As an impact first asset manager, we, at EDFI MC, are committed to generating positive social and environmental outcomes through our investment activities, while at the same time mitigating unintended negative impacts that may arise.

We invest with the aim of having a positive impact, and we strive to ensure respect for human rights, and environmental and social sustainability.

This commitment is embedded in our Environmental and Social policy.

We assess, address, monitor and manage the potential negative effects of each investment on people and the environment. Investees also receive guidance and technical assistance to help them improve their ESG management systems.

We incorporate international standards, such as the IFC Performance Standards and associated World Bank Group Environmental Health and Safety Guidelines, UN Guiding Principles on Business and Human Rights, ILO Declaration on Fundamental Principles and Rights at Work, the EDFI Principles for Responsible Financing of Sustainable Development and GOGLA’s consumer protection principles.

Jointly with the other EDFI members, we have agreed on a list of joint ambitions on climate and energy related finance including key commitments to mobilise private investments aligned with the Paris Agreement. The EDFI Statement on Climate and Energy Finance  aims to signal a real ambition for the sector while recognising the development needs of the countries European DFIs invest in.

Next to the EDFI members, we have agreed on harmonized environmental and social standards encompassing:

• Environmental and Social Category Definitions
• Requirements for Environmental and Social Due Diligence
• EDFI Exclusion List (applicable to mutual financing activities)
• EDFI Fossil Fuel Exclusion List

We measure and manage impact throughout the entire investment lifecycle. To achieve this, we set impact objectives and targets at the company and investment facility levels to guide our investment strategies. Investment decisions are based on an assessment of the potential impact of each investment and its expected contribution to the total portfolio.

EDFI MC is a signatory to the Operating Principles for Impact Management (the Impact Principles) since 2019. The OPIM are the industry standard for integrating impact throughout the investment lifecycle, created under the auspices of the IFC and World Bank Group, now overseen by the Global Impact Investing Network.

The present Disclosure Statement ensures that our business, including its impact management systems, policies, practices, and investment services are managed in alignment with the Impact Principles. EDFI MC’s total Covered Assets in alignment with the Impact Principles of $183.12M as of 31 December 2023.

BlueMark undertook an independent verification of the alignment of EDFI MC’s impact management practices with the Impact Principles in November 2023.

BlueMark is a leading provider of independent impact verification and intelligence for the impact and sustainable investing market.

The Verification Statement can be accessed below.

EDFI MC is committed to mobilising capital to advance women as entrepreneurs, leaders, employees, suppliers and supply chain workers, consumers, and borrowers using gender-smart approaches. We integrate gender across the entire investment lifecycle, and we use the 2x Criteria from screening pipeline to monitoring investees.