Opinion: Peace bonds, the new asset class every investor needs to know

Peace finance is a new investment category that helps investors access new, frontier markets while making tangible, positive moves toward peace. Here’s why we need it.

By Fiona Reynolds // 17 July 2024

This is not controversial: peace leads to prosperity, to more peace and to further prosperity. It is a virtuous circle.

However, conflict across the world is growing. Currently, nearly 2 billion people, a quarter of the world’s population, live in fragile and conflict-affected countries. This includes 75% of the world’s extremely poor.

The cause of conflict can be complex but is typically due to competition over resources. The economic paradox of conflict is that it results in a diminution of the value of the resources being fought over. This is the contrasting vicious circle.

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The views in this opinion piece do not necessarily reflect Devex's editorial views.

About the author

Fiona Reynolds
Fiona Reynolds chairs the steering committee for Finance for Peace. She boasts a multidecade career in the financial services and pension sectors (ESG/sustainability issues) and is the former CEO of the U.N.’s Principles for Responsible Investment. Fiona is the chair of the U.N. Global Compact in Australia and a nonexecutive director, working across ESG issues.