Africa not getting investment needed to help world meet Sustainable Development Goals
of investors believe the pandemic has widened the capital gap further.
The research points to a growing focus on sustainability, with 81 per cent of investment firms now taking a disciplined approach to environmental, social and governance investment. However, this is not translating into investment in the SDGs. Only 13 per cent of the assets managed by our respondents is directed towards SDGlinked investments.
Some 55 per cent claim the SDGs are not relevant to mainstream investment and 47 per cent say investment in the SDGs is too difficult to measure. However, one fifth of investors admit that they were not aware of the SDGs. Respondents point to regulatory changes, favourable tax treatment, evidence of higher returns, better data for measuring impact, and increased demand from retail investors as the top five factors that might spur on more SDG investment. Sunil Kaushal, Regional CEO, Africa & Middle East, Standard Chartered said there is still investment gap in Africa to realise the SDG’s and this creates an opportunity for us to make a difference where it matters the most. “A significant surge in privatesector investment – alongside public investment and commitments – will be required to bridge the gap and hit the SDG targets over the next ten years. Right now COVID- 19 has made the imperative to act even stronger in the region. There is no single answer to The $ 50 Trillion Question, but it is evident that investors need to expand their focus beyond developed markets. Africa, and emerging markets generally, offers investors a unique opportunity: strong returns combined with the chance to have a significant, positive impact in the long term.”( APO Group)