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Promoting sustainable development in each of our operations
DIVERSIFYING INSTRUMENTS TO ACCELERATE TRANSITIONS: CONCESSIONAL FINANCING To accelerate transitions, private sector and investor access to concessional resources is more and more integrated into international donors’ strategies: the resources they allocate to these activities is growing. For a number of years now, Proparco has seized this opportunity to blend concessional resources with market instruments to diversify and adapt its instruments to needs and to risk levels of the projects and enterprises it wants to finance and support while seeking additional and transformational impacts.
Principles for the good usage of concessionality – international references
Group Date of creation
Definition of blending
Principles
OECD-DAC blended finance principles for unlocking commercial finance for the sustainable development goals
DFI enhanced principles for blended concessional finance in private sector projects
Adoption of common principles for blended finance in October 2017
2013 (Principles) puis 2017 (Enhanced principles)
"Blended finance is the strategic use of development finance for the mobilisation of additional finance towards the sustainable development goals (SDG) in developing countries"
"Combining concessional finance from donors or third parties alongside DFIs' normal own-account finance and / or commercial finance from other investors, to develop private-sector markets, address the SDGs, and mobilise private ressources"
- serve development; - increase private-sector finance mobilization; - be adapted to local context; - strengthen transparency and impacts; - strengthen partnerships between private-sector actors and development actors.
- additionality - minimum concessionality - business sustainability - business strenghtening - high standards
Proparco’s Sustainable Development Report 2021
