Harnessing the Power of Finance to Meet the Sustainable Development Goals

Transcription

1 Harnessing the Power of Finance to Meet the Sustainable Development Goals IMPACT INVESTMENT EXCHANGE (IIX) 1 Asia. Big Beneficiary Asia s Economic Miracle Photo Credits: Eustaquio Santimano 2 1

2 FACT #1: There is widespread inequality richest 1%of the world s population own more than 48% of global wealth. -Oxfam FACT #2: But 30% of people in Asia continue to live under $1.25/day with limited access to opportunities to help escape the poverty trap. - United Nations Additional Resources Must Be Mobilized to Scale and Sustain Traditional Development Efforts FACT #3: Over 90%of global fish stocks are collapsing risking food security for 3 billion people and livelihoods for 280 million people. 3 Photo Credits: Hamed Parham Impact Investing An emerging paradigm shift bringing Private Sector players into the Development equation Investments intended to create positive social impact beyond financial return Provide capital Businesses designed with intent to generate positive social and/or environmental impact Expect financial returns 4 Photo Credits: Nafis Kamal 2

3 7/12/2017 Asia. Bigthe Beneficiary Exploring Nexus between Impact Investing and the United Nation s Sustainable Development Goals 5 Nations Photo Credits: United Impact Investing Meeting the SDGs through Impact Investing ~$7 trillion in annual investments will be needed to meet the SDGs by UNCTAD Today Studio Photo Credits: Burningred 3

4 $7 Trillion STOCK EXCHANGE BONDS PE FUNDS Impact Investors Private Sector Capital TECHNICAL ASSISTANCE CROWDFUNDING ACCELERATOR Impact Investment Exchange (IIX) Impact Investment Exchange (IIX) has a mission to connect the Wall Streets of the world with the backstreets of underserved communities. To date, IIX has mobilized +$75 million and impacted 12 million lives. IIX expedites global climate action IIX redefines the narrative to position women as solutions IIX builds resilient communities 8 4

5 IIX: Created & Led Impact Investing Sector in Asia IIX Global Footprint Across +40 Countries IIX Key Impact Highlights IIX Foundation USA IIX Foundation Bangladesh Impacted +12 million lives across Asia Mobilizing ~$75 million through equity & debt platforms & financial structures IIX s Footprint IIX Chapters IIX Key Focus Sectors IIX Offices IIX and IIX Foundation Singapore IIX Knowledge Management Global Participation Energy Agriculture Education Healthcare Water IIX Investor Network Financial Inclusion Reduced ~400,000 tons CO2 emissions Conducted +100 Impact Assessments Created the world s first social stock exchange Database of +35,000 ecosystem partners and +1,000 impact investors 9 Multi-Stakeholder Partnerships IMPACT ENTERPRISES IMPACT INVESTMENT ECOSYSTEM BUILDERS INGOS/ FOUNDATIONS GOVERNMENTS / DONOR AGENCIES IIX Impact Investing Network INVESTORS / INVESTOR NETWORKS ACCOUNTING / LAW FIRMS BANKS / FINANCIAL INSTITUTIONS 10 5

6 IIX Brand Internationally recognized as a pioneer of impact investing. Awards 2014Rockefeller Foundation Innovations in Accelerating Impact Enterprise Challenge winner 2014USAID Partnering to Accelerate Entrepreneurship (PACE) Award 2014 Joseph Wharton Award for Social Impact 2016 Asia Game Changer Award for pioneering work in impact investing 2017 Oslo Business for Peace Award The Nobel Prize for Business 2017 Global Steering Group for Impact Investment (GSG) Impact Market Builder of the Year Award Global influencer, whose insights inform policies, research, and innovation across sectors and geographies. Influence & Advocacy 11 Financing the Learn Strategize Execute 12 6

7 LEARN Deepen your understanding of impact investing Learn how to use impact investing to finance the SDGs CASE IN POINT: IIX Impact Institute trains individuals and institutions to achieve SDGs through impact investing Selected Partners trained by IIX: Educate key stakeholders on how to play a role 13 STRATEGIZE Determine the country s funding needs to achieve the SDGs Case in Point: Social Finance Roadmap for Malaysia Map the potential for impact investing to address financing gaps Create a systematic strategy to finance the SDGs over time 14 7

8 7/12/2017 EXECUTE Case in Point: Livelihood Bond Develop innovative financial instruments to finance the SDGs $8 million bond with 5.65% coupon over 4 year tenor +385,000 women in Southeast Asia impacted Use public sector funds to de-risk investments (eg: guarantees) 50% guarantee from US and Australian Government Partners: Bring the private sector into the sustainable development equation 15 Spotlight: IIX Sustainability Bonds Series for the SDGs Building off its success from the Livelihood Bond, IIX is developing a series of Bonds to mobilize large-scale capital to finance the SDGs across the world. FINANCIAL INCLUSION Livelihood Bond 2 Livelihood Bond 3 Livelihood Bond 4 Southeast Asia South Asia Pacific Islands CLIMATE ACTION COMMUNITY RESILIENCE Livelihood Bond 5 Haze Bond Health Bond Philippines Singapore, Indonesia USA Vision Bond South Asia USD 30 million bond to provide 16 8

9 GOING FORWARD Leveraging the Power of Impact Investing to Achieve the SDGs Learn: Engage Private Sector Strategize: Create Your Plan Execute: Support Innovative Finance 17 9