Blended finance beyond the hype
Enabling environmentAt the moment, blended finance mechanisms involving significant private finance face many limitations if they are to be used in least developed countries.
Blended finance has become one of the latest buzz words in development, including in the Water, Sanitation and Hygiene (WASH) sector.
The original version of this Conference Perspective on Blended Finance can be found on the OECD website.
Impact investmentOn a positive note, there are some emerging innovations for poorest and more challenging areas, interestingly more bottom up than the existing blended finance mechanisms.
Transparency and accountabilityBeing more specific and thinking about the type of organisations that will be present in this meeting, a particular challenge is a general lack of transparency surrounding blended finance deals, particularly regarding the amount of public finance required to bring in private finance by reducing the risk to private investors.