DGGF’s impact on local SMEs in frontier markets
In five years’ time (2014-2019), DGGF ‘Financing local SMEs’ has been able to create a positive impact in more than 50 countries worldwide by, amongst others, supporting more than 33,000 jobs and financing more than 4,500 SMEs through its support to local finance providers.
DGGF is a frontrunner when it comes to investing in fragile markets, where there are relatively few international investors. As a 'first mover', the fund is a catalyst for investing in frontier markets and increases its impact by convincing others to join. Additionally, PwC has set a standard for investment funds within the DGGF portfolio as well as others by training a large number of fund managers in developing their tax policies, Environmental, Social and Governance (ESG) policies and frameworks and result measurement methodologies. PwC is continuously helping investment funds to reach their full potential with ESG and impact management.
“One of the unique characteristics of the fund is that it allows us, besides making impactful investments, to support intermediary funds in reaching the next level by improving their governance, result measurement and ESG” says Lennart Konijnenberg, Consulting Director of PwC and team lead DGGF. “For example, we have integrated the Sustainable Development Goals (SDGs) in the result measurement cycles of intermediary funds. This ensures the alignment of DGGF investments with the SDGs and allows intermediary funds to become better equipped for the future.”