Expected Development Impact
- Creating good-quality jobs in Africa, Asia and Latin America: CIO investments will contribute to both short-term and long-term job creation in its target markets. FinDev Canada estimates that CIO investee companies will create an estimated 870 permanent high-quality jobs in the energy sector, as well as up to 26,000 short-term construction jobs by 2035. The Fund’s activities will also contribute to indirect job creation, and FinDev Canada will support the fund manager, Cooperatief Climate Fund Managers U.A. (CFM) to model and report these indirect outcomes over the life of the Fund.
- Economic value addition: CIO investments in up to ~20 renewable energy projects will also generate economic value in local markets, through salary payments, taxes, and profits. FinDev Canada estimates that by 2035 the Fund’s activities may generate between USD 150 M to USD 215 M in local economic value added, such as in taxes and salaries paid.
- Financial innovation for renewable energy projects: The unique three-fund approach pioneered by CIO is expected to result in more project finance transactions completed, with shorter timeframes, and with less risk for investors. These outcomes will be monitored in order to gain learnings that can be shared with the wider development finance and renewable energy sectors on how to optimize investment structures for energy projects.