Creating positive social, economic and environmental outcomes
Development finance is the invisible glue that connects public and private financing for projects that have social, economic and environmental outcomes. These include improved infrastructure, better waste management and sanitation, financial inclusion, clean energy and sustainable agriculture.
The goal of development finance is to create positive social, economic or environmental outcomes through investments made by financial institutions such as banks, insurance companies and pension funds, in addition to contributions made by development finance institutions, multilateral partners and NGOs.
The investments generally generate spillovers into the development agendas of African countries. The contribution of NGOs, such as philanthropic and civil society organisations, may not be financial. Their contributions come through advocacy, activism, community engagement, research or social services.
Why is it important?
Development finance…