The DFID Impact Programme makes investments through two investment vehicles – the DFID Impact Fund and the DFID Impact Acceleration Facility. These funds are managed by CDC Group, the UK’s Development Finance Institution, and are focused on investments in low income and lower-middle income countries in Sub-Saharan Africa and South Asia.
The DFID Impact Fund is a fund of funds which aims to provide finance to 70 – 100 enterprises in Sub-Saharan Africa and South Asia with the potential to reach at least 5 million poor and low-income people. This will be done via impact investment intermediaries and catalyse additional private capital. It will make investments of up to £75 million over 13 years. These investments are targeted at enterprises that benefit poor people as consumers, suppliers or employees in sectors such as healthcare, agricultural services, energy, housing, education and safe water.
The DFID Impact Acceleration Facility aims to generate economic opportunity and employment through the creation of both direct and indirect jobs, and by increasing access to basic goods and services, especially in remote areas or fragile states. Investments totalling £40 million will be made alongside CDC’s existing portfolio, focused on existing investee companies.