UNDP and Ministry of Investment and International Cooperation sign a Letter of Intent to establish the first National Impact Investment FundJun 21, 2017
In efforts to augment the impact investment ecosystem in Egypt and introduce Sustainable Development Goals (SDG)-aligned financing, UNDP will support MIIC in the establishment of Egypt’s first National Impact Investment Fund.
Egypt’s National Impact Investment Fund will facilitate grants and market capital for businesses, especially startups, micro, small and medium-sized enterprises (MSMEs) that will contribute towards the achievement of any of the 17 sustainable development goals.
The partnership aims at promoting impact investments in Egypt, facilitating blended financing, supporting the growth of impact-oriented start-ups and strengthening ecosystem stakeholders in collaboration with Egypt’s Startup Investment Fund and outreach programme.
This initiative is the first of its kind in the Middle East and Africa, thus positioning Egypt as a champion and leader in innovative and sustainable alternative finance for development. This builds on efforts by H.E. Dr. Sahar Nasr, Minister of Investment and International Cooperation, to bring Egypt to the fore-front of the global impact investment landscape and drive private-sector led growth in Egypt. Earlier this year, H.E. Dr. Nasr became the first woman, Egyptian and African on the High Level Advisory Board of the UN Social Impact Fund (UNSIF). The UNSIF, which aims to create partnerships between participating UN agencies and impact investors to support the achievement of the Sustainable Development Goals (SDGs), provides key support to this initiative.
The LoI was signed by H.E. Dr. Sahar Nasr, Minister of Investment and International Cooperation, and Ms. Randa Aboul-Hosn, UNDP Egypt Country Director.
“UNDP has been active in the area of empowerment through innovation and entrepreneurship and is now ready to facilitate SDG-aligned financing” said Aboul-Hosn. “We are hoping to further strengthen our partnerships with the government and the private sector to achieve this goal. We want to see the whole ecosystem prosper for Egypt and we are happy to report that in our discussions with stakeholders, we have received very strong support for our initiative to introduce impact investing into the financial architecture”.
The UNSIF is a response to the Addis Ababa Action Agenda, a milestone in forging an enhanced global partnership that aims to foster universal, inclusive economic prosperity and improve people’s well-being while protecting the environment, and which underscored the importance of aligning private investment with sustainable development.
The UN has forecast that achievement of the SDGs worldwide by 2030 will require an investment of about $3.3 to $4.5 trillion a year. To put that sum in perspective, Official Development Assistance last year amounted to US$131.6 billion. Innovative financing is a cornerstone for the implementation of 17 sustainable development goals.
About Ministry of Investment and International Cooperation
The Ministry develops and supports the economic cooperation between the Arab Republic of Egypt and other countries, international and regional organizations. Advises on the standards and regulations for external borrowing and the receiving of foreign grants, reviews the disbursements and repayments of local borrowers in addition to the disbursements of beneficiaries from foreign grants, adhering to the framework of the general policy of the State, to ensure the achievement of economic development, in line with the internationally aid effectiveness principles endorsed by Egypt, and best practices for management of official development assistance.
About UNDP Egypt
For over 50 years, UNDP has been supporting the Egyptian government and people in their efforts to reduce poverty and to promote sustainable human development policies. One of the hallmarks of UNDP Egypt’s success is its long-term support to the Government in building and sustaining strategic national institutions that have added significant value to improving people’s lives in the country.
About UNDP-UN Social Impact Fund
Together with public, private sector and capital market partners, the UNDP - UN Social Impact Fund (UNDP-UNSIF) is a blended financing platform that aims to facilitate growth financing towards SDG-aligned investment projects.
A unique co-investment platform that utilizes blended financing models to create both economic and social returns while facilitating the transition from grant-only project-based development to blended financed market-based development.Contact information
For more information, please contact Fatma Elzahraa Yassin, Communications Analyst at firstname.lastname@example.org