CANBERRA — In South, Southeast Asia, and the Pacific region, opportunities for impact investment are growing rapidly — and experts say Australia can leverage this growth, if investors’ perceptions of risk can be addressed.
In changing these perceptions, donors including the U.S. Agency for International Development and the Department of Foreign Affairs and Trade are playing a role in building the foundations for investment, including taking risks investors may not be willing to take. With this, they hope to build an evidence base to help investors understand the true risks, as well as the value of investing in developing countries and social enterprises.
“Asia is fertile ground,” Rebecca Parkinson, associate director of credit portfolio management at IIX Global, explained in a webinar hosted by IIX last month. Setting the scene for the conversation, she explained that the demand for impact investing is on the rise globally.