Photo: Aji Styawan / Climate Visuals
Key points
- The Green Investment Partnership (GIP), the first fund under the Monetary Authority of Singapore’s (MAS) blended finance initiative, known as FAST-P, secured US$800mn in its second close for energy transition projects across Asia.
- The GIP is deploying $128mn into four inaugural green infrastructure investments, including utility-scale solar and battery storage in the Philippines and south-east Asia, and scaling distributed bio-energy in India. These initial investments are estimated to avoid over a million tonnes of carbon dioxide emissions annually.
- Singapore is leveraging a blended finance model, where $160mn in concessional capital has already crowded in $640mn from commercial partners. The goal is to raise up to $5bn in private and public capital to accelerate Asia’s green transition.
- The MAS is also progressing the two other FAST-P funds toward their first close and has started a review of the Singapore-Asia taxonomy to expand transition definitions, supporting the financing of “enabling activities” like components for green hydrogen manufacturing.
One of the three funds under the Singapore central bank’s flagship blended finance initiative has hit its second close, securing US$800mn in committed capital – up from $510mn – for energy transition projects in Asia.
Known as the Green Investment Partnership (GIP), the fund will start deploying a quarter of its first close amount – or $128mn – to four investments throughout the region.
The fund is managed by Pentagreen Capital, a platform established by British lender HSBC and Singapore state investor Temasek, and is the first of the three that makes up the Financing Asia’s Transition Partnership (FAST-P) that was launched by the Monetary Authority of Singapore (MAS) in 2023.
It was established to raise concessional and commercial capital for sustainable infrastructure, such as electric mobility, and renewable energy and storage, as well as water and waste management in the region.
In addition to the initial group of financiers, which includes the World Bank’s International Finance Corporation, HSBC, Temasek and British International Investment (BII), Singapore bank DBS and Taiwan’s Cathay United Bank have joined the fund as partners.
The announcements were made by MAS deputy chairman and Singapore’s minister for national development Chee Hong Tat at Temasek’s annual sustainability conference Ecosperity Week.
The two other FAST-P funds, the Industrial Transitional Programme (ITP) and Energy Transition Acceleration Fund (ETAF), are on track to hit their first close later this year, said Chee.
The ITP focuses on decarbonising industrial activities through electrification, more energy efficient data centres and carbon capture technologies, while ETAF’s mandate is to finance the replacement of fossil fuel-based energy with renewables and grid modernisation.
Both funds have also welcomed new partners, with BII and Japan International Cooperation Agency (JICA) joining ITP as catalytic capital providers, as well as Private Infrastructure Development Group and DBS contributing to ETAF. The Asian Development Bank also has plans to participate in ITP, subject to internal approval, said Chee.
Furthermore, an international advisory board chaired by Singapore’s climate ambassador and former central bank chief Ravi Menon has also been formed to “provide strategic advice and feedback to keep FAST-P aligned with global and regional energy transition trends,” he said.
“It will also guide the scaling and deployment of FAST-P funds and inform the development of its next phase.”
Other board members include Lord Adair Turner, chair of the Energy Transitions Commission, Baroness Shriti Madera, chair of the World Bank Private Sector Investment Lab, and Mark Gallogly, co-founder of Three Cairns Group.
On top of the FAST-P updates, Chee shared that the central bank has commenced a review of the Singapore-Asia taxonomy – which it released in 2023 – for a few key sectors like energy, maritime and data centres.
The review will consider expanding the transition definitions to support the financing of “enabling activities”, such as the manufacturing of components for green hydrogen, while taking into account technological developments, updated scientific data and implementation challenges, he said. It is set to be completed by the end of this year.
Inaugural FAST-P investments
At a side event following these announcements, Menon revealed more details about forthcoming GIP investments.
The first will help scale distributed bio-energy across south-east Asia and India, given that it is currently an under-financed asset class due to “feedstock risks, smaller project sizes and operational complexities”, said Menon.
The second and third investments will accelerate the rollout of utility-scale solar and battery storage projects in the Philippines and south-east Asia respectively. GIP funding will enable the companies to bring the projects to a bankable stage to start construction and to build out a pipeline, he said.
The fourth investment is a loan to support the construction of small power plants in Indonesia using mini hydro technologies. Menon said that local banks were reluctant to take the construction risks of these power plants and the portfolio was too nascent for international banks.
Menon estimates that these initial investments are expected to avoid over a million tonnes of carbon dioxide emissions annually.
“FAST-P is demonstrating that catalytic capital – the way we’ve designed it, with first loss properties – can help unlock decarbonisation opportunities that would otherwise not be financed,” he said.
Thus far, the concessional capital of $160mn – including the Singapore government’s contribution of $80mn to match what catalytic capital providers have committed – has crowded in US$640mn from commercial players, said Menon.
In total, the Singapore government has pledged up to $500mn in concessional capital to match that from other partners, with the aim of raising up to $5bn to support Asia’s green transition.
“At the end of the day that is what matters, doing this to reduce emissions, uplift communities, make projects possible and introduce new capital into the region,” said Menon.
This page was last updated May 26, 2026
Written by
Gabrielle See is an award-winning journalist based in Singapore who has written for Green Central Banking since 2025. She has covered the intersections of finance, geopolitics and energy transition in Asia over the past five years for regional and international publications, including CNBC, Eco-Business, Southeast Asia Globe and the Business Times.
