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Nithio FI secures catalytic investment from Shell Foundation to scale clean energy financing in Africa – EQ Mag Pro

Nithio FI secures catalytic investment from Shell Foundation to scale clean energy financing in Africa – EQ Mag Pro

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Nithio, the AI-enabled energy financing platform that directly finances clean energy companies in Africa, has announced an investment from the UK charity Shell Foundation into its financing vehicle, Nithio FI (Financial Intermediary).

Nithio FI’s lending is powered by its unique Risk Analytics Engine, which leverages geospatial data, consumer repayment data, and AI and financial modelling to standardize credit risk assessments, inform due diligence, and enhance portfolio and impact monitoring. Nithio FI currently provides receivables-backed lending to the solar companies in Kenya, Uganda, and Nigeria. By 2025, Nithio anticipates providing energy access to more than 3.5 million people and reducing 250,000 CO2 metric tons emissions through its investments.

Shell Foundation’s catalytic investment, co-funded with UK Aid from the UK government, enables Nithio FI to de-risk and unlock additional developmental and commercial investments into its open-ended, blended finance vehicle – allowing Nithio to expand energy access and scale climate change adaptation and mitigation efforts across Sub-Saharan Africa.

Shell Foundation joins Nithio FI’s current investors, including US Development Finance Corporation (DFC), EDFI-ElectriFI, and FSD Africa Investments. Shell Foundation has an existing partnership with Nithio to build out its analytical product lines.

“The Nithio team is excited about growing our partnership with Shell Foundation as we scale our financing operations,” stated Kate Steel, Nithio Co-Founder and Chief Executive Officer. “Shell Foundation and Nithio share a common mission of taking a data-driven approach to scaling investment in sustainable, affordable energy.”

“A just and inclusive energy transition, one that alleviates energy poverty and mitigates climate change, requires innovative blended finance solutions and venture building services tailored to the needs of locally-led social ventures,” said Ashish Kumar, Climate & Innovation Lead, Shell Foundation. “We see Nithio FI’s innovative receivables financing model leading to financial aggregation as a significant stepping-stone towards mobilising large-scale private climate finance.

About Nithio

Nithio is an AI-driven platform for clean energy investment. The company has standardized credit risk assessments to catalyze billions of dollars of capital to address climate change and achieve universal energy access. Nithio does so by lending directly to the sector as well as supporting other investors understand credit risk, scale investment, and match the right type of capital to the right end user to ensure no one is left behind.

About Shell Foundation

Shell Foundation is a UK-registered charity established in 2000 to create and scale business solutions to enhance access to renewable energy and affordable transport for low-income communities in Africa and Asia. SF provides patient funding and business support to transformative social enterprises and institutions capable of delivering social and environmental impact at scale. 215 million people have benefitted from this work to-date.

Source: nithio
Anand Gupta Editor - EQ Int'l Media Network