GreenFi secures $2 million to bolster ESG risk management platform

GreenFi, the AI-enabled risk management platform for ESG compliance, has raised $2 million in a seed funding round led by Transition VC, with participation from senior banking executives from Singapore and the Middle East. The company said that it will deploy the funding to scale its global distribution network, strengthen its AI product innovations, and expand its presence across key markets including California, Europe, Southeast Asia, and the Middle East.

Founded in 2023 by Barun Chandran and headquartered in Kerala, GreenFi is reimagining how banks and enterprises manage ESG risk and compliance. The company’s integrated platform leverages AI agents and large language models to automate ESG due diligence, reporting, and sustainability performance tracking across customers, portfolios, transactions, and suppliers. Traditionally, these processes take organisations weeks to complete, often through manual, error-prone workflows that lead to reputational and regulatory risks. GreenFi’s platform eliminates these inefficiencies, enabling risk, compliance, and sustainability teams to shift their focus from repetitive data tasks to strategic decision-making.

Founder & CEO Barun Chandran said, “We are building AI agents designed specifically for Sustainability teams, which will enable them to extract actionable insights from ESG datasets, build verifiable audit trails, streamline workflows and ensure compliance. The momentum has been incredible. We are already serving customers ranging from banks to asset managers to large corporations. We’ve automated entire workflows using AI that used to take a team of 12 people. And this is just the beginning—we have even bolder plans for 2026.”

GreenFi’s innovations have drawn global recognition through selection in prestigious accelerator programs including the UN Climate Tech Accelerator 2024, G20 TechSprint Brazil, RBIH Frictionless Finance Accelerator, and UOB FinLab GreenTech Accelerator in Singapore. These programs highlight GreenFi’s growing influence at the intersection of AI technology and sustainable financial innovation.

“As ESG risks increasingly influence underwriting and financial performance, GreenFi stands out for building an end-to-end, AI-driven platform that helps financial institutions monitor, assess, and underwrite their customers more intelligently,” said Mohammed Shoeb Ali, Managing Partner & Co-founder, Transition VC.

With this fundraise, GreenFi plans to deepen its AI research capabilities, strengthen its sustainability intelligence engine, and expand its footprint through global partnerships and customer onboarding. As the ESG software market surpasses $5 billion and regulatory frameworks mature across regions, GreenFi stands at the intersection of climate innovation and financial technology, empowering organizations to manage risk responsibly, unlock sustainable capital, and drive measurable impact at scale.