A gathering of G7 Ministers responsible for development cooperation has just finished in Paris, France, with the issuance of a statement supporting the impact investing market and the outcome-based funding instruments.
“Coming on the heels of the supportive G20 Leaders Declaration in Japan, this extraordinary statement sets the scene for a strong declaration from the G7 leaders in August,” says Sir Ronald Cohen, Chair of the Global Steering Group for Impact Investment (GSG).
The statement says: “We support the growth of the impact investing market as a meaningful and efficient financing approach which can contribute to the 2030 Agenda. We stress the need to create enabling policy environments in order to help drive impactful investments towards developing countries and fragile economies. We support the ongoing efforts of the international community to define a common framework for measuring impact investing based on the work done by members of the Impact Management Project (IMP).”
Following the G20 Osaka Leaders’ declaration at the weekend, which recognized the importance of innovative financing mechanisms, the G7 ministers expressed support to mobilize additional resources for development and help increase the impact of existing resources.
“We support the implementation of the OECD DAC Blended Finance Principles for Unlocking Commercial Finance for the SDGs. We welcome the role of the Leading Group on Innovative Financing for Development currently chaired by Japan in sharing good practices and promoting this matter at an international level,” the statement said.