Overview
The current momentum moving capital towards impact needs to be accelerated if we are to achieve a transition to a Net-Zero world in which no one is left behind. Mobilising more 'traditional’ capital towards this end is the day's challenge.
We need solutions that reach beyond investment frontiers of private capital working alone and combine multiple sources of finance – public and private – and financial instruments. The use of the many tested tools that are already being applied to blend capital needs to be expanded.
While climate finance has galvanised attention, there is a growing consensus that a single focus on environment is insufficient. Addressing the socio-economic consequences of climate change will be essential to achieving Net Zero. A Just Transition approach, focusing on our planet and its people, and empowering local communities, is needed.
Our recommendations
New models can increase the supply of impact investing vehicles, giving investors more opportunities to invest in support of the SDGs and a Just Transition. Central recommendations include:
- Recognising the links between social and environmental goals
- Adopting and developing our proposed elements for a Just Transition standard
- Empowering Multilateral Development Banks and Development Finance Institutions to mobilise private capital
- Expanding the use of guarantees and instruments to de-risk high impact investment opportunities
Reports
Mobilising institutional capital towards the SDGs and a Just Transition.
Moving capital at scale requires strengthening the participation of local actors, particularly across emerging markets, and recognising the inextricable link between climate and social impact strategies.
Case studies of Just Transition financing instruments across asset classes
Technical Working Group
Euan Marshall
Global Head, Investor Engagement Syndications
International Finance Corporation
Find out more »Maria Teresa Zappia
Chief Impact and Blended Finance Officer, Deputy CEO
BlueOrchard Finance
Find out more »Advisory Panel
Alexandra Basirov
Global Head of Sustainable Finance for Financial Institutions Coverage
BNP Paribas
Find out more »Elizabeth Boggs-Davidsen
Vice President, Office of Development Policy
U.S. International Development Finance Corporation
Find out more »Elizabeth Littlefield
Former Chair and CEO
OPIC (now DFC - the US Government's Development Finance Institution)
Find out more »Naoko Ishii
Director, Centre for Global Commons
Professor and Executive Vice President, University of Tokyo
Find out more »Nathalie Gabala
Regional Head
West, Central, and North Africa, Mastercard Foundation
Find out more »Stephanie Pfeifer
Chief Executive Officer
Institutional Investors Group on Climate Change (IIGCC)
Find out more »Stephen Brenninkmeijer
Chair, Supervisory Board of the European Climate Foundation
Founder, Willow Investments
Find out more »Tim Macready
Chief Investment Officer, Brightlight Impact Advisory
Former Chief Investment Officer, Christian Super
Find out more »Uche Orji
Managing Director and Chief Executive Officer
Nigeria Sovereign Investment Authority (NSIA)
Find out more »Observers
Jamie Broderick
Impact Investing Institute Board Member
Former Head of UBS Wealth Management UK
Find out more »Krisztina Tora
Chief Market Development Officer
Global Steering Group for Impact Investment
Find out more »Nick Temple
Impact Investing Institute Board Member
CEO of Social Investment Business
Find out more »Olivia Dickson
Impact Investing Institute Board Member
Trustee Director of ShareAction
Find out more »