enable the exchange of knowledge on sustainability and to adopt climate mitigation and resilience measures.