The State of Blended Finance 2020

The Sustainable Development Goals (SDGs) target a range of development challenges, from combating climate change to ending poverty and hunger. To achieve the SDGs in developing countries, a significant scale-up of investment is required. Blended finance is the use of catalytic funding (e.g., grants and capital) from public and philanthropic sources to mobilize additional private sector investment to realize the SDGs. Blended finance is one of several approaches to financing the SDGs, with the United Nations

(UN) member countries reaching consensus on its importance at the Third International Conference
on Financing for Development in 2015. Since then, blended finance has become a familiar concept for a diverse set of organizations across the public, private and philanthropic sectors.

This report uses blended finance data and insights compiled by Convergence to provide an updated analysis of the blended finance market, includingblending approaches, sectors, regions and investor trends.