SL launches first social impact funds to achieve SDGS

Two Mous were signed in New York on Wednesday launching Sri Lanka’s first social impact funds aimed at supporting social entrepreneurs access innovative financing to help achieve the 2030 Agenda for Sustainable Development.

The signings were witnessed by Foreign Affairs Minister Tilak Marapana and UNDP Administrator Achim Steiner at a special side event held at the 73rd session of the United Nations General Assembly.

In a statement, the United Nations Development Programme (UNDP) Office in Colombo said two Mou’s, one for a US$ 5Mn Social Enterprise Fund (SEF) and one for a US$ 20Mn Social Impact Capital Fund (SICF), were signed at the event. The Sustainable Development Goals are aimed at ending poverty, protecting the planet and ensuring peace and prosperity for all by 2030.

The Lanka Impact Investing Network and Tempest P E Partners (a member of the Capital Alliance Group), in collaboration with UNDP, pioneered Sri Lanka’s first social impact funds.

UN Assistant Secretary-general and Director of UNDP’S Regional Bureau for Asia and the Pacific, Haoliang Xu said the UNDP is committed to helping countries to achieve the SDGS.

“These social impact funds will play a key role in that mission, by supporting social entrepreneurship in Sri Lanka. Together with the establishment of the funds, UNDP is committed to supporting Sri Lanka further leverage innovating financing models to realize the vision of a sustainable future by 2030,” he said.

The Social Enterprise Fund (SEF) will cater mostly to successfully incubated, commercially viable, micro and small social enterprises with capital requirements of less than USD 100,000.

The Social Impact Capital Fund (SICF) will support inclusive and responsible businesses that integrate and promote social impact, as a part of their business models. The SICF’S investments will be larger, in excess of USD 100,000.