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To celebrate its 10th anniversary, Convergence will host the first ever Global Blended Finance Forum in Washington, DC at the Fairmont Georgetown Hotel from November 3-5, 2025.

This first of its kind gathering will bring together a wide spectrum of blended finance practitioners to share insights, discuss market trends, and break down silos, with an aim towards defining the next decade of blended finance.

The Forum will offer a variety of programming focused on the most urgent blended finance issues including private sector and local capital mobilization, data transparency, and standardization. Attendees will also have the opportunity to participate in multiple networking opportunities designed to foster collaboration and inspire and galvanize them to shape the future of blended finance.

Convergence members get access to preferred pricing. Early bird member tickets are $500 (compared to $750 for non-members). To get the discounted rate, reach out to your relationship manager.

*Early bird registration is currently open. Follow the [event LinkedIn page](https://www.linkedin.com/showcase/global-blended-finance-forum/) for up to date information, including newly announced speakers, agenda items, and themes.*

Global Blended Finance Forum

To celebrate its 10th anniversary, Convergence will host the first ever Global Blended Finance Forum in Washington, DC from November 3-5, 2025.

Convergence Global Blended Finance Forum

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__Tuesday, July 15, 2025, 8:30AM - 11:00AM ET__

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(Le français suit/French follows)

Convergence, in partnership with [Global Affairs Canada](https://www.international.gc.ca/global-affairs-affaires-mondiales/home-accueil.aspx?lang=eng), is launching a new training program as part of its upcoming [Blended Finance Accelerator for Fund Managers (A4FM)](https://www.convergence.finance/accelerator). This program is designed to upskill global fund and asset managers in the structuring, designing, and fundraising of blended finance vehicles that advance sustainable investments in emerging markets and developing economies (EMDEs). The session will bring together participants from around the world, equipping them with practical knowledge and relevant examples through Convergence’s proprietary training materials and real-world case study presentations. It will also offer insights from mainstream asset managers and impact fund managers on scoping, launching, and deploying blended finance vehicles to attract concessional and commercial investors, thereby expanding their reach in EMDEs.

*Registration is subject to pre-approval.*

(FRANÇAIS/FRENCH)

Convergence, en partenariat avec [Affaires mondiales Canada](https://www.international.gc.ca/global-affairs-affaires-mondiales/home-accueil.aspx?lang=eng), lance un nouveau programme de formation dans le cadre de son prochain [Accélérateur de financement mixte pour les gestionnaires de fonds (A4FM)](https://www.convergence.finance/accelerator). Ce programme est conçu pour améliorer les compétences des gestionnaires de fonds et d'actifs mondiaux en matière de structuration financière, de conception et levée de fonds pour des instruments financiers de financement mixte qui favorisent les investissements durables dans les marchés émergents et les économies en développement (EMEDs). La session réunira des participants du monde entier et leur permettra d'acquérir des connaissances pratiques et présentera des exemples pertinents. Elle offrira également des informations provenant de gestionnaires d'actifs traditionnels et de gestionnaires de fonds d'impact sur la définition, le lancement et le déploiement d'instruments de financement mixte afin d'attirer des investisseurs concessionnels et commerciaux, élargissant ainsi leur portée dans les EMDEs.

*L'inscription est soumise à une approbation préalable.*

Blended Finance Training for Global Fund and Asset Managers (Virtual)

Join us for a training session designed to upskill global fund and asset managers in the structuring, designing, and fundraising of blended finance vehicles that advance sustainable investments in Emerging Markets and Developing Economies (EMDEs).

Blended Finance Training for Global Fund and Asset Managers

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Tuesday, July 8, 9am – 10am ET

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Are you new to the Convergence platform? Join us for this interactive session to learn how to navigate Convergence’s blended finance data, deal flow, and events calendar. A team member will walk you through the different functions on our website using real world case examples. Together we will search the historical deals database for a particular transaction type, navigate the investor database to find the top 10 impact investors for a particular sector, and much more.

This session will use an interactive format to answer members’ frequently asked questions. Join us to discover how to use Convergence’s blended finance data in your day-to-day work.

This session is open to all Convergence members.

Member Q&A Session: How to Navigate Convergence’s Member Platform (July 2025)

Join us to discover how to use Convergence’s blended finance data in your day-to-day work.

Navigating Convergence’s Member Platform

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__Tuesday, July 8, 2025, 9:30AM - 4:30PM CET, Paris, France__

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As an intermediate-level programme, the full-day training will combine blended finance and mobilization data, information and cases, insights from Convergence experts, notable speakers from major organizations, and technical experts in the field. Convergence members will participate in an inspiring, interactive, and practice-driven day of learning and knowledge sharing around blended finance as an approach to mobilize more private capital for the United Nations Sustainable Development Goals and Paris Agreement.

The agenda will feature:
- The State of Blended Finance 2025 – Market trends
- Blended Finance for Biodiversity – Deep dive
- Group exercise: Analyzing a Blended Finance Transaction
- Fundraising Deal Marketplace
 

This training is complimentary for members (one seat for Standard Membership, two seats for Market Builder Membership), USD 500 for additional member seats, and USD 750 for non-members. Please contact your relationship manager for more details or questions on your membership type.
 

*Registration for this training is now closed. Please contact regina.rossmann@convergence.finance with any questions.*

In-Person Convergence Training for Blended Finance Practitioners in Europe (Paris, France)

Join us in Paris, France for a full-day training combining blended finance and mobilization data, information and cases, insights from Convergence experts, notable speakers from major organizations, and technical experts in the field.

Blended Finance Training in Paris, France

CONSULTATION SESSION: Convergence’s Scale Private Investment Mobilization Project  

Convergence and Singapore Sustainable Finance Association (SSFA) invite you to a 90-minute consultation session on Convergence’s Scale Private Investment Mobilization Project — a global initiative conducted in collaboration with UN DESA, UN ECA, OECD DAC members, the Gates Foundation, and others.
This project seeks to identify and advance the most effective models to mobilize private investment at scale, in alignment with the forthcoming Financing for Development (FfD) 4 Outcome Document. 
 
__Session Objectives__ 
Participants will:
- Gain insights into the project's objectives and current status
- Review and provide feedback on proposed Private Investment Mobilization Models (PIMMs)
- Contribute to shaping an Action Plan to improve the effectiveness and fairness of catalytic and concessional capital deployment for sustainable development 
 

__Session Agenda__ 
- 09:30 – 09:35 Welcome by SSFA – by Kavitha Menon, Director. SSFA
- 09:35 – 09:40 Opening Remarks – by Ritesh Thakkar, Senior Advisor and Head of Asia Pacific, Convergence
- 09:40 – 10:30 Presentation: Overview of PIMMs – by Chris Clubb, Managing Director, Convergence
- 10:30 – 11:00 Open Discussion and Feedback

 

We look forward to your attendance!

Join Convergence and SSFA for a 90-minute consultation session on Convergence’s Scale Private Investment Mobilization Project.

Scale Private Investment Mobilization Project consultation

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__Thursday, June 19, 2025 at 2:30PM - 3:30PM CET__

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Join the World Association of PPP Units & Professionals (WAPPP) for a dynamic session exploring how subnational governments and entities (such as municipalities and SOEs) are leveraging blended finance to deliver community-focused infrastructure through PPPs. Building on WAPPP’s 2024 theme of small-scale PPPs and linking it to the 2025 focus on blended finance, this session will feature case studies, insights from local governments, and trends from Convergence—highlighting innovative financing models that address the unique challenges and opportunities at the subnational level.

WAPPP 2025: Local Governments-led Blended Financing in PPPs

Join WAPPP for session exploring how subnational governments and entities (such as municipalities and SOEs) are leveraging blended finance to deliver community-focused infrastructure through PPPs.

Local Governments-led Blended Financing in PPPs

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Wednesday, June 18, 11:00am – 12:00pm SGT

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Convergence is working on the __Scale Private Investment Mobilization Project__ - with UN DESA, UN ECA, OECD DAC members, Gates Foundation and others – to identify the best solutions that will mobilize private investment at scale, fully aligned to the upcoming Financing for Development 4 (Ff4D) Outcome Document. The solutions will use MDB and DFI capital optimally and as little ODA/ODA-like money as possible to mobilize private debt and equity investment to significantly higher volumes to fund private sector and public sector projects in emerging markets. This can only be achieved with high alignment with the developing countries' priorities/ownership and debt sustainability.

We believe that we do not have a monopoly on the best solutions to mobilize private investment at scale, nor to simplify and standardize blended finance. In this regard, Convergence invites all those interested to participate in a 60-minute Consultation Session to: i) learn more about and get a status update on the Scale Private Investment Mobilization Project, ii) engage in open discussion and provide feedback on the list of Private Investment Mobilization Models proposed by Convergence; and iii) help inform the creation of an overall Action Plan for more effective, efficient, and fair deployment of catalytic and concessional capital in developing countries for scaled mobilization.

We encourage all participants to visit the [home page](https://www.convergence.finance/standardization) for the Scale Private Investment Mobilization Project and familiarize themselves with the core project documents prior to the session.

Information Session and Consultation on Convergence Scale Private Investment Mobilization Project (Asia)

Convergence invites all those interested to participate in a Consultation Session on the Scale Private Investment Mobilization Project.

Convergence Scale Private Investment Mobilization Project

Blended Finance in Fragile Settings

Fragile countries present some of the most challenging environments for private capital to invest in. Blended finance offers a structured approach that can help mitigate these risks and attract private capital into sectors critical for the development and stability of these countries.

This session will feature two Convergence members, European Bank for Reconstruction and Development (EBRD) and KIVA, who have successfully deployed blended finance structures in fragile contexts to enable impactful investments in areas such as essential infrastructure and refugee services. These organizations will share their experiences structuring and executing transactions, including how they approached risk, ensured conflict-sensitivity, and engaged local stakeholders.

The session will begin with a short presentation of Convergence’s latest data brief on blended finance in fragile and conflict-affected states, followed by a case study presentation from each speaker organization. Participants will gain insights into practical structuring strategies, key challenges and solutions, and real-world examples from fragile and conflict-affected regions.

Member Training: Blended Finance in Fragile Settings

Join us as we explore innovations in blended finance from fragile settings.

pimms europe web

Tuesday, June 17, 8:00am – 9:00am ET

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Convergence is working on the __Scale Private Investment Mobilization Project__ - with UN DESA, UN ECA, OECD DAC members, Gates Foundation and others – to identify the best solutions that will mobilize private investment at scale, fully aligned to the upcoming Financing for Development 4 (Ff4D) Outcome Document. The solutions will use MDB and DFI capital optimally and as little ODA/ODA-like money as possible to mobilize private debt and equity investment to significantly higher volumes to fund private sector and public sector projects in emerging markets. This can only be achieved with high alignment with the developing countries' priorities/ownership and debt sustainability.

We believe that we do not have a monopoly on the best solutions to mobilize private investment at scale, nor to simplify and standardize blended finance. In this regard, Convergence invites all those interested to participate in a 60-minute Consultation Session to: i) learn more about and get a status update on the Scale Private Investment Mobilization Project, ii) engage in open discussion and provide feedback on the list of Private Investment Mobilization Models proposed by Convergence; and iii) help inform the creation of an overall Action Plan for more effective, efficient, and fair deployment of catalytic and concessional capital in developing countries for scaled mobilization.

We encourage all participants to visit the [home page](https://www.convergence.finance/standardization) for the Scale Private Investment Mobilization Project and familiarize themselves with the core project documents prior to the session.

Information Session and Consultation on Convergence Scale Private Investment Mobilization Project (North America/Europe)

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__Thursday, June 12, 11:45am – 1:00pm CST__

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Convergence invites you to a networking event with members and partners in Mexico City during [Pro Mujer's GLI Forum Latam 2025](https://gliforumlatam.com/en/). The session will bring together Convergence's members, partners, and other innovative finance stakeholders to connect with like-minded individuals and institutions engaged in blended finance, make new contacts, exchange ideas, and more.

*Registration is open on a first come, first served basis.*

Member Networking Reception in Mexico City

Join us for a member networking reception in Mexico City, Mexico.

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__Wednesday, June 11, 5:30pm – 6:30pm GMT__

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UNCDF and Convergence are hosting an official reception during the [Africa Impact Summit](https://africaimpactsummit.org/) in Accra, Ghana, from 11 – 13 June 2025. The session will bring together various stakeholders within the innovative finance ecosystem to connect with like-minded individuals and institutions engaged in innovative finance, including blended finance, make new contacts, exchange ideas, and more.

*Attendance is limited to conference participants only.*

Member Networking Reception in Accra

Join us for a member networking reception in Accra, Ghana.

Inside the Deal: responsAbility Climate Smart Food Systems Fund

__Inside the Deal: responsAbility Climate Smart Food Systems Fund, June 3, 2025, 9:00AM - 10:00AM ET__

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Explore the inner workings of real blended finance transactions through Convergence's "Inside the Deal" webinar series. Each quarter, we delve into a successful deal, inviting the deal sponsor and key stakeholders to offer candid insights on structuring these intricate transactions.

In our upcoming webinar, we will feature responsAbility Climate Smart Food Systems Fund—This fund provides long-term expansion debt to innovative agribusinesses in Asia Pacific, Latin America and Africa with the goal of mitigating climate change, reducing food loss and promoting climate change resilience across the agricultural value chain.

During this hour-long webinar, responsAbility will walk us through the structure of the fund and their fundraising journey. We will also engage in, in-depth interviews with key stakeholders, uncovering valuable lessons learned along the way. The webinar will conclude with an open Q&A for all participants.

*This webinar is open to Convergence members only.*

Join us to learn about responsAbility Climate Smart Food Systems Fund.

Inside the Deal: responsAbility Climate Smart Food Systems

The Blended Finance Company (TBFC) is a full-stack service provider for blended finance transactions enabling commercial investors to deploy significant capital while generating sustainable returns, and concessional funders to maximise their catalytic leverage.

We spoke to Nirav Khambhati, Partner at the Blended Finance Company about how they engage in blended finance, gaps and opportunities for blended finance in Asia, advice for those wanting to engage in blended finance, and more.

__1. Can you tell us about the TBFC’s mission and how it engages in blended finance?__ 
TBFC exists to reduce the Sustainable Development Goals (SDG) funding gap by changing how capital is mobilized and utilized in the development sector. Our mission rests on a two-fold approach.
First, we focus on increasing the volume of commercial capital flowing into development efforts. We do this by deploying government and philanthropic capital catalytically, creating structures that improve the risk-return profile for private investors in otherwise underserved sectors and markets.

Second, we enhance the effectiveness of government and philanthropic capital by shifting the emphasis from inputs to outcomes. We help public and philanthropic funders design more strategic, results-focused interventions that drive systemic change.

Finally, TBFC serves as an end-to-end mobilizer—providing everything from transaction feasibility assessment and structuring to fundraising, execution, and lifecycle management. A critical part of our value lies in convening the right stakeholders, whose aligned participation is essential for blended finance transactions to materialize. We serve four core stakeholder groups, including governments, donors and philanthropic institutions, investors, and enterprises (for-profit and non-profit).

__2. What type of blended finance transactions or structures has your team been involved in recently? Any transactions you’re particularly proud of?__ 
In less than two years , our team has already enabled blended finance transactions across a wide range of sectors including livelihoods, climate, agriculture, health, and education. We’ve designed diverse instruments tailored to specific challenges, including guarantees, subordinated debt, technical assistance, impact-linked incentives, outcome-based funding, pooled philanthropic facilities, and investment platforms, among others.

Some of our most meaningful transactions have tackled long-standing financing barriers for underserved segments, such as unlocking credit for students from low-income families and supporting women entrepreneurs through de-risked lending models. In each case, we have used blended structures to shift incentives, reduce risk, and increase confidence in these segments as viable investment opportunities. 

One example is Aspirational Pathways for Youth Readiness and Employment (ASPYRE) a first-of-its-kind Skill Loan Facility that provides youth from low-income households with access to affordable credit to pursue market-relevant skill development programs. TBFC played an end-to-end role in designing and enabling this initiative. We began by deeply understanding the barriers to credit access for skilling, then structured a financial product that aligns the incentives of students, training providers, financial intermediaries, and philanthropic funders. We shortlisted mission-aligned partners, mobilized philanthropic capital for credit enhancement, and created a templatized approach that allows for efficient onboarding of new stakeholders. ASPYRE is now live and already benefitting underserved youth, with additional training providers, lenders, and philanthropic contributors continuously joining the platform.

We also find ourselves increasingly involved in outcome-focused initiatives such as those aimed at creating aspirational livelihoods for youth or scaling regenerative agriculture practices. These efforts often rely on instruments like outcome-based funding or impact-linked incentives that help improve accountability and align funding with results.

Another area of pride is expanding the blended finance ecosystem by bringing in new participants, especially local actors, such as a regional bank, a philanthropic trust, or a grassroots enterprise.

__3. Based on the Blended Finance Company’s involvement in blended finance, what gaps or opportunities do you see in the overall blended finance market in Asia?__ 
__First, there is limited understanding of blended finance among key local stakeholders, particularly subnational governments and local philanthropic actors.__ Wealthy individuals and family foundations in the region tend to operate at either end of the spectrum: they provide traditional grants or make impact investments expecting market-rate returns. The middle ground, where capital can be structured to optimize the trade-off between impact and financial returns, is often misunderstood or overlooked. There is a significant opportunity to engage this segment through targeted education, demonstration projects, and collaborative structuring that show how blended finance can amplify the effectiveness of their capital.

__Second, Asia needs more entities that can hold blended finance transactions end-to-end.__ Blended transactions involve diverse stakeholders, without a trusted intermediary who can align incentives, bridge communication gaps, and manage the transaction lifecycle, deals often stall or become too expensive and complex to execute. This is a role TBFC was purpose-built to play.

__Third, there is a shortage of clear, replicable, and efficient transaction models that donors and investors can easily plug into.__ Many transactions in Asia are still bespoke, overly complex, or tied to a single sector or geography. This raises costs and limits replicability. There is a significant opportunity to standardize structures, making them easier for capital providers to understand and engage with.

__Fourth, there is a need for a continuously curated pipeline of investible opportunities that are suitable for blended finance.__ A major bottleneck in sustaining stakeholder interest is the sporadic or opportunistic nature of deal flow. Governments, investors, and philanthropies are more likely to participate if they see a steady, credible pipeline of high-quality, impact-aligned, financially viable projects. Building this pipeline requires intentional effort, ecosystem engagement, and patient capital to support project preparation and design.

__4. What advice would you give to other organizations looking to enter or scale their efforts in blended finance?__ 
- __Always start with the problem__—not the capital. We often see organizations raise capital first, then search for problems to solve. The right starting point is a clearly defined problem that genuinely warrants the blending of different forms of capital—typically where risk-adjusted returns alone cannot attract sufficient private investment, but catalytic capital can make the economics work. 

- __Recognize that blended finance is still maturing as a market—it will become simpler and faster over time, but it’s not there yet.__ Blended finance transactions are complex, involving multiple stakeholders with different mandates, timelines, and constraints. Organizations that expect quick wins or look for silver bullets often end up disillusioned. 
- __Have a deep understanding of each partner’s motivations and constraints.__ One of the most overlooked aspects of blended finance is empathy—being able to see a transaction through each stakeholder’s lens, and structuring deals accordingly. The best blended finance practitioners are not just dealmakers—they are relationship stewards.
- __Commit to building the market—not just individual deals.__ There is a growing need for more actors who invest in knowledge sharing, ecosystem advocacy, and coalition building. Each transaction should not just solve a specific problem—it should also advance the field. 

__5. How do you incorporate gender considerations into your blended finance transactions?__ 
At TBFC, gender equality is deeply embedded in how we define problems, design solutions, and structure transactions. Over half of our transactions are explicitly targeted at advancing outcomes for women; in others, gender inclusion is a critical lens through which we assess broader development impact.

One initiative underway at TBFC brings affordable credit to women entrepreneurs, enabling them to build financial resilience in the face of increasing climate risks. The structure leverages catalytic capital to de-risk lending to women in sectors historically underserved by mainstream finance—combining access to capital with the capacity to withstand environmental shocks.

Even in transactions where gender is not the exclusive focus, it is a core design principle. For example, in an impact bond aimed at creating employment opportunities, we embedded specific targets and incentives to ensure high participation of women, especially in non-traditional sectors. 

Ultimately, we see gender inclusion not just as a moral imperative, but as smart development practice. When women are economically empowered, the benefits multiply across households, communities, and generations. Blended finance, with its ability to align capital with intentional design, offers a powerful mechanism to accelerate this transformation.

__6. Looking ahead, what’s next for the Blended Finance Company in 2025 and beyond?__ 
 Our foremost priority is ensuring the blended finance transactions we are currently stewarding deliver on their promise.

We believe that blended finance can unlock far greater capital flows. This fuels our ambition to take on larger and more complex transactions, including in outcome-based financing, where we believe there is significant room for scale and innovation.

Looking ahead, we intend to explore new frontiers where blended finance can be catalytic, such as __voluntary carbon markets__, __municipal finance__, and __social bonds__. 

This year we will also be expanding our work beyond India to other emerging markets. These regions face similar development challenges and share a need for localized, trusted intermediaries who can bridge the gap between capital and impact. 

Finally, we will continue to nurture the broader blended finance ecosystem. In 2024, we seeded the __Blended Finance Exchange (BFX)__ in India, a semi-formal gathering space for practitioners, funders, and policymakers to learn from one another and shape the field collectively.

__7. What emerging trends do you think we will see in blended finance in the future?__ 
One key trend we foresee is __the institutionalization of blended finance within public systems__. Governments, especially in the Global South, are starting to see blended finance not as a one-off innovation, but as a structural tool for financing development. As this mindset takes hold, we expect more formal policies, dedicated funding windows, and internal capabilities to emerge, enabling wider and more consistent adoption.

We also expect a __bifurcation in the market__, with transaction sizes increasing significantly at the upper end, while experimentation continues to grow at the frontier. Large-scale programs, particularly in areas like climate resilience, sustainable infrastructure, and health systems, will increasingly use blended structures to unlock private capital. Simultaneously, we will see newer, nimbler structures being tested to address complex and underexplored issues. Both trends are important: scale brings visibility and momentum, while experimentation fuels innovation and adaptability.

Another important shift we expect to see is __the evolution of grant-making institutions__. As the field matures, we believe more foundations, Corporate Social Responsibility arms, and development donors will embrace this middle path and use their capital catalytically.

Finally, as blended finance becomes more accessible and predictable, it will __catalyze a new generation of social enterprises and impact initiatives__. Entrepreneurs and organizations that may have previously struggled to find sustainable business models will have access to better-structured, more affordable capital. This will unlock innovation, scale, and long-term resilience, especially in areas where commercial capital has historically shied away.

We believe blended finance is foundational to solving the complex, large-scale challenges that define our time. We’re excited to contribute to this future by helping shape the market, build trust among stakeholders, and demonstrate what’s possible when capital is blended with care, creativity, and purpose.

Learn how the Blended Finance Company engages in blended finance, gaps and opportunities for blended finance in Asia, advice for those wanting to engage in blended finance, and more.

The Blended Finance Company Member Spotlight

The Blended Finance Company Member Spotlight with Nirav Khambhati

Since our inception, Convergence has been committed to gender equality. However, it took a push from our funders the Australian Department of Foreign Affairs and Trade (DFAT) and Global Affairs Canada (GAC)’s for us to become more intentional and concrete about how we integrate gender equality in our work. In early 2020, with support from DFAT, we were able to train our entire staff on gender equality and gender-lens investing and develop a dedicated strategy for gender internally. GAC, through its [Feminist International Assistance Policy](https://www.international.gc.ca/world-monde/issues_development-enjeux_developpement/priorities-priorites/policy-politique.aspx?lang=eng), also encouraged us to prioritize gender in our work, which led us to reassess our performance measurement framework to more holistically report against gender targets.

Now, gender equality and women’s economic empowerment are top of mind across nearly all levels of our organization, including how we [collect data on deals](https://www.convergence.finance/blended-finance#blending-trends), our [selection criteria](https://www.convergence.finance/design-funding#funding-windows) for grantees, and our [organizational culture](https://www.convergence.finance/about/people). 

Read our recently published [Convergence Gender Guide](https://www.convergence.finance/resource/advancing-gender-equality-in-blended-finance-convergences-approach/view), which goes into more detail about Convergence’s gender journey and how we have refined our gender approach over the years. The document discusses the intersection of blended finance and gender and shares how we have integrated gender across Convergence in our culture, knowledge products, communications, events, trainings, data, deal flow, grant programs, membership, and network.

Though this guiding document is primarily for our own staff to understand the importance of gender equality in what we do, we also hope it can be useful as a guide to others in the space who are just beginning their gender equality journey. The guide is a living document that will be updated regularly as we learn from our experiences and incorporate feedback from others in the gender equality and gender-lens investing space.

Read our recently published Convergence Gender Guide, which explores Convergence’s gender journey and how we have refined our gender approach over the years. 

Convergence’s Gender Equality Journey and Approach

Convergence will be at the [4th International Conference on Financing for Development (FfD4)](https://financing.desa.un.org/ffd4) from June 30 - July 3, 2025 in Seville, Spain. We will be hosting and participating in several events and meetings, which we have listed below. Be sure to follow us on [LinkedIn](https://www.linkedin.com/company/convergenceblendedfinance/) to stay up to date with our activities at the FfD4, and check back to this page as we keep it updated throughout the Forum.

__Convergence Delegation__
- Joan Larrea, CEO
- Christopher Clubb, Managing Director
- Mira Minkara, Senior Associate, Training and Engagement
 

__Events__ 

__Organized or co-organized by Convergence__

| Date & time (GST)	 | Event title | Organizer | Location | Details |
| ---------- | ---------- | ---------- | ---------- | ---------- |
| July	1, 12:30PM - 2:00PM | Scaling up private investment mobilization for Least Developed Countries, Small Island Developing States (SIDS) and other early-stage markets: The need for an action plan to deliver private capital mobilization objectives of the FfD4 Outcome Document | UNCDF, Convergence, EMIA | Side Event Room 17 | The event, cohosted by UNCDF and Convergence, will focus on how to deliver on the FfD4 Outcome Document’s goals to scale private investment and blended finance, particularly in Least Developed Countries (LDCs) and Small Island Developing States (SIDS) where perceived investment risks are highest. |
| July 2, 10:30 AM - 12:00 PM | Optimal private investment mobilization for Africa | Convergence, Equity Group and FSD Africa | International Business Forum (IBF):Madrid D | The event will be dedicated to how to achieve the mobilization objectives of the FfD4 Outcome Document and Agenda 2063, including identifying mobilization solutions that work well for African countries and discussing an action plan that could mobilize private investment at scale for all Developing Countries. |
| July	2, 10:30AM - 12:00PM | Scaling Private Investment Mobilization through Blended Finance | UN ECA, Convergence | Virtual | The session will bring together regional and global stakeholders to share insights on catalytic and concessional financing instruments that have proven effective in improving the risk-return profiles of African projects, Showcase replicable, investment-grade transaction models that align with Agenda 2063 priorities, particularly in infrastructure, green energy, and SME financing, and introduce a continental framework for private investment mobilization under the Sevilla Platform for Action, co-led by UNECA and Convergence, and discuss how PIDA pipelines can serve as a credible entry point. |
| July 2, 4:30 PM - 6:00 PM | Private investment mobilization for Africa: The need for an action plan to scale private investment mobilization to achieve objectives of the FfD4 Outcome Document and Africa Agenda 2063 | UNECA, African Union, OECD, Convergence | Side Event Room 18 | The event will be dedicated to how to achieve the mobilization objectives of the FfD4 Outcome Document and Agenda 2063, including identifying mobilization solutions that work well for African countries and discussing an action plan that could mobilize private investment at scale for all Developing Countries. |
| July 3, 8:30 AM - 10:00 AM | Private Investment Mobilization to achieve FfD4 Outcome Document mobilization objectives | FSD Africa, British International Investment, TCX, S&P Global Ratings, Convergence | Side Event Room 16 | This 90-minute event will (i) identify the key mobilization and blended finance content of the Outcome Document (e.g., country priorities, standardization, debt sustainability, share risk fairly, develop domestic financial markets..), (ii) showcase successful, good practice blended finance transactions and programs aligned to the Outcome Document and (iii) profile a set of standardized blended finance solutions that can be implemented to catalyse sustainable development investment at scale to close the financing gap with urgency. |

__Side events with Convergence's participation as speakers:__

| Date & time (GST)	 | Event title | Organizer | Location | Details |
| ---------- | ---------- | ---------- | ---------- | ---------- |
| June 30, 12:30PM - 2:00PM | Moving to the Trillions: Catalyzing Strategies to Increase Development Finance | Shamba Centre for Food and Climate, BMZ, SDC | Side Event Room 22 | The side event will explore innovative finance models that will increase the catalytic potential of overseas development assistance and significantly increase blended finance for sustainable development. |
| July 1, 2:30PM - 4:00PM | Catalyzing SDG Progress Through Technical Development and Private Investment Partnerships | GIZ | Side Event Room 15 | This panel discussion will explore the critical intersection between technical development assistance and private investment in accelerating progress toward the Sustainable Development Goals. |
| July 1, 4:30PM - 6:00PM | Innovations and Best Practices: Risk Sharing and Credit Enhancement Mechanisms | UNDESA | Madrid D (IBF) | Information to follow |
| July	2, 8:30AM - 10:00AM | Catalytic Pathways to Scale Private Investment: Improving access to catalytic capital | IFD, BCG | Side Event Room 8 | This will be an inclusive public-private dialogue to identify and implement practical and transparent strategies for scaling blended finance: examining tools, obstacles, and impact delivery. |
| July	2, 2:30PM - 4:00PM | Rethinking Disaster Risk Finance: Preparedness and Innovation for a Resilient Future | IFRC, Costa Rica, Fiji, Spain | Side Event Room 8 | Information to follow |
| July2, 5:30PM - 7:00PM | WaterAid Forum: Transforming water security through country-level platforms that get blended finance right: Just Water Partnerships | WaterAid, Global Commission on the Economics of Water (GCEW), IWMI and iCS | Caixa Forum Sevilla | Information to follow|
| July	3, 8:30AM - 10:00AM | Stability: Private Finance for Resilient Growth | Clarmondial, Convergence, Nestle, Gates Foundation | Side Event Room 6 | Information to follow |

Convergence at Financing for Development Forum (FfD4)

As sea-levels rise, so does the urgency to act — yet the capital required to protect our marine ecosystems and coastal communities is barely trickling in.

Oceans generate an estimated $2.5 trillion in economic value each year, supporting the livelihoods of over 3 billion people, while the SDG14 — Life Below Water — receives less than 1% of global climate finance. Coastal communities face the most immediate climate risks — coastal erosion, extreme weather, biodiversity loss — yet remain underinvested.

This week, the UN Ocean Conference 2025 in Nice, France, will set an ambitious goal: to mobilize $100 billion in new ocean financing to advance a more resilient blue economy. But the critical question remains — where will this capital come from? As the most recent edition of the [State of Blended Finance 2025 outlines](https://www.convergence.finance/resource/state-of-blended-finance-2025/view), in a global context of declining foreign aid, efforts to preserve marine ecosystems and scale climate adaptation in coastal regions must increasingly look inward to domestic capital. 

By aligning international capital with local market realities, blended finance is uniquely positioned as a structuring approach to not only to unlock foreign investment, but to activate domestic financial resources by supporting local institutions and markets, fostering long-term resilience, and scaling adaptive climate solutions driven by frontline communities.

__Local Capital on the Sidelines: An Untapped Opportunity for Adaptation__ 
Local market actors in coastal countries such as domestic financial institutions, regional development banks, insurance companies, and pension funds collectively manage billions in assets — yet only a fraction is directed toward blue economy or climate resilience investments. These projects are perceived as high-risk, with a limited pipeline of investable, well-structured coastal adaptation projects.

There is also a mismatch in time horizons: capital providers often seek returns in the short to medium term, whereas infrastructure and ecosystem restoration require long timelines to generate measurable impact and reliable revenue.

Compounding this is the lack of mature revenue models for nature-based solutions tied to SDG 14, making it harder to draw in capital. As a result, many projects remain overly dependent on international donors or substantial concessional financing, which can undermine long-term sustainability and dilute local stewardship. To truly scale resilient, climate-smart solutions along the coast, local capital must be unlocked — not only to close the financing gap, but to build accountability amongst the communities, contextual relevance for the solutions, and a sustainable impact.

__Blended Finance Approaches to Mobilizing Local Capital in the Blue Economy__ 
In 2018, the [Seychelles Blue Bond](https://www.worldbank.org/en/news/press-release/2018/10/29/seychelles-launches-worlds-first-sovereign-blue-bond), the world’s first sovereign blue bond, pioneered a model for financing climate-smart fisheries while laying the groundwork for local capital mobilization. Though its investors were international, the bond channeled proceeds through local institutions and supported domestic financial infrastructure—strengthening local investment capacity and creating a replicable model for national investment in ocean sustainability. A few years later in 2022, the [Fiji Sovereign Blue Bond](https://www.undp.org/pacific/press-releases/launch-fijis-first-ever-sovereign-blue-bond) employed a more direct approach to mobilizing local capital, explicitly structuring the bond to be accessible to domestic investors, including local banks and financial institutions. The bond was accompanied by the Blue Accelerator Grant Scheme (BAGS), a strategic grant-to-investment accelerator, providing capacity-building, impact finance, and structured de-risking to convert locally-developed blue economy projects into investable businesses.

Other successful examples include the [The Meloy Fund](https://www.meloyfund.com/), which blends concessional capital with private investments from high-net-worth individuals and family offices in Southeast Asia for loans to small-scale fishers and other community actors. Another by the [Global Fund for Coral Reefs](https://globalfundcoralreefs.org/), actively seeks co-investment and syndication with local financial institutions for reef-positive projects, businesses and Special Purpose Vehicles. And finally, The [Blue Alliance Blended Finance Facility](https://bluealliance.earth/our-blue-finance-facility/) encourages local financial institutions and investors to participate in funding sustainable blue economy initiatives by de-risking businesses through grants and impact debt capital. Profits generated from these businesses are reinvested into regional Marine Protected Areas, creating a self-sustaining model that supports locally-led coastal biodiversity preservation and livelihoods.

__How to Build Local Climate Finance Capacity in Coastal Regions__ 
Scaling climate-resilient blue economy solutions requires a concerted effort to mobilize local capital through thoughtfully-structured blended finance. Donors and development finance institutions and multilateral development banks should design investment vehicles that intentionally crowd in domestic actors with concessional tranches, guarantees, and technical assistance to lower entry barriers. They can also collectively drive the appropriate frameworks and guidelines for blue economy investments, such as the [International Finance Corporation’s practitioner’s guide on blue bonds](https://www.ifc.org/en/pressroom/2023/new-guidance-on-blue-bonds-to-help-unlock-finance-for-a-sustainable-ocean-economy) created in collaboration with the International Capital Markets Association, United Nations Environment Programme Finance Initiative, UN Global Compact and the Asian Development Bank.

National and subnational governments also play a vital role by providing tax and regulatory incentives to local investors—as seen in [Fiji’s Green Bond exemptions](https://ndcpartnership.org/knowledge-portal/good-practice-database/pioneering-green-finance-developing-world-fijian-sovereign-green-bond)—and by mandating local development banks to prioritize blue and adaptation finance.

Meanwhile, philanthropies and ecosystem partners can support the ecosystem by funding early design work, creating replicable project models, and convening local stakeholders to build capital stacks that align with their risk appetite. An example is Ocean Risk and Resilience Action Alliance (ORRAA), recently announcing grants to be deployed under the [Outrigger Technical Assistance Facility](https://oceanriskalliance.org/news/investable-sustainable-blue-economy-projects-boosted/?utm_source=chatgpt.com) to support early-stage regenerative and sustainable blue economy businesses across 35 Small Island Developing States.

These initiatives together can create the enabling conditions for long-term, domestically-anchored climate finance. By engaging local capital, ocean finance can unlock greater capital flows and stronger local participation, creating solutions that are more sustainable, inclusive, and rooted in long-term community ownership of coastal and marine ecosystems.

__Join us at the upcoming [Global Blended Finance Forum](https://globalforum2025.convergence.finance/convergenceglobalforum2025/7697519) in Washington DC November 3-5 2025, where we’ll delve into local capital mobilization and other key challenges shaping the future of blended finance. [Register now](https://globalforum2025.convergence.finance/convergenceglobalforum2025/begin)!__

Blended Finance in the Blue Economy: How Local Capital Can Boost Coastal Resilience

Blended Finance in the Blue Economy

*Toronto, June 10, 2025* – Convergence announces the third cohort of its Asia Climate Solutions (ACS) Design Grant. Two innovative blended finance solutions targeting climate action with a focus on nature-based solutions (NbS) and mobilization of local capital in key Southeast Asian markets have been awarded proof-of-concept and feasibility study grants.

The ACS Design Grant supports pioneering blended finance solutions focused on critical climate mitigation and adaptation sectors in Asia including NbS, clean energy transition, and sustainable cities and infrastructure. The third call for proposals prioritized solutions mobilizing local public, private, and philanthropic capital to address climate vulnerabilities in Southeast Asia.

“These innovative solutions offer effective approaches to mobilize local capital in Southeast Asian markets,” says Convergence Senior Director, Blended Finance Accelerator, Leah Pedersen. “Working across key environmental sectors they will contribute to regional climate goals while supporting and uplifting local communities.”

The ACS program is supported by five anchor donors: the Monetary Authority of Singapore, Australia’s Department of Foreign Affairs and Trade, Olayan Group, UBS Optimus Foundation, and The Rockefeller Foundation. It aims to demonstrate how catalytic capital from family offices, foundations, and donor agencies can unlock scalable blended finance approaches to bridge the climate financing gap in Asia.

__Introducing the Grantees__

__Palladium International LLC__ has been awarded a feasibility grant to design and structure The Nature Catalyst, a blended finance facility that aims to de-risk investments and bridge the financing gap for early-stage NbS across the capital continuum in Cambodia, Vietnam, the Philippines, and Laos. The Nature Catalyst targets the agriculture, forestry, and fisheries sectors where early-stage capital remains scarce. The facility will be structured as a dual mechanism: the Nature Catalyst Incubation Facility, which will provide performance-based grants and technical assistance to strengthen local pipeline developers and NbS projects; and the Nature Catalyst Fund, which will offer tailored financing instruments such as loans, revenue-based loans, NbS carbon, and convertible debt to support NbS enterprises. The solution aims to avoid 25 million metric tons of CO₂ emissions over the life of the project, restore 200,000 hectares of land, increase use of native species by 25%, and support endangered species. It also aims to create 50,000 climate-resilient livelihoods (50% women) and ensure that at least half of nature-positive revenues are retained by local communities.

The solution, implemented in partnership with Impact Earth and Capital Continuum Advisers, will mobilize local sources of capital by actively engaging with domestic corporates, family offices, and regional financial institutions as both pipeline partners and potential investors. Financial instruments will be tailored to local market needs, demonstrating viable NbS business models and attracting underutilized pools of capital from within Southeast Asia.

This grant will support the development of the fund’s capital and legal structure, governance and impact frameworks, financial modeling, due diligence processes, pipeline development, and investor engagement.

__Conservation International__ has been awarded a proof-of-concept grant to design and launch the Climate Smart Shrimp Fund (CSSF), a revolving blended debt fund focused on modernizing shrimp farming, enhancing climate resilience, and restoring mangrove ecosystems in Indonesia. Building on successful pilot projects, the CSSF will work with local implementation partners to integrate shrimp farming with mangrove restoration across 3,400 hectares of land, restoring 1,500 hectares of mangroves. This effort will enhance coastal protection, support carbon sequestration, improve water quality, and unlock revenue from ecosystem services.

The solution will mobilize local sources of capital by targeting domestic financial institutions, family offices, and impact aligned investors, demonstrating the commercial viability of climate-resilient shrimp farming and mangrove restoration to build trust and attract long-term local capital for sustainable aquaculture projects.

This grant will be used to finalize the fund structure, refine the financial model, complete legal documentation, develop an impact measurement plan, prepare investor materials, build an investment pipeline, and secure anchor investors.

__About Convergence and the Blended Finance Accelerator__ 
Convergence is the global network for blended finance. Convergence’s Blended Finance Accelerator supports blended finance practitioners with design grants, acceleration support, and market intelligence to scope, structure, and launch new blended finance solutions that unlock commercial investment to accelerate sustainable development in emerging markets.

On top of market acceleration through its Blended Finance Accelerator, Convergence generates blended finance data, intelligence, and deal flow to increase private sector investment in developing countries. Convergence’s global membership includes over 160 public, private, and philanthropic investors as well as sponsors of transactions and funds.

__Media Contact__ 
Sijia Yi 
Head of Communications 
Convergence Blended Finance 
sijia.yi@convergence.finance

Convergence announces the third cohort of its Asia Climate Solutions (ACS) Design Grant, awarding funding to blended finance solutions supporting local capital mobilization for climate action in Southeast Asia.

Convergence supports blended finance solutions in SEA

Convergence awards funding to blended finance solutions supporting local capital mobilization for climate action in Southeast Asia

__San Francisco, June 3, 2025__ – The Catalytic Climate Finance Facility (CC Facility), which provides working capital and technical support to accelerate high-potential climate finance vehicles, has awarded USD 1.1 million to its third cohort of blended finance solutions, including the [Emata Special Purpose Vehicle](https://www.ccfacility.org/portfolio/emata-special-purpose-vehicle), the [Good Fashion Fund 2.0](https://www.ccfacility.org/portfolio/good-fashion-fund-2-0), and the [Nordic Impact Funds](https://www.ccfacility.org/portfolio/nordic-impact-funds).

The CC Facility is designed to accelerate the implementation of financial structures that mobilize private capital for climate action in emerging economies by offering grant funding of up to USD 500,000.

The Facility and its team of experts also provide up to 18 months of tailored technical assistance to address barriers and maximize opportunities to increase the investment pipeline.

“We are delighted to collaborate with three new cutting-edge concepts in climate finance. These mechanisms stand out from a competitive field of applicants as instruments with near-term potential to address severely under-financed sectors in countries struggling to meet their 2030 Agenda objectives,” said Barbara Buchner, CPI’s Global Managing Director.

“Climate finance matters because it enables countries, especially in emerging markets, to reduce emissions and build resilience while also creating new economic opportunities,” Buchner added.

The CC Facility is a partnership between [Climate Policy Initiative](https://www.climatepolicyinitiative.org/) (CPI) and [Convergence](https://www.convergence.finance/).

It targets one of the main obstacles in expanding blended climate finance by streamlining the acceleration stage, when projects face a critical phase as they try to appeal to different markets.

The Facility has three anchor donors: the [Bill & Melinda Gates Foundation](https://www.theglobalfund.org/en/private-ngo-partners/resource-mobilization/bill-melinda-gates-foundation), [Global Affairs Canada](https://www.international.gc.ca/global-affairs-affaires-mondiales/home-accueil.aspx%3Flang=eng), and [Australia's Department of Foreign Affairs and Trade](https://www.dfat.gov.au/).

__A snapshot of the pilot projects:__

1. The [Emata Special Purpose Vehicle](https://www.ccfacility.org/portfolio/emata-special-purpose-vehicle) is a Ugandan digital financing provider specializing in climate-smart agriculture solutions for smallholder farmers. These groups often struggle to access finance to adopt the latest technologies and practices. This lack of capital leaves them increasingly exposed to the effects of climate change, such as erratic weather, that undermine their productivity and income.
2. The [Good Fashion Fund 2.0](https://www.ccfacility.org/portfolio/good-fashion-fund-2-0) sets out to create systemic change in the textile and apparel industry by financing the implementation of high-impact production technologies in Asia. The Fund targets long-term USD debt investments in manufacturing in India, Bangladesh, and Vietnam.
3. The [Nordic Impact Funds](https://www.ccfacility.org/portfolio/nordic-impact-funds) invests in financially viable businesses led by social entrepreneurs dedicated to achieving sustainable development across East Africa. Its mission is to support small and medium-sized enterprises (SMEs) that contribute to improved livelihoods, climate adaptation, and better access to essential services for marginalized groups.

__About the Catalytic Climate Finance Facility__
The [Catalytic Climate Finance Facility](https://www.ccfacility.org/) (CC Facility) is a solution to scale climate finance by filling a market gap in mobilizing private capital. The CC Facility provides a range of services to market-ready blended finance vehicles in developing economies to help them expand their reach. Through grant funding, technical support, and a learning hub, the CC Facility accelerates the implementation of high-impact financial structures while providing resources to the broader ecosystem on how to best catalyze climate finance. The initiative is a partnership between [Climate Policy Initiative](https://www.climatepolicyinitiative.org/) (CPI) and [Convergence](https://www.convergence.finance/).

__Media Contacts__ 
__Sijia Yi__ 
Head of Communications 
Convergence Blended Finance 
sijia.yi@convergence.finance 

__Júlio Lubianco__ 
Communications Manager 
Climate Policy Initiative 
julio.lubianco@cpiglobal.org 

__Sarah Barden__ 
Senior Communications Associate 
Climate Policy Initiative 
sarah.barden@cpiglobal.org

CC Facility awards USD 1.1 million in grants to scale climate investment opportunities in Africa and Asia

CC Facility awards USD 1.1 million in grants

Nature is no longer just in the domain of philanthropic actors. Instead, it's quickly becoming a largely untapped investment opportunity for asset managers and institutional investors alike. This was a key message at the inaugural [Nature Finance Forum](https://events.climateaction.org/nature-finance-forum-europe/), hosted in Paris in April 2025. 

Despite the growing urgency around safeguarding the natural environment, the market for nature is nascent and the $700 billion annual financing gap [needed](https://www.weforum.org/publications/nature-finance-and-biodiversity-credits-a-private-sector-roadmap-to-finance-and-act-on-nature/) to adequately fund it can seem daunting. At the forum, speakers shared insights on how to close that gap. A common thread was the growing necessity for blended finance structures within nature-positive transactions.  

Blended finance [can be used](https://www.convergence.finance/resource/state-of-blended-finance-2024-climate-edition/view) to overcome perceived and actual risks in these transactions and to meet investor requirements regarding risk-adjusted returns. Several speakers throughout the day shared their experiences with using blended finance to launch transactions that directly contribute to nature-positive outcomes.  

__Blended finance models in action__

One example shared by Nick Oakes, Co-Founder & Managing Director of Impact Earth, was the use of concessional capital and guarantees within the __Amazon Biodiversity Fund__. The fund [supports](https://www.impactearth.co.uk/abf) sustainable businesses through venture financing to deliver lasting benefits for biodiversity and communities across Brazil’s Legal Amazon. 

The $50 million fund benefits from a “double-de-risking” structure, using both concessional capital in the junior tranche to absorb first losses and a concessional guarantee to protect investors in the senior tranche. Oakes shared that blended finance was an important tool for mobilizing private capital because investors [may perceive](https://www.convergence.finance/api/file/273be9897ffcb4eef1b24f3a5b9061ab:d8f7e0336ea0041c318853bceeae1295e1c940f8dd5e4c335a3fb525b440957230b864d8845b66e8be08e93d8097ccb4c0e777330b37ab437fa5f150ee21f47d28cf4a81fbe11a46b0a41e4613f9433d7f6b4556289503bd78e689a0dbe6241dd9af74ba163f43ff76194d3a5b77250076b7a443d4041650d47f2c3430633766a2bfa5968af9e68133fddd29883b1d98) higher levels of political risks within Brazil and climactic risks within the Amazon biome. The various concessional instruments allowed the risk-return expectations to align with private investors. 

Attendees then heard from a panel of speakers about a blended initiative called the __Tropical Forest Forever Facility__ (TFFF), created at COP28 in November 2023. Aiming to protect tropical forests across 80 countries, the TFFF seeks [to mobilize](https://www.reuters.com/business/environment/brazil-proposes-global-forest-conservation-fund-cop28-2023-12-01/) up to $250 billion in funding. 

The facility is composed of two parts: a smaller portion from governments and philanthropies that would provide loans, grants, and guarantees, and a larger portion that would use senior debt to mobilize international capital. This fund would, in turn, invest in fixed income portfolios that would be expected to generate higher returns to repay principal investments. The yield from the difference between the funding cost and the investment return would be used to pay countries that achieve the goal of zero deforestation through fixed payments based on each hectare of forest that is conserved. Once again, panelists stated the need for a blended structure to mobilize private investors into an unfamiliar transaction with higher levels of potential risk. 

A third example shared was the work that The Nature Conservancy (TNC) has done through its __Blue Bonds for Ocean Conservation__ initiative. The program [enables](https://www.nature.org/en-us/what-we-do/our-insights/perspectives/an-audacious-plan-to-save-the-worlds-oceans/) island and coastal nations to use debt restructuring to secure lasting sustainable funding that supports the protection of 30% of the world’s oceans, fosters sustainable economic development, and enhances climate adaptation.  

Beatriz Merino, Financial Institutions Lead, Europe at TNC, spoke about the use of blended finance within the program, in particular how catalytic guarantees from the Inter-American Development Bank were critical to mobilizing private debt for their bond program. Merino further stated that TNC is seeing new actors participating in blended transactions, both as commercial investors and as catalytic capital providers.  

__Challenges to financing nature remain__

Despite the exciting potential for blended finance to help close the nature financing gap and the growing interest from new actors, speakers and attendees stressed that there are larger, systemic challenges that continue to cause private investor hesitation.  

Two of the most frequently mentioned challenges were issues with data availability and a lack of metric standardization. Regarding the first challenge, data is not consistently available or at a high enough quality to support the accurate risk assessment of nature degradation across a portfolio of investments, or to allow complete performance tracking or target-setting at the community level.  

One way the Finance for Biodiversity Foundation is trying [to increase](https://www.financeforbiodiversity.org/about-the-pledge/) data transparency is through encouraging signatories of its Finance for Biodiversity Pledge to collaborate and share knowledge; engage with companies; assess impact; set targets; and publicly report on the previous findings. At the forum, the Foundation announced that it had recently reached 200 signatories, an encouraging sign of increased commitment to collaborating on nature financing initiatives. 

Compounding the issue of data availability, however, is the lack of standardization. Even where data is available, it is often highly transaction- or location-specific, leading to a lack of fungibility. Given the bespoke nature of many of these measurement frameworks, transaction costs can become quickly prohibitive for deal sponsors and lead to cumbersome due diligence on behalf of investors. Organizations attending the event, such as the International Advisory Panel on Biodiversity Credits (IAPB) are attempting to address this challenge within the biodiversity credit market. IAPB recognizes that a global solution to biodiversity measurement is not feasible. Rather, the organization has [created](https://www.iapbiocredits.org/framework) a framework with a set of criteria through which projects or transactions can be measured and verified.  

Blended finance instruments can also be useful to address these challenges; providing working capital to early-stage transactions through design-funding grants can help the transactions align with internationally recognized frameworks or to set up robust measurement processes to better understand nature impacts. 

__Final thoughts__

Overall, the day left attendees with a few main takeaways: 

- The impact of nature degradation has left massive, exposed risks across the portfolios of investors globally. The question is no longer if nature should be considered, but how and through what methods.
- Blended finance can be an important structuring approach to align the risk-return expectations of nature-positive transactions with those of private investors.
- New actors are entering the sector at an increasing rate, and every actor has an important role to play, from insurers to multilateral development banks to foundations.
- Challenges remain regarding data accessibility and standardized frameworks, but efforts are being made to align methods where possible.

As momentum builds and blended finance models continue to prove their potential, the path forward will depend on collaboration, innovation, and a shared commitment to protecting nature. Bridging the nature financing gap is a complex challenge, but the Nature Finance Forum Europe showed that it is one that the financial sector is increasingly ready to meet. The time is now for investors, policymakers, and development actors to move from discussion to deployment, and turn ambition into action for nature. 

Blended Finance for Nature: Insights from the Nature Finance Forum 2025 

Insights from the Nature Finance Forum 2025 

The Development Bank of Rwanda (BRD) provides long-term financial services to support Rwanda's development. Since 1967, BRD has driven sustainable economic transformation and prosperity in Rwanda. Its mission is to finance projects that align with Rwanda’s 2050 vision, socio-economic goals, and global Sustainable Development Goals by offering affordable, long-term, and customized development finance.

We spoke to Fernand Kamanzi, Head of Strategy, Research, M&E, and Resource Mobilization at BRD about their work to help achieve the Sustainable Development Goals (SDGs) in Rwanda, how they engage in blended finance, how they measure impact, their gender strategy, and much more.

__Tell us about BRD’s mandate and how your strategy encourages capital mobilization to the SDGs.__ 
BRD plays a crucial role in the economic development of Rwanda, with a mandate focused on financing projects that contribute to sustainable development.

The Bank focuses on sectors that are underfunded by traditional financial institutions, such as social infrastructure, agriculture, affordable housing, renewable energy, education, digital economy, green finance, and export. To effectively link its strategy with capital mobilization toward achieving the SDGs, BRD has adopted several innovative approaches:

- __Sustainability-Linked Bonds (SLBs)__: Unlike traditional bonds where proceeds are earmarked for specific projects, SLBs incentivize borrowers by linking interest rates to their performance against predefined sustainability targets. This mechanism encourages BRD to enhance its environmental, social, and governance (ESG) compliance while simultaneously attracting investors interested in sustainable finance.

- __Focus on Key Performance Indicators (KPIs)__: KPIs include, increasing the percentage of participating financial institutions (PFIs) demonstrating robust Environmental and Social Management System (ESMS) implementation to 75% in 2028 from 0% in July 2023, increasing the number of loans to women-led SMEs among total SME loans to 30% in 2028 from 15.4% in 2022, and increasing the cumulative number of affordable housing loans extended or refinanced by PFIs to 13,000 in 2028, from 544 in 2022. By setting measurable targets, BRD not only demonstrates its commitment to sustainable development but also provides transparency and accountability to investors.

- __Innovative Credit Enhancement Mechanism__: Collaboration with the World Bank through credit enhancement mechanisms allows BRD to reduce risks associated with bond issuance. By leveraging International Development Association (IDA) funds as collateral, BRD can lower borrowing costs and attract a broader range of investors. 

- __Contribution to Capital Market Development__: The successful issuance of SLBs not only benefits BRD but also contributes significantly to Rwanda's capital market development. We contributed towards deepening the capital markets by putting out a new asset class on the market and having a 100% retail allocation policy.

__BRD is among the innovative local development banks in Africa and over the past 12-18 months you’ve issued 2 sustainability-linked bonds (SLB) supported by the World Bank’s IDA private sector window. What was the motivation for structuring these issuances, and what gap were you aiming to fill in the market?__ 
One of the primary motivations for issuing SLBs is to align financial instruments with the SDGs. By structuring these bonds, BRD aims to attract investments that contribute directly to sustainable development in Rwanda, particularly in infrastructure and social projects.

The issuance of SLBs also provides BRD with an innovative financing mechanism that allows access to capital from investors who are increasingly prioritizing ESG criteria in their investment decisions. This trend reflects a broader shift in the global financial landscape where investors are looking for opportunities that not only yield financial returns but also generate positive social and environmental impacts.

The backing of the World Bank’s IDA private sector window adds credibility and reduces perceived risks associated with investing in emerging markets like Rwanda. This support enables BRD to offer more favorable terms on its bonds, making them attractive to a wider range of investors.

By issuing SLBs, BRD also aims to fill the gap between financing needed for sustainable projects and the available funding sources by mobilizing private sector investments into projects that may otherwise struggle to secure funding due to perceived risks or lack of investor interest.

__Tell us how the SLBs are blended and how this approach to risk mitigation translated into an increase in investor comfort and interest?__ 
The blending mechanism in these SLBs involves combining concessional finance from the IDA with market-based financing. This approach allows BRD to offer more favorable terms to investors, thereby enhancing the attractiveness of the bonds. The IDA provides guarantees/first-loss cover, which mitigates risks associated with lending to projects that may not have sufficient creditworthiness on their own. By reducing perceived risk, this mechanism encourages more investors to participate in financing sustainable projects.

__BRD has another ongoing SME-financing partnership with Rwanda Green Fund via Ireme Invest. What was the motivation for this partnership and what has been the outcome, so far?__ 
The partnership between BRD and the Rwanda Green Fund (RGF) through Ireme Invest is primarily motivated by the need to enhance access to finance for SMEs in Rwanda, particularly those engaged in environmentally sustainable practices. By collaborating with the RGF, which focuses on promoting green investments and sustainable development, we align financial support with environmentally sustainable goals. 

The Ireme Invest facility has two components: a __Credit Facility__ to provide financing for eligible projects, managed by BRD, and a __Project Preparation Facility (PPF)__ to support project preparation, managed by RGF. Furthermore, BRD provides subsidized loans from the credit facility and RGF provides grants and equity from the project preparation facility.

As of February 2025, several positive outcomes have emerged from this partnership. 

The funding provided through this partnership has enabled numerous SMEs to invest in projects that contribute positively to environmental sustainability including renewable energy projects, waste management solutions, and other initiatives aimed at reducing carbon footprints.

In addition to financial support, we have emphasized capacity building among SMEs. Training programs and workshops have been organized to educate business owners about sustainable practices, financial management, and how to effectively utilize funding for maximum impact.

The partnership has also contributed to overall economic growth in Rwanda by fostering innovation within the SME sector. As these businesses grow and thrive, they create jobs and stimulate local economies.

__How does BRD measure the impact of its blended finance investments?__ 
__Alignment with Strategic Objectives__ 
__KPIs__ 
To quantify the impact of its investments, BRD establishes specific KPIs that reflect both financial performance and social outcomes. These KPIs may include metrics related to job creation, access to finance for underserved populations (such as women-led businesses), and improvements in housing affordability. By tracking these indicators over time, BRD can assess the effectiveness of its blended finance initiatives.

__Third-Party Evaluations__ 
BRD often collaborates with independent evaluators to conduct assessments of its projects. These evaluations provide an objective analysis of project outcomes against predefined benchmarks. This process helps ensure transparency and accountability in measuring impact while also providing insights for future investment strategies.

__Reporting Frameworks__ 
The Bank adheres to established reporting frameworks such as those set by the International Capital Market Association (ICMA) for SLBs. This involves regular disclosures on how funds are utilized and the resulting impacts on targeted sectors. Such reporting not only enhances credibility but also allows stakeholders to understand the tangible benefits derived from BRD’s investments.

__Stakeholder Engagement__ 
Engaging with stakeholders—including beneficiaries, local communities, and investors—is crucial for understanding the broader impact of BRD’s investments. Feedback from these groups helps refine measurement approaches and ensures that projects remain responsive to community needs.

__Monitoring and Evaluation__ 
BRD has a department responsible for monitoring and evaluation (M&E) as well as dedicated M&E officers. The Bank also has an institutional balanced scorecard that measures its impact at an institutional level. Additionally, this year BRD has implemented an impact scoring model to accurately predict the impact of the Bank’s investments. 

__How does BRD apply a gender lens to its blended finance initiatives?__ 
The Bank collaborates with the European Investment Bank (EIB) to define strategic objectives and key performance indicators that mainstream gender equality considerations in its lending and advisory activities. This collaboration aims to enhance women’s economic empowerment in Rwanda by ensuring that financial products and services are designed with a gender-sensitive approach.

Through its partnership with EIB, BRD develops targeted advisory services specifically designed for women entrepreneurs in micro, small, and medium-sized enterprises (MSMEs). These services aim to provide guidance on accessing finance as well as business development strategies that consider the unique challenges faced by women in the entrepreneurial landscape.

Next, the Bank works with local banks and microfinance institutions to design, establish, and promote gender-intelligent financial products and services through African Women Rising Initiative (AWRI). These products are tailored specifically to meet the needs of women entrepreneurs, thereby increasing their access to finance. The initiative focuses on creating an environment where women-led enterprises can thrive through better financial solutions.

BRD also implements capacity-building programs aimed at empowering women entrepreneurs. This includes providing mentoring services that help women navigate the challenges of starting and running businesses. By equipping women with the necessary skills and knowledge, BRD ensures that they can effectively utilize financial resources available to them.

BRD is committed to championing gender equality within its operational framework. The Bank actively implements policies that support women’s access to finance, ensuring that gender equity is a core component of its blended finance initiatives. BRD’s new strategy (2024-2028) aims to increase financed Women-led SMEs by 30% share of the Bank’s portfolio by the end of 2028.

__Based on your experience in blended finance to date, what gaps do you see in the market that need to be filled?__ 
One of the primary gaps in the blended finance market in Rwanda is the limited access to capital for SMEs. Despite their critical role in economic development and job creation, SMEs often struggle to secure financing due to perceived risks by traditional financial institutions. Blended finance can play a pivotal role here by combining concessional funding with commercial investments, thereby reducing risk and attracting more private sector investment into this segment.

There is also a lack of diverse financial instruments that are specifically designed to meet the unique needs of development projects in Rwanda. Current offerings may not adequately address the requirements of sectors such as agriculture, renewable energy, and infrastructure. Developing innovative blended finance products that align with local priorities could help bridge this gap, enabling more effective mobilization of resources towards the SDGs.

Another significant gap is the need for capacity building and technical assistance for both investors and project developers. Many potential beneficiaries of blended finance lack the necessary skills or knowledge to effectively design, implement, and manage projects that attract blended finance solutions. Providing training and support can enhance project viability and improve outcomes, making it easier for investors to engage with local initiatives.

The regulatory environment in Rwanda is supportive when it comes to blended finance, however, it can be improved. There is a need for clearer policies that support blended finance mechanisms, including tax incentives or guarantees that encourage private sector participation. Strengthening these frameworks would facilitate greater investment flows into priority sectors while ensuring alignment with national development strategies.

Lastly, there is a significant gap in data availability regarding the impact of blended finance investments. Investors require robust data to assess risks and returns accurately; however, many projects lack comprehensive monitoring and evaluation frameworks. Improving data collection methods will enhance transparency, allowing stakeholders to make informed decisions based on evidence of impact.

__How do you see BRD’s blended finance activities evolving in the future?__ 
As global awareness around ESG issues continues to rise, BRD is expected to deepen its commitment to sustainability. The Bank’s current strategy emphasizes mainstreaming ESG practices within financial institutions and increasing financing for women-led businesses and affordable housing. This focus will likely lead to more SLB issuances and other financial instruments that prioritize sustainability metrics. By aligning its financing activities with international standards such as those set by the CMA, BRD can enhance its credibility and attract more investors interested in sustainable finance.

BRD’s successful inaugural SLB issuance demonstrates the potential for domestic capital markets in Rwanda. The Bank is likely to continue leveraging these markets to raise funds while reducing reliance on international credit lines. As local investor interest grows, evidenced by the oversubscription of both SLBs, BRD may implement targeted campaigns to engage retail investors further. This could include educational initiatives about blended finance products, thereby fostering a more robust investment culture within Rwanda.

The partnership between BRD and the World Bank has been instrumental in enhancing the former’s capacity for blended finance initiatives. Future collaborations with international financial institutions will be crucial for accessing additional resources and expertise. Such partnerships can facilitate knowledge transfer regarding best practices in blended finance, enabling BRD to innovate further in structuring financial products that meet both local needs and global standards.

Given the evolving landscape of sustainable finance, BRD is likely to explore new financial instruments beyond SLBs that can attract diverse investor bases. These could include green bonds or social impact bonds tailored specifically for Rwandan priorities such as climate resilience or social equity projects. By diversifying its product offerings, BRD can appeal to a broader range of investors who are increasingly looking for impactful investment opportunities.

To effectively implement blended finance strategies, BRD must invest in capacity building within its team and among partner financial institutions. This includes training on structuring complex financial products, understanding risk management in blended finance contexts, and measuring impact against sustainability goals. Additionally, sharing knowledge with other regional development banks could foster collaboration and innovation across East Africa.

Learn about how BRD engages in blended finance,  how they measure impact, their gender strategy, and much more.

BRD member spotlight

Development Bank of Rwanda (BRD) Member Spotlight with Fernand Kamanzi 

*May 20, 2025, Toronto, Canada* - After six months of research and consultations with many countries and organizations, today Convergence launches the [Consultations Report](https://www.convergence.finance/standardization) proposing a Scale Private Investment Mobilization Action Plan to mobilize private investment at scale effectively and efficiently to finance SDG and climate capital investment in Low & Middle-Income Countries. The Action Plan is a practical, comprehensive approach to achieve the private investment mobilization objectives and standards of the Financing for Development 4 Outcome Document (using existing development finance resources). Convergence will continue to hold consultations in May and June and transform the Consultations Report into an Interim Report by June 30, 2025 ahead of the Financing for Development Forum (FfD4) in Sevilla.

The Consultations Report has been prepared as part of the Scale Private Investment Mobilization Project, led by Convergence and funded by the Gates Foundation, Finland, France, Luxembourg, and Switzerland. The Project was set up to help blended finance and private investment mobilization to deliver on their potential and the expectations to be agreed in Sevilla. The aim is to scale up proven models that deliver impact and investment at scale instead of continuing fragmented, customized, and increasingly complicated blended finance designs.

“The proposed Scale Private Investment Mobilization Action Plan would represent a decisive step forward in aligning international efforts, reducing complexity, and ensuring that development and climate finance are fit for purpose in today’s global investment landscape”, said Chris Clubb, Managing Director at Convergence.

A significant part of the Action Plan is the proposed package of 12 Private Investment Mobilization Models (PIMMs) identified by Convergence and others as most effective and efficient way to standardize and scale SDG and climate investment in developing countries. The PIMMs are based on a review of historical mobilization transactions that (i) have demonstrated effective and efficient mobilization and (ii) have best potential to mobilize private investment to/within developing countries in the quantity and quality necessary for sustainable development.

The package of 12 PIMMS is identified by Convergence and is proposed to include: 
- Two PIMMs that help increase the number of viable projects through using public funding to co-fund early-stage project development in high-impact sectors like renewable energy.
- Five PIMMs that improve project-level investability through reducing risk at project level, such as funding organizations that issue investment-grade guarantees to mobilize lenders to finance important projects they would otherwise not be able to finance.
- Three PIMMs that enhance portfolio-level investability through tiered blended finance funds, structured to create investment-grade bonds and notes in senior capital through the strategic use of concessional and non-concessional public sector funding.
- One PIMM addresses FX risk – to mitigate currency risk for countries, projects and investors
- One PIMM is dedicated to domestic financial and capital markets development – as prioritized in the FfD4 Outcome Document

Together, these 12 PIMMs provide a standardized and scalable roadmap for mobilizing domestic and cross-border private investment—designed to be practical, replicable, and aligned with existing regulatory and market contexts - and identify how donors and developing country governments can best utilize their scarce finance resources to catalyze the private sector capital necessary to generate development outcomes.

No one organization has a monopoly on which mobilization models should be of priority to standardize. Therefore, the proposed Action Plan is grounded in not only Convergence’s empirical review of around 1,500 blended finance transactions but also consultations with more than 100 stakeholders across developing countries, OECD Development Assistance Committee countries, multilateral development banks, development finance institutions, philanthropic foundations, and private investor groups. Convergence will continue to lead an extensive consultation process through 2025, engaging with key global stakeholders to finalize the Action Plan and final package of PIMMs. 

*Learn more about the Scale Private Investment Mobilization Project [here](https://www.convergence.finance/standardization).*

__About Convergence__ 
Convergence is the global network for blended finance. Convergence’s Blended Finance Accelerator supports blended finance practitioners with design grants, acceleration support, and market intelligence to scope, structure, and launch new blended finance solutions that unlock commercial investment to accelerate sustainable development in emerging markets.

On top of market acceleration through its Blended Finance Accelerator, Convergence generates blended finance data, intelligence, and deal flow to increase private sector investment in developing countries. Convergence’s global membership includes over 160 public, private, and philanthropic investors as well as sponsors of transactions and funds.

__Media Contact__ 
Sijia Yi 
Head of Communications, 
Convergence Blended Finance 
sijia.yi@convergence.finance

Convergence Launches Consultations Report to Scale and Standardize Private Investment Mobilization for Developing Countries 

Convergence Launches Consultations Report

*Toronto, 21 May, 2025* — Today, Convergence, the global network for blended finance, launches the 2025 Spring Edition of its flagship report, the State of Blended Finance, which offers a snapshot of the overall market in 2024, including investor and deal trends. 

Following record-high volumes in 2023, this report found that the blended finance market remained steady through 2024. Blended finance deal flow was higher in 2024 than the market average for the past five years, with 123 deals reaching close totaling $18 billion in financing. At the same time, deal sizes were trending upward, with the median size increasing from $38 million (2020 - 2023) to $65 million (2024) — reflecting growing ambition and scale. Median deal size was bolstered by three transactions exceeding $1 billion.

The report also found that there was more buy-in from the private sector. Commercial capital from private sector investors outpaced DFIs and MDBs in capital deployment, with $6.9 billion in investments in 2024. 

“This report comes at a critical time as we see unprecedented cuts to ODA across the board and the dismantling of USAID, one of the most frequent investors in blended finance amongst official donor agencies,” says Joan Larrea, CEO at Convergence. “This current report looks at data from 2024, and will not reflect the impacts of these new challenges, which will no doubt be felt in the market this year and beyond. Instead, it offers a critical snapshot of the period before, and will be the year against which the future will be benchmarked.” 

Development agencies and multi-donor pools have been the primary contributors of concessional capital, over the last three years they have contributed $5.1 billion in concessional capital, accounting for 65% of total concessional commitments. This report found that there is a maturation in how development agencies disburse concessional capital, moving from grants (41% in 2022 to just 10% in 2024) to risk-sharing instruments such as guarantees and senior debt, with guarantees rising from 11% to 27% and senior debt from 19% to 24% from 2022 to 2024.

Impacts from the war in Ukraine were felt in the blended finance market in 2024. Europe and Central Asia, historically underrepresented in the blended finance market, saw its share of deals rise from 10% in 2022 to 23% in 2024. The financing flows also rose significantly, from $2.8 billion in 2022 to $5.9 billion in 2024. This surge was largely driven by support for Ukraine, with a focus on the country’s economic stabilization, liquidity support, and continued access to essential services. 

“Yet, despite positive signals from the blended finance market in 2024, scaling blended finance will require more than select large transactions and moderate market growth. A lack of structural standardization continues to slow the rollout and replication of blended structures, and in many cases, concessional capital mobilizes public commercial funding from MDBs and DFIs rather than private investment,” says Ayesha Bery, report author and Associate Director, Content, at Convergence. 

Finally, this year’s report assesses the progress made over the past five years across the key challenges that blended finance faces, including the lack of private sector mobilization strategies amongst most donors, the need for greater levels of local capital mobilization, and the urgency of transparency and standardization. It also explores how the reduction in ODA will impact these challenges.

Analysis in the report draws from Convergence Market Data, the largest and most detailed database of historical blended finance transactions, comprising 1,350 blended finance transactions with a total investment of $249 billion.

__About Convergence__ 
Convergence is the global network for blended finance. We exist to increase private investment in emerging markets and developing economies to advance the UN Sustainable Development Goals and Paris Agreement.

Our members include private investors looking to diversify their portfolios, businesses seeking capital, as well as public agencies and philanthropic foundations looking to make their funds go further.

__Media Contact__ 
Sijia Yi 
Head of Communications 
Convergence 
sijia.yi@convergence.finance

Convergence has launched the 2025 Spring Edition of its flagship report, the State of Blended Finance, which offers a snapshot of the overall market in 2024, including investor and deal trends.

Convergence finds blended finance market held strong in 2024

Convergence report finds blended finance market held strong in 2024

Tri-Sector Associates (TSA) is an end-to-end impact firm that partners with government, private sector, and civil society organizations in Singapore and across Asia to tackle emerging societal challenges, with a focus on education/skill building, health, and climate. They do this by bringing these different sectors together through new collaboration models, including blended finance, and variations of pay for success (as a subset of blended finance), such as social impact bonds, social impact guarantees, and outcomes amplifiers. TSA utilizes a ‘for Asia, by Asia’ model to address the local nuances inherent in their work.

We spoke with Chris Glotfelter, Senior Project Leader at TSA about how they engage in blended finance, their priority sectors, challenges they have faced in the blended finance space, and more.

__How do you engage in blended finance? How has your approach evolved?__

TSA is committed to supporting the evolution of funding systems through cross-sector collaboration to ensure more (and more impactful) funding is allocated to projects that progress the Sustainable Development Goals across Asia. This requires innovative financing approaches and mechanisms, which is where blended finance comes into play. Our work focuses on three thematic areas: education/skill building, health, and climate/environment. 

As concessional capital is typically the more difficult part of the blended finance equation, especially as donor funding is being cut back, we come at it from this angle: working with foundations, family offices, and government to seed blended finance projects. This is typically the first time these organizations have waded into blended finance, so we allow them to dip a toe in by undertaking what we call a ‘sequential blended finance approach.’ Essentially, philanthropic capital goes in first to seed an opportunity and mature it to the point that it is commercial capital ready, often while structuring a mechanism to recycle the philanthropic capital into a later stage of growth or into a separate opportunity. This increases the leverage of each concessional dollar committed. Engaging with organizations in this way allows for a smoother transition into blended finance compared with the blended fund approach.

__Can you tell us about any specific blended finance projects/programs you’ve worked on?__

As a firm that began with a core focus on pay-for-success projects, later branching out to innovative and blended finance, we have quite a few examples. Two are outlined below, demonstrating how the funding models unlocked new benefits:

__A. Conservation International Recyclable Technical Assistance Facility (TAF)__ 
There is a significant pipeline of nature-based solutions (NbS) projects in the Asia Pacific region. However, many of these projects are not yet investment-ready because of knowledge gaps in the financial, operational, and technical aspects of these projects. This increases their perceived risk-level and does not fit the current preferences of NbS investors. Conservation International sought to accelerate the investment readiness of these projects and commissioned Tri-Sector to assess the landscape of potential blended finance options, taking into consideration the specific geography and nature of the issue. A technical assistance facility (TAF) was developed where capital allocated to projects would be recycled back into the TAF upon investment into the project. Through this structure, $12 million in philanthropic commitments were made, which sought to catalyze over $100 million in commercial capital for NbS projects. Due to the recyclable nature of the TAF, donors saw that their capital was highly catalytic, paying repeat dividends. Since then, 14 projects in seven countries across the region have received support from the TAF, with some being able to provide repayments back to the TAF.

__B. [Skills for Success](https://www.linkedin.com/feed/update/urn:li:activity:7247123147248816128/) Outcomes Amplifier Model__ 
Skills for Success is a pay-for-success project tackling the problem of Singaporean youth not in employment, education, or training (NEETs), by providing free-of-charge access to a skill building program with a monthly stipend to offset living cost considerations. Based on the [Outcomes Amplifier model](https://ssir.org/articles/entry/keeping_the_social_impact_going_when_a_pilot_project_ends), which was pioneered by Tri-Sector, additional funding is allocated to the program based on verified outcomes, which is then used as a pay-it-forward model to fund the next round of learners. 

In this model, Temasek Holdings (TH) and UBS Optimus Foundation (UBS-OF) provide the upfront funding to kick off the program and cover the monthly stipends. Generation Singapore, as the service provider, oversees the training program and provides soft skills training, along with placement services. Upon achieving verified outcomes, the Institute of Policy Studies (part of the Lee Kuan Yew School of Public Policy at the National University of Singapore) provides the outcomes funding to fund the next round. Capital is blended in the early stage of the program, with up to 30% of the funding coming from TH and UBS-OF, while at least 70% of the remainder of the funding comes from the government in the form of SkillsFuture funds. This cross-sector collaboration model is a key reason all the partners have bought into this project, with the view that this pilot can become replicable and scalable elsewhere in Southeast Asia.

__What innovative blended finance solutions have you recently implemented or are you currently exploring?__

Currently, we are working on a number of solutions. One of the most interesting, in relation to a key environmental challenge at present, is the use of philanthropic capital to support just transitions related to the early retirement of coal-fired power plants in Southeast Asia. The blending required here, and the additionality sought by philanthropic capital, is not straightforward and requires thinking outside the box to create a win-win-win situation for private, public, and philanthropic organizations.

__What sectors and focus areas are your priorities? Where do you see maximum potential to scale blended finance in the region?__

Recently we have seen a lot of interest in two areas: i) skill building; and ii) the intersection of climate and health. With regard to skill building, we have seen great interest in ethical income share agreements – those which do not make learners worse off than if they were able to access student loans or other educational financing – which typically requires some concessionality, rather than a pure commercial mindset. However, the area with greater potential is at the intersection of health and climate, where we are seeing an emergence of sub-themes including heat-related illnesses, water and food security, mental health impacts, and ocean-linked economic livelihoods. Although both health and climate are relatively well understood on their own, the themes at their intersection are just now coming into focus and being better understood, with new interventions being developed. Blended finance opportunities in this space will need to address how impact-first businesses can scale and become sustainable while being at the leading edge of adaptation solutions that are seen as less interesting (and commercially viable) than mitigation solutions. As a region that will be highly impacted by climate change, Southeast Asia is a strong focus in this space.

__How do you measure impact and evaluate success for your blended finance activities?__

We focus on both traditional and emerging impact indicators. On the traditional side, we track the leverage multiplier created using concessional capital to attract commercial capital. On the emerging side, we focus on the wider ecosystem impacts of blended finance, such as the new entrants to blended finance transactions and whether blended finance projects unlock wider incentives (e.g., the Monetary Authority of Singapore’s tax incentives for family offices1).

__Do you apply a gender lens in your work?__

Though we do not apply a blanket gender lens across all our work, we certainly have seen opportunities to make gender a meaningful part of the conversation. One recent example is the [Skills for Success program](https://www.linkedin.com/feed/update/urn:li:activity:7247123147248816128/) which was launched based on the Outcomes Amplifier Pay-for-Success model using funding from TH, UBS-OF, and the Institute of Policy Studies. Given females are highly underrepresented in technology-related roles in Singapore, one of the program targets was to have female participants reach parity with males over the course of the program. This has the added benefit of creating impact beyond the target beneficiaries (at-need youth), drilling down to who would benefit most from the program’s interventions.

__What are some interesting or unexpected challenges Tri-Sector Associates has faced while navigating the blended finance space?__

One of the unexpected elements that we have encountered has been large banks coming to us and wanting to do more in the blended finance space, but being faced with challenges in two areas: i) a lack of a voluminous pipeline of projects; and ii) not enough access to philanthropic capital to meaningfully support projects that are of a sufficient size to make sense for their clients. This shows us that more must be done in the ecosystem to build the components of blended finance before it can truly proliferate in the global market.

__What advice do you have for other non-profit and social enterprises interested in participating in blended finance?__

Being able to ‘speak the language’ of both commercial and concessional capital providers is critical to participating in blended finance. We find that when organizations cannot communicate efficiently, nothing gets done. If you are finding that this is the case, consider hiring an intermediary who can ‘translate’ between all the parties and create cross-sector alignment. This will naturally be an added cost, but will save time and money throughout the process, and many times is the critical factor in whether the project launches.

__Given TSA is a part of the larger Temasek Trust family, how do you collaborate with other entities internally to bring the collective experience of the Temasek group to clients and stakeholders and advance the ecosystem in Asia?__

We are so thankful to be a part of Temasek Trust’s ecosystem, which enables us to support meaningful causes across its network – both in Singapore and the wider region. Our collaborations take various forms: we introduce new ideas, they bring potential projects to us, or we co-create new initiatives. This versatile approach has been key to fostering strong partnerships, as engagement is shaped by the unique needs and opportunities of each collaboration. Likewise, our collective support for the broader ecosystem is not one-size-fits-all, as everyone requires a tailored approach to deliver meaningful impact.

The diversity of the Temasek Trust ecosystem allows us to shape projects that span commercial, concessional, and purely philanthropic capital, while drawing on deep thematic expertise. This convening capability, combined with the ability to bridge perspectives across different sectors, is one of TSA’s value-adds for our partners both within the Temasek Trust ecosystem and beyond. When like-minded partners come together with a shared purpose, the results can be truly transformative.

__How do you see TSA’s blended finance activities evolving in the future?__

As our deal sizes increase over time, we envision more engagement with multilateral development banks and development finance institutions to support the quantum of funding required to finance these projects. Naturally, this could come in the form of a fund. We are especially seeing interest from organizations regarding the management of purely philanthropic funds (e.g., technical assistance facilities), these sit outside of the typical remit of fund managers on the commercial side who are also willing to blend some concessional capital into these funds. Given our strong relationships with philanthropists, this would be a natural next step for TSA.

1. Source: [MAS](https://www.mas.gov.sg/schemes-and-initiatives/fund-tax-incentive-scheme-for-family-offices)

Learn about how Tri-Sector Associates engages in blended finance, their priority sectors, challenges they have faced in the blended finance space, and more.

Tri-Sector Associates Member Spotlight

Tri-Sector Associates Member Spotlight with Chris Glotfelter

*Washington, DC | April 30, 2025* — Convergence announces the fifth and final cohort of its Gender-Responsive Climate Finance (GRCF) Window, at a special event hosted at the Embassy of Canada to the United States, on the sidelines of DC Climate Week. Two innovative blended finance solutions have been awarded grants for proof-of-concept and feasibility study, targeting gender-equitable climate action across the Pacific Islands and Sub-Saharan Africa.

The GRCF Window supports pioneering blended finance solutions at the intersection of gender equality and climate change in emerging markets. Its mission is to mobilize private sector capital at scale to fund climate mitigation and adaptation projects that are inclusive and gender-responsive.

“This final cohort illustrates the breadth of blended finance solutions at the intersection of gender and climate,” says Convergence Senior Director, Market Acceleration and Design Innovation, Leah Pedersen. “These vehicles will create meaningful impact for women in emerging markets, providing much needed opportunities and support while advancing key climate goals with positive regional and global outcomes.”

Funded by Global Affairs Canada, the GRCF Window has supported 11 blended finance solutions with a total of $2.9 million in committed capital. To date, these solutions have mobilized $362 million in additional capital from public, private, and philanthropic investors. While this marks the final round of funding, Convergence continues to provide hands-on portfolio support to grantees to help bring their concepts to market.

__Introducing the Grantees__

__Matanataki Pte. Ltd.__ has been awarded a proof-of-concept grant to develop and launch __Matanataki Pacific Fund 1__, a blended equity fund providing risk capital to reef- and ocean-positive small and medium-sized enterprises in the Pacific Islands. The fund will target the waste management, agriculture, fisheries, and tourism sectors, with a strong focus on gender equity. It will prioritize women-led businesses, promoting financial inclusion, leadership opportunities, and access to resources. The fund aims to include 50% women-led businesses in its pipeline of companies, support 1,200 metric tons per year of sustainably sourced seafood, conserve and restore over 17,000 hectares of marine area, divert 57,000 metric tons of green waste from landfills into fertilizer, train approximately 1,400 small farmers in reef-positive farming practices, and engage with 39 local partners.

This grant will support stakeholder engagement, development of governance and policy frameworks, legal and fund structuring, impact and gender action planning, design of a technical assistance facility, and readiness for fund launch.

__Alitheia__ has been awarded a feasibility study grant to design the __Eco Equity Investment Company (EEIC)__, a dual blended finance vehicle focused on reducing Africa’s gendered housing deficit. The vehicle will initially target Nigeria's housing market, investing in women-led or women-supportive businesses across the green construction value chain, promoting access to affordable and sustainable housing for women while mitigating climate impacts through reduced emissions and resource-efficient building practices. The EEIC aims to mitigate 500,000 metric tons of CO2 equivalent greenhouse gases over the project’s life cycle, support training for at least 300 women entrepreneurs in adopting sustainable practices, and deliver approximately 2000 passive homes to low income communities while ensuring home ownership remains with women.

With this grant, Alitheia will finalize vehicle structuring, conduct viability and market studies, build a financial model, complete risk analysis, develop an incubator pipeline, engage stakeholders, and advance fundraising efforts.

__About Convergence__ 
Convergence is the global network for blended finance. Convergence’s Blended Finance Accelerator supports blended finance practitioners with design grants, acceleration support, and market intelligence to scope, structure, and launch new blended finance solutions that unlock commercial investment to accelerate sustainable development in emerging markets.

On top of market acceleration through its Blended Finance Accelerator, Convergence generates blended finance data, intelligence, and deal flow to increase private sector investment in developing countries. Convergence’s global membership includes over 160 public, private, and philanthropic investors as well as sponsors of transactions and funds.

__Media Contact__ 
Sijia Yi 
Head of Communications, Convergence Blended Finance 
sijia.yi@convergence.finance

Convergence announces the final cohort of its Gender-Responsive Climate Finance Window. Two innovative blended finance solutions targeting gender-equitable climate action have been awarded grants.