The Fund is expected to increase access to equity capital for mid-market companies, primarily in Brazil and, opportunistically, in other LAC markets, to scale businesses targeting sustainability outcomes. Beyond the Project, the Fund’s success will also help strengthen the climate finance market in Brazil, given that this economy is the largest greenhouse gas (GHG) emitter in LAC and the fourth largest globally

IFC's additionality will be provided through its own account equity, as IFC’s commitment, alongside other investors, will help the Fund reach its first close. Further, IFC will play a key role in standard-setting by improving the Fund's environmental and social risk management system (ESMS), complementing the support provided by other DFIs.

Indicator	Metrics	Comments	Calendar Year 2022	Calendar Year 2023	Calendar Year 2024
GHG Emissions Reduction/Avoidance per year	ton CO2e per year		Not Available	Not Available	Not Available
Median Investee IRR : investees	%		Not Available	Not Available	Not Available
Number of climate-focused PE funds in Brazil	Unit		Not Available	Not Available	Not Available
Percentage of Investees undertaking eligible mitigation and/or adaptation activities	%		Not Available	Not Available	Not Available
Percentage of Investees With Revenue Growth 5 Pps Higher Than Nominal Gdp Growth : investees	%		Not Available	Not Available	Not Available
Direct Employment (#) Operations And Maintenance	individuals		Not Available	Not Available	Not Available
Female Direct Employment (#) Operations And Maintenance	individuals		Not Available	Not Available	Not Available
Investee - Direct Employment -Operations and Maintenance	number		Not Available	Not Available	Not Available
Investee - Direct Employment Female -Operations and Maintenance	number		Not Available	Not Available	Not Available
Investee - Majority female owned (#)	number		Not Available	Not Available	Not Available
Investee - Number of Senior Management Positions (#)	number		Not Available	Not Available	Not Available
Investee - Number of Women in Senior Management	number		Not Available	Not Available	Not Available
Investee - Payment to Government($M)	$M		Not Available	Not Available	Not Available
Number of Senior Management Positions	individuals		Not Available	Not Available	Not Available
Number of Women In Senior Management	individuals		Not Available	Not Available	Not Available
Payment To Government ($M)	USD M		Not Available	Not Available	Not Available

The Project will not support any activities included in the IFC Exclusion List or coal-related activities. The Fund’s targets high-emission sectors that while essential for decarbonization, the underlying investments may present material environmental and social (E&S) risks, including potential impacts on natural habitats and biodiversity, land use change, ecosystem services, labor conditions, community health and safety, involuntary resettlement, and risks related to Indigenous Peoples. Most investments are expected to present medium-to-high E&S risks, and the portfolio may include a limited number of Category A sub-projects. Accordingly, the Project has been classified as FI-1 under the IFC Sustainability Framework. Applicable requirements for the Project include the IFC Exclusion List, relevant national laws and regulations, the IFC Performance Standards and the World Bank Group EHS Guidelines, as applicable.

E&S risk mitigation for the Project is centered on robust E&S screening and due diligence processes designed to ensure that climate-positive investments do not result in unintended adverse environmental and social outcomes. Just Climate has established an ESMS aligned with good international practice and the IFC Performance Standards (PS), designed to identify, assess, and manage E&S risks associated with its financing activities, commensurate with the Fund’s focus on complex, high-impact climate transition investments. The ESMS is comprehensive, well-structured, and regularly updated, with clear procedures covering due diligence, integration into investment decision-making, ESAPs, post-investment monitoring, and continuous improvement. Given the Fund’s focus on climate transition sectors with potential land use, biodiversity, indigenous peoples and community impacts, Just Climate has established enhanced, topic-specific controls within its ESMS to manage risks associated with IFC PSs, including on Land Acquisition and Involuntary Resettlement (PS5), Biodiversity Conservation and Sustainable Management of Living Natural Resources (PS6), and Indigenous Peoples (PS7). Land acquisition and displacement risks are identified through early screening and escalation triggers, with requirements for specialist due diligence and resettlement planning where applicable. Biodiversity risks are managed through location-based screening, application of the mitigation hierarchy, and exclusion of investments that would cause significant impacts to critical habitats. Risks to Indigenous Peoples are assessed at origination, with requirements for enhanced due diligence, culturally appropriate engagement, and application of FPIC, supported by independent experts where warranted. Just Climate’s E&S organizational structure is anchored in a dedicated Climate Finance function, embedded across all investment teams and responsible for ESMS implementation, demonstrating strong institutional E&S capacity. E&S due diligence and monitoring are led by the internal Climate Finance function and, where appropriate based on the nature, scale, and risk profile of investments, are supported by qualified third-party E&S consultants. As part of the Project, the Fund will be required to: (i) maintain its existing ESMS and E&S organizational structure and capacity; (ii) enhance its External Communication Mechanism (ECM) to ensure full alignment with IFC requirements, including clear grievance procedures, timelines and responsibilities, confidentiality and non-retaliation provisions, and appropriate disclosure to all stakeholders; (iii) designate a local E&S focal point to support effective ESMS implementation, monitoring and engagement with portfolio companies and stakeholders, recognizing that Just Climate operates as a global fund manager with E&S oversight functions centralized at its London headquarters; (iv) enhance its human resources framework to establish a confidential worker grievance mechanism, including anonymous reporting channels and safeguards against retaliation, in line with IFC Performance Standard 2; (v) continue to demonstrate compliance with PS2 on Labor and Working Conditions; (vi) submit annual E&S reports to IFC; and (vii) disclose the names, locations, and sectors of IFC-supported sub-projects, in accordance with IFC disclosure requirements.

S.no	Title	Anticipated Completion Date
1	Designate a local E&S focal point	03/31/2027
2	Enhance the External Communication Mechanism	03/31/2027
3	Enhance the Human Resources Framework	06/29/2027