Two new reports tracking Blended Concessional Finance for Private Sector Projects and Mobilization of Private Finance by DFIs and MDBs have been published, with EDFI participation
A new report of the DFI Working Group on Blended Concessional Finance in Private Sector Projects found that, in 2019, more than €9.3 billion of private investment projects were supported by about €1.25 billion in concessional funds channelled by participating development finance institutions (DFIs). This includes €2.8 billion of financing by EDFI members implementing €0.4 billion of donor funds. The report also found that, compared to 2018, DFI concessional funds committed increased by approximately 29 percent, with a greater focus on low-income and lower-middle income countries. Concessional finance allows DFIs to support private sector projects beyond what they would normally be able to engage in, particularly in higher risk countries and for innovative technologies.
In addition, a new report entitled “Mobilization of Private Finance by Multilateral Development Banks and Development Finance Institutions 2019” found that, in 2019, the 27 reporting MDBs and DFIs mobilized approximately €57 billion of private finance in operations in middle- and low-income countries. This figure includes approximately €6.0 billion mobilized for low-income countries, an increase of 21 percent over 2018. These mobilised amounts support the global sustainable development goals by promoting inclusive and sustainable growth, fighting poverty and inequality, mitigating the effects of climate change, and achieving other development impacts.
The DFI Working Group on Blended Concessional Finance in Private Sector Projects report is available here:
DFI BCF WG Joint Report (Dec 2020)v1.1
The Mobilization of Private Finance by Multilateral Development Banks and Development Finance Institutions 2019 report is available here:
MDB Joint Report 2019 – Final