Can Impact Investing Help Save the Planet?
A new cross-sector study examines whether impact investing can make a difference to global conservation efforts, by Dan Winterson, Eric Hallstein, & Camilla Seth.
“The answer to whether impact investing can help save the planet matters. The growing demand for food, water, and the resources that fuel our economies is rapidly degrading the natural systems critical to human well-being. We need exponentially more capital and new, innovative models for conservation and sustainable economies—so it’s important to consider how much conservation impact investing can help bridge these capital and innovation gaps, and substantively contribute to saving the lands and waters critical to all life.
The buzz around impact investing as a breakthrough solution for persistent, large-scale problems seems to extend far and wide. But there are divergent viewpoints on how impact investing might contribute to conservation—some tout it as the future of conservation; some dismiss it as a niche tool incompatible with conservation goals on a broad scale; and some even view it as a potential threat, believing that financial return objectives may trump ecological goals.”
The report, “Investing in Conservation: A Landscape Assessment of an Emerging Market,” includes data from a survey covering more than 1,300 transactions between 2004 and 2013, plus follow-up interviews with investors. These are the top-line findings:
$23.4 billion of investments in global conservation opportunities were made from 2009 through 2013. Investments by development finance institutions (DFIs), such as multi-laterals and development banks, totaled $21.5 billion, while private investments accounted for $1.9 billion.
Here is the full article.