This report uses blended finance data and insights compiled by Convergence to provide an updated analysis of the blended finance market, including blended approaches, sectors, regions, and investor trends. It concludes with reflections on the journey to advancing blended finance at scale, exploring key challenges and progress made to date.
According to Convergence, blended finance is the use of catalytic capital from public or philanthropic sources to increase private sector investment in developing countries to realize the SDGs. It is considered as the critically important approach to mobilizing new sources of capital for the SDGs. The State of Blended Finance is Convergence’s annual report on blended finance trends, opportunities and challenges as it builds on the inaugural report released in July 2017. This report identified over 1,274 organizations that have participated in blended finance to date. It further provides an updated analysis of the blended finance market based on Convergence’s continuous data and intelligence collection efforts and outlines key blended finance trends and developments in the past year. The trends are sectioned into: (i) Deal Trends; (ii) Investor Trends; (iii) Ecosystem Trends; and (iv) Reflections.
