Financing Sustainable Land Use: Unlocking business opportunities in sustainable land use with blended finance

KOIS Invest

The need for more sustainable land use is thus an urgent one. The cost of inaction and its effects on climate change are vast. There needs to be a paradigm shift in the way in which (i) private sector investors view investment opportunities in SLU and how (ii) public and philanthropic investors engage to catalyse private capital in the Sustainable Development Goals (SDGs). one of the biggest challenges to private sector investment in SLU is identifying currently- investable projects or projects at the ‘tipping point’ in which to deploy private capital at scale.

Mobilising private capital through blended finance is essential to unlock these market opportunities. By deploying public and philanthropic funds, blended finance can mitigate risks and enhance returns for investors by strengthening jurisdictional industrial policy (this will be key for truly systemic change), supporting pipeline development, providing concessional capital and guarantees and improving market incentives. This will require greater coordination between public investors, as well as a more direct link between public funding and private investments. Further, development finance institutions (DFIs) and multilateral development banks (MDBs) can more significantly shift focus towards private sector mobilisation.

Website: www.koisinvest.com

    Date
    12 April, 2018
    Type
    Policy and Research Reports
    Region Focus
    Global
    Sector Focus
    Agriculture
    Sub-Sector Focus
    Climate Resilient / Sustainable Agriculture