SDG Venture Scaler Aims to Drive Sustainable Investment in Southeast Asia

Investment is a key driver in achieving the Sustainable Development Goals (SDGs). However, the significant funding gap remains a challenge across the globe, including in Southeast Asia. In this light, the SDG Venture Scaler was established as a catalyst to support startups with impact financing, accelerate local innovation, and address the region’s sustainable development needs.

Financing to Achieve the SDGs

Financing has become a major challenge to achieving the Sustainable Development Goals. Globally, the financing gap in developing countries is estimated at 2.5–4 trillion USD per year, according to ESCAP and UN DESA. In the Asia-Pacific region, the additional investment needed to meet the SDGs reaches around USD 1.5 trillion annually.

Meanwhile, the Asian Development Bank estimates that Southeast Asia alone requires approximately USD 210 billion per year until 2030 for climate infrastructure development, such as renewable energy, sustainable transportation, and climate adaptation. These figures highlight the importance of new initiatives to strengthen investment flows into sustainable projects.

The SDG Venture Scaler

Launched at the end of 2024 by the United Nations Development Programme (UNDP) in partnership with the Centre for Impact Investing and Practices (CIIP), the SDG Venture Scaler aims to strengthen the pipeline of startups focused on sustainability solutions, particularly in climate action, health, and education in Indonesia, the Philippines, and Vietnam. Ten selected startups will receive business mentoring, Impact Measurement and Management (IMM) training, and access to the SDG Investor Platform and Investor Maps, financial intelligence tools that guide investments toward impactful projects.

Through the SDG Investor Maps, UNDP has identified priority sectors in the three countries, including education, health, renewable energy, infrastructure, agriculture and food, financial inclusion, circular technology, and food and beverages, as potential investment areas to support the achievement of the SDGs.

As of March 2025, UNDP-CIIP has selected 31 enterprises for the first cohort, with more than 60% of them focusing on climate action. Their work spans clean energy, AI-powered waste management, fintech, edtech, circular economy, electric vehicles (EVs), and mental health. The program highlights how financial support is central to helping the growth of startups that aim to provide real solutions to social and environmental challenges.

Building the Future Through Collaboration

The strength of the SDG Venture Scaler lies in its collaborative approach, bringing together governments, investors, development institutions, and entrepreneurs. Additionally, the initiative also equips startups with the skills to measure and manage their social and environmental impact.

However, this initiative cannot work alone. Broader support and collaboration from the private sector, investors, and policymakers is crucial to ensure that startup innovations can truly thrive. For investors, it should offer opportunities to align their investments with sustainability values. For entrepreneurs, it opens access to funding and strategic support to scale innovations that benefit a broader society. Ultimately, initiatives like the SDG Venture Scaler show how creating cross-sector collaboration can enable startups to grow not only financially but also to participate in addressing social and environmental issues.

Editor: Nazalea Kusuma & Kresentia Madina