Private Capital for Sustainable Development: Concepts, Issues and Options for Engagement in Impact Investing and Innovative Finance is the result of supported by the Danish Government (Danida) in cooperation with ET Jackson & Associates on strategies and tools available to donors (and other social funders) to mobilize private capital for sustainable development.
The report focuses on funds and investment vehicles in the fields of innovative finance and impact investing in developing and emerging countries. It discusses key concepts such as rationale, additionality and theory of change of public sector interventions in this area, develops typical investor impact-return-risk profiles and proposes a typology of investment vehicles. It highlights critical issues on impact and financial performance, fund design and institutional considerations based on interviews with more than 50 stakeholders and an in-depth literature review. Several annexes provide additional research results such as fact sheets of 23 funds and investment vehicles, an overview of the impact investing market with an emphasis on developing and emerging countries, detailed investor profiles, directions in impact assessment and two case studies on field building in Ghana and South Africa.