Impact is at the core of the CFC. As an impact investment fund dedicated to alleviation of poverty, CFC is committed to create positive impacts under all circumstances. Our mission is to work out an impact which is measurable using impact weighted matrix. As an impact investor, we work around a core set of beliefs and principles which only got revalidated due to widespread COVID-19 related devastations. During COVID-19, not everyone is affected in the same way. Poor, women, and youth proved to be far more vulnerable than others. SMEs and smallholders in the developing world were found to be most affected.
Operating as an impact investor, the CFC, which finances the communities which found to be more vulnerable and as such most affected, came to experience that if there were a right moment to make more interventions and accompanying investments in the developing world, this is the time.
Be local, keep it small
Whatever the future holds, our experience guides us to the realization that it will be nothing like the past. At this time, not only impact has to be measurable and weighted within a framework of weighted matrix, it also has to be local and improvised where required. Doing more of the same is no longer an option. Rather than throwing big money to big and mega projects, developing countries will be better served with more focused and small interventions. Each intervention has to be tailored so that weighted matrix is not only achievable, it has to be an innovative intervention which have the potential to achieve higher social and economic impact in the country/region.
The CFC understands that to act effectively and credibly as an impact investor, the Fund must have a robust and efficient impact measurement and management system. In this regard, in October 2018, CFC’s Executive Board has approved the new impact strategy of the CFC.