Impact beyond the deal: Blended Finance as a tool for systems change
In April, the Blended Finance Collective held its second two-day workshop at Chemonics UK. The workshop gathered over a hundred practitioners from UK social investment and global development finance markets, alongside government representatives from DESNZ, DEFRA, and DCMS. National and international networks, including the Catalytic Capital Consortium, Convergence, Impact Europe, the Impact Investing Institute, Systemiq, and the Global Impact Investing Network, also participated.
This event examined the current state of the blended finance market and explored the scale of opportunities it presents.
We heard from experts such as LSE visiting professor in practice, Sarah Gordon, on how blended finance is transforming the way public and private investors work together.
Over two days, we learn in detail about practical case studies of blended finance in action:
The Green Guarantee Company and the Local Access Programme both showcased delivering systemic change through blended finance.
Insights from the Private Infrastructure Development Group’s Technical Assistance Facility and The Reach Fund demonstrated the critical role of technical assistance and it's role alongside blended finance programmes.
Mary MacLennan, Lead Behavioural Scientist at the UN discussed how behaviour change happens and its application to blended finance approaches.
Funds like the BlueOrchard’s Latin America and the Caribbean Gender, Diversity and Inclusion Fund and Bristol City Funds manged by Bristol & Bath Regional Capital illustrated approaches to incentivising behaviour change for both investors and beneficiaries.
Youth in Business and Community Investment Enterprise Facility II were presented as examples of replicable models improving access to finance to communities at scale.
Wider discussion focussed on the importance of policy and law, and concluded with a high-energy debate on whether blended finance should be transitional or permanent.
Over the next few weeks, we will be sharing more content and reflections from the event.
At the conference, we also formally launched the Blended Finance Collective which serves as a comprehensive resource hub for practitioners, aiming to foster collaboration, share learning, and facilitate coordinated efforts to grow interest and investment in the blended finance ecosystem.
Speaking at the event, Seb Elsworth, CEO of Access – the Foundation for Social Investment said: “There is so much energy and enthusiasm for this new community – bringing together the practitioners of blended finance regardless of geography or sector. We hope it will play a crucial role supporting policy-makers and other change makers to realise the potential of blended finance to deliver positive economic, environmental, and social impact at scale.”
Formerly known as the Blended Finance Community of Practice, the Collective is run by and for blended finance practitioners working across developed and emerging markets which enables us to better understand the needs and requirements of different investors. By fostering collaboration and innovation, the Blended Finance Collective aims to extend the sector's reach through learning.
To date, the work of the Collective has been overseen by Access - The Foundation for Social Investment, Better Society Capital, European Bank for Reconstruction and Development, and Save the Children, with advisory input from British International Investment and Ina Lee, Associate Director, Global Impact Investing Network.
Find out more and join the community to connect with other blended finance practitioners!
