Montreal, QC – August 16, 2022: FinDev Canada’s 2021 annual report, “Supporting a sustainable and inclusive recovery through the private sector,” demonstrates a continued effort to generate lasting impact in developing countries struggling to recover from the economic and social consequences COVID-19. With a total investment portfolio of just over $479 million, Canada’s development finance institute is increasing its investment with innovative ways to support the private sector in Sub-Saharan Africa, Latin America, and the Caribbean.
The report shows substantial growth since FinDev Canada became operational four years ago.
In that time, FinDev Canada’s investments have resulted in much-needed financing for more than 161,000 small-to-medium-sized enterprises, more than a third of which are owned or operated by women. In addition, nearly 3.7 million people now have access to clean, sustainable energy as the impacts of climate change are felt more intensely.
Under the leadership of CEO Lori Kerr, appointed in 2021, FinDev Canada launched its Climate Change Strategy, which articulates the institution’s efforts to build a low-carbon portfolio that enables climate adaption and resilience in developing countries.
“This annual report shows that FinDev Canada financing, from the beginning, has had concrete positive impacts on the lives of millions of people in the countries we serve,” said Kerr. “This report also shows that by supporting private enterprises in these countries we can simultaneously combat climate change, empower women economically, and support job growth.”
As of Dec. 31, 2021, 24 per cent of FinDev Canada’s portfolio consisted of climate investments, with a commitment to increase that number to 35 per cent by 2025. Moving forward, FinDev Canada plans to invest more in agriculture, forestry and related value chains and sustainable infrastructure to help build resilient private sectors in developing economies.
2021 also marked the launch of 2X Canada, a blended finance and investment facility financed by the Government of Canada through Global Affairs Canada and managed by FinDev Canada. The facility, totalling $75.9 million, is to support investment in the private sector in Latin America, the Caribbean and Sub-Saharan Africa. The key target beneficiaries for 2X Canada are undeserved, vulnerable populations, especially women.
Furthermore, FinDev Canada was a founding member of the 2X Collaborative, the new leading industry body for gender lens investing. Building on the success of the 2X Challenge, launched during the 2018 G7 Summit in Canada, the 2X Collaborative brings together a broader range of investors – institutional investors, banks, impact investors, private foundations etc. – deploying capital with a gender lens. It provides members with access to peer learning networks, knowledge, co-investment platforms, partnership and training opportunities and innovative investment tools.
About FinDev Canada
The Development Finance Institute Canada (DFIC) Inc., operating under the FinDev Canada brand, is a Canadian institution dedicated to providing financial services to the private sector in developing countries with the aim of combating poverty through economic growth by focusing on three main topics: economic development through job creation, women’s economic empowerment, and climate change mitigation. The Development Finance Institute Canada Inc. is a wholly owned subsidiary of Export Development Canada (EDC).
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