加速影响力：亚太、拉美、非洲及欧洲的催化资本2024

table of contents Executive Summary Executive Summary There's growing interest in catalytic capital across the world. Over the last decade, the global impact investing field haswitnessed unprecedented growth, with catalytic tools and approaches playing an important role in market building anddeveloping proofs-of-concept. This positive trend is crucial for closing the global financing gap to address the world’s social andenvironmental issues. Across the world funders, in particular private ones, are beginning to explore the potential of catalyticcapital deals and examining their compatibility with their existing funding approaches. There is potential to accelerate the adoption of catalytic capital beyond the US, in Europe, Asia-Pacific, Latin America andAfrica by addressing gaps in specific areas of the ecosystem. Catalytic capital makes up only 5% of the global impactinvestment market as of last measured global data.1 Development finance institutions (DFIs), foundations and family officeshave historically been the primary providers of catalytic capital, with market composition varying across regions. Private wealthholders such as foundations and high net worth individuals (HNWIs) have begun exploring this approach, especially in emergingmarkets like Africa and Asia-Pacific. However, governance challenges need to be overcome, for instance, in navigating ways tostructure investment deals to fit within current operational, legal, and regulatory requirements. Private sector financing stillmakes up a small proportion of commercial financing in blended finance transactions. Research by Convergence in 2022 foundthat in a typical blended finance fund, one concessional dollar from DFIs catalyses four commercial dollars, with one of thosefour coming from the private sector while the remaining three come from commercial investments by the DFIs.2 Additionally,catalytic capital investments are concentrated in perceived low-risk geographies and sectors, leaving untapped potential inhigh-risk markets with greater needs. There is a need to address limited access to deal flow and pipeline, small deal sizes, and ageneral lack of knowledge about the investment practice, such as investors’ understanding of the roles, risks, and additionalityin catalytic capital investments. While each region’s context is unique, there is potential to address shared challenges in deploying catalytic capital throughthe cross-regional exchange of knowledge and collaborative learning. For example, investors in Asia-Pacific, Latin America,Africa, and Europe share the challenge of navigating sometimes difficult and obscure legal and regulatory environments whenstructuring catalytic capital transactions. This could be overcome through learning from case examples from different regions,partnering with intermediaries, and collaborating with like-minded peers. ABOUT THE REPORT This report gives resource providers an overview of catalytic capital in Asia-Pacific, Latin America, Africa, and Europe, andprovides insights into its distinct regional characteristics. The report does not include research or insights from the US. The report maps the practice of catalytic capital across various thematic areas, and surfaces shared and unique trends, best-practice case examples, and offers lessons from investors active in the four regions on ways to effectively integrate catalyticcapital into investment portfolio(s). It also presents opportunities for collaboration and partnership. It is intended as a resource that investors at various stage of their catalytic capital journey can utilise to build theirunderstanding about the practice, as it has emerged in a diversity of contexts, and translate knowledge to action, by addressingcapital gaps for impact in their regions. Insights were derived from targeted engagements with social investors from four social investor networks: AVPN, Latimpacto,AVPA, and Impact Europe. Data available in this report is based on small-scale surveys conducted by the four networks; insightsgenerated through conference sessions, webinars, and other investor convenings facilitated by the networks; one-on-oneinterviews with catalytic capital investors in respective regions; and publicly available information. More details about theseactivities can be found in the Methodology section. This report is supported by the grant making programme of the Catalytic Capital Consortium (C3). CONTRIBUTORS AUTHORS Ashima Thomas, Director, Insights, Knowledge, AVPN Clara Maspons, Knowledge Associate, Impact Europe Maria Jose Cespedes, Chief Product Officer, Latimpacto Samir Hamra, Head of Training, Latimpacto Zachary Mikwa, Project Manager, AVPA Nadya Pryana, Assistant Manager, Insights, Knowledge, AVPN Sangeetha Watson, Senior Manager, Insights, Knowledge, AVPN Stan Lee Tan, Innovative Finance Consultant ABOUT THE COLLABORATINGORGANISATIONS AVPN is the world's largest network of Social Investors active in Asia, with over 600+ diverse