SDG Impact Finance Initiative Design Funding Window Now Open!

Deadline: 1-May-23

The SDG Impact Finance Initiative (“the Initiative”) has announced a second call for proposals targeting a new set of UN Sustainable Development Goals (SDGs).

The SDG Impact Finance Initiative’s Innovation Window awards grants for innovative impact finance solutions that will mobilize private capital for sustainable development in emerging and frontier markets. The Initiative is funded by the State Secretariat for Economic Affairs (SECO), the Swiss Development Cooperation Agency (SDC), the UBS Optimus Foundation, and the Credit Suisse Foundation.

The SDG Impact Finance Initiative aims to accelerate advancements in the impact investing market by supporting the launch of innovative solutions that address market failures, deploy financial products that are under-supplied or supplied at insufficient volumes, and mobilize funding into new sectors and regions.

It aims to achieve three key objectives:

• Support the design and development of innovative impact finance solutions;
• Scale impact investing solutions by mobilizing private capital at scale; and
• Strengthen the impact investing ecosystem, improve overall frameworks, and promote quality impact management practices to enhance impact investment flows.

Under this second call for proposals, with support from Convergence, the Initiative will award grant funding for feasibility studies, proof of concept activities and expansion of existing solutions. Proposed solutions should target one or more of SDG 5 (Gender Equality), SDG 14 (Life Below Water), and SDG 15 (Life on Land).

Thematic Focus

This second call for proposals is seeking solutions targeting any one of the below SDGs. No preference will be given to solutions that target multiple SDGs.

• SDG 5 (Gender equality): Achieve gender equality and empower all women and girls
  • Solutions targeting the nexus of economic empowerment and gender equality. Solutions should contribute to improving economic opportunities for women and girls through areas such as:
    • Financial inclusion;
    • Unpaid care work;
    • Education (basic education, vocational skills development and lifelong learning, tertiary education).
• SDG 14 (Life below water): Sustainably use the oceans, seas, and marine resources for sustainable development
  • Solutions can target any areas aligned with SDG 14, including:
    • Protection, or restoration of marine and coastal ecosystems;
    • Sustainable management of fisheries, aquaculture and tourism and increased benefits to local communities (e.g., Small Island Developing States);
    • Reduction in marine pollution;
    • Financial services and market access for small scale fisheries.
• SDG 15 (Life on land): Protect, restore, manage and promote sustainable use of terrestrial ecosystems, forests and land, combat desertification, and halt and reverse land degradation and biodiversity loss
  • Solutions can target any areas aligned with SDG 15, including:
    • Protection, sustainable management and/or restoration of terrestrial and inland freshwater ecosystems (e.g., forests, wetlands, mountains, drylands), including their biodiversity;
    • Sustainable management of forests (afforestation, reforestation);
    • Mitigation of land degradation and sustainable management of land;
    • Reduction of poaching and trafficking of protected wildlife.

Funding Information

• Demonstrated potential to benefit predominantly children: They highly encourage applications that can demonstrate direct benefits to children and adolescents. Up to USD 500,000 out of the total USD 2 million of available funding are earmarked for this purpose.
• Pre-Launch: Feasibility study – Grants up to USD 200,000.
• Pre-Launch: Proof of concept – Grants and conditionally repayable grants up to USD 500,000.
• Post-launch (operational): Expansion – Grants and conditionally repayable grants up to USD 300,000.

Geographical Focus: Solutions can target any developing country or countries eligible to receive official development assistance (ODA) according to the OECD-DAC List of ODA Recipients. They highly encourage solutions that target low-income and least developed countries.

Eligibility Criteria

• Developing country applicants and partnerships: They highly encourage applications that fall into any of these categories:
  • Applications from local organizations based in developing countries
  • Applications from a consortium of organizations from both developing and developed countries
  • Applications that strongly focus on building long-term partnerships with developing country actors
• Type of applicants
  • Applications will only be accepted by organizations or consortia of organizations
  • Organizations must have proof of incorporation and audited financial statements from the most recent fiscal year
• Ineligible applicants:
  • Individuals
  • International Financial Institutions (IFIs), Multilateral Development Banks (MDBs), and Development Finance Institutions (DFIs) cannot be the lead applicant. These parties can apply as part of a consortium, but they cannot directly benefit from any funding from the Initiative.
  • Applicants can be based anywhere in the world.

For more information, visit Convergence.