“Private investors do not typically fund the construction of rural roads in Africa, say, or vaccination drives in villages, even though the returns on such investments are often enormous. That is because the returns are either hard to monetise, or the risks are too great for the private sector to tolerate. The point of blended finance is to use public or charitable funds to remedy those problems, allowing private money to flow to places and projects it would usually shun […] Few data exist on the scale and success of blended finance more broadly, but it is still a niche. Two global platforms were recently launched to match investors with projects. One of them, Convergence, has a database of over 150 blended transactions since 2000 with a total value of $40 billion, but says its list is not exhaustive.”

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