Five million people in Africa are set to benefit from improved health, education and agriculture, under new schemes designed to encourage private individuals in the UK to invest for environmental or social impact.
The Department for International Development (DFID) has said it will pump £50m into the Agricultural Development Company (AgDevCo) in an effort to boost African farming. It says 650,000 will directly benefit through jobs and better incomes.
DFID’s £75m impact fund, which it launched in 2012, is already expected to offer a range of benefits to over 5 million people in the continent.
A new programme, called Advancing Impact Management Skills (AIMS), will educate the “new generation” of impact investment specialists in parts of Africa and Asia. Another, a network of fund managers, will guide these new professionals through investments that seek to tackle health, education and water challenges.
The unveiling of the schemes comes a week after a speech by David Cameron, in which he described social impact investment as “a great force for social change on the planet”.
International development secretary Justine Greening, who revealed the programmes at the FT/IFC Sustainable Finance Conference on Thursday, said, “Part of the solution to hunger in Africa is for Africa’s farmers and agricultural sector to be able to produce the food it needs for itself.
“Smart UK investment like this will help thousands of farmers develop their businesses to grow food for millions, whilst generating revenues that can be reinvested back into Africa’s agricultural sector.
“This sort of innovative, self-sustaining, job-creating investment which generates a return that can be itself reinvested will become an increasingly important part of DFID’s development approach.”
The strategy known as impact investment involves making a positive difference. A survey earlier this year by JP Morgan and the Global Impact Investing Network (GIIN) predicted that by the end of 2013, some £5.6 billion would be invested using this strategy globally.
Eurosif – the European Sustainable Investment Forum – found in November 2012 that the most common motivation for high net-worth individuals investing in this way was a desire to contribute to sustainable development. Philanthropy, contributing to local communities and financial incentives were also popular.
Cameron: ‘social investment can be a great force for social change on the planet’
David Cameron’s social impact investment speech: full text
Impact investment to grow by $1bn in 2013
‘Leading’ businesses honoured at FT/IFC Sustainable Finance Awards 2013
Like our Facebook Page
How Cities In Canada Are Addressing Climate Change
10 Tax Incentives for Businesses That are Lowering their Carbon Footprint
How to Manage Anxieties About Climate Change
Green Brands Must Understand Their Customers to Market Wisely
Key Necessities for Starting an Eco-Friendly Freelance Business
6 Ways To Overcome Cash Flow Challenges as a Green Business
Going Cashless Lowers Our Carbon Footprint and Has Other Pros and Cons
How to Be as Eco-Friendly as Possible on a Trip to New York
Why Brazed Plate Heat Exchangers Are Eco-Friendly
6 Steps For Making Crypto & Blockchain Eco-Friendly
Building a Career in Green Construction: Tips and Insights
Top 5 Benefits of Workplace Sustainability
The Role of Smart Technology in Managing EV Charging Stations
4 USA Vacation Destinations for an Eco-Friendly Trip
6 Wastewater Management Tips to Reduce Water Pollution
Why Internet Faxing Is A Sustainable Business Move
5 Ways Eco-Friendly Employers Can Boost Efficiency
What to Look for When Choosing an Eco-Friendly Locksmith
Flexible Return Policies Can Make Retail More Sustainable
Using Green Patents to Drive Sustainability & Eco-Friendly Designs
- Environment3 months ago
6 Home Improvements You Can Make to Help the Environment
- Environment10 months ago
4 Countries That Have Banned Single-Use Plastic
- Features9 months ago
5 Huge Support Tips for Eco-friendly eCommerce Brands
- Environment7 months ago
How to Ensure Your Home’s Eco-Friendly During Construction?