In these days, in the General Assembly of the United Nations in New York a concept resonated that was repeated rythmically in the different spaces from discussion: the critical importance of the Objectives of Desarrollo Sostenible (ODS) and the necessity to work jointly between sectors to have a chance to reach the goals. Thus Antonio Guterres expressed it, Secretary General of the United Nations when he affirmed that only the ODS will be able to be reached if all the society commits itself to obtain them. It emphasized that the paper of the enterprise community, private sector and financial sector is crucial in this.
As Commander of the Unit of Alliances and Mobilization of Resources of the Inter-American Development Bank (I.A.D.B.), I share this emergency sense. It is why the I.A.D.B. and its partners work day to day to support the development of an optimal ecosystem that allows to institutional investors, the private sector and other actors, to play an important role in the funding of the development.
The good news is that, by means of the impact investments, - financial investments oriented to activities with social impact and environmental positive some of these actors already are participating in the development.
According to the Annual Survey of Investors of Impact, published in May by the Global Impact Investing Network, this market grows and to quickened steps. In 2016, 22 billions of dollars in impact investments are reported, of which 9% were directed to Latin America and the Caribbean. It is worth the pain to add that these 22 billions are part of a portfolio of global investments of 114 billion of dollars handled by the survey ones.
Then how to direct the rest of these bottoms towards transactions that generate transforming impact for the development? We see as example the investments of the private sector of the Group I.A.D.B., that always look for impact on the base of strict you safeguard and environmental, social criteria and of corporative governance, and that in addition include a rigorous process of evaluation of impact and efficiency in the investments. If we obtained that investing and traditional bottoms generalized the use of minimum standards to the totality of their investments - to all investments by equal it would be possible to direccionar more resources than they really approach to us goals of the ODS. And the gain would be double: scale and speed for the development and gains for the investors and bottoms. More and more, individual actors as the pension funds or investors as millennials is interested in the sustainability of long term. In a context of volatileness of the financial system, a more sustainable strategy is an opportunity so that the managers of bottoms increase their base of clients and resources.
In Argentina, from the I.A.D.B. we are working with partners as the Group of Foundations and Companies (GDFE) to develop the ecosystem of the impact investments and to continue driving and accelerating the participation of the different actors in the generation from transformation in his communities. Events as Annual Day 2017 of the GDFE, are part of a local conversation that reunites to all the actors to reflect on its roll in the promotion of innovating models of deprived social investment. A key subject as much close a breach of funding of development in Argentina as in the region.
Matas Bendersky is Commander of the Unit of Alliances and Mobilization of Resources of the I.A.D.B.