By Haggai Chomba, 22nd November 2019
The Global Steering Group for Impact Investment (GSG) formally announced the launch of a National Advisory Board for Impact Investment (NABII) in Zambia during the 2019 GSG Impact Summit held in Buenos Aires, Argentina from 18-19 November, 2019. The formation of the NABII is a critical step in the development of impact investment in Zambia.
The NABII Zambia initially started as a Taskforce launched in December, 2018 comprising of highly technical and qualified eminent individuals accomplished in their own rights emanating from the five pillars1 of the impact investment ecosystem namely: Supply, Demand, Intermediary, Market enabler, and Policy & regulation. Since the launch, the Zambia GSG Taskforce has been working through the membership process of the GSG for almost a year now until this week’s on-boarding to the GSG network thereby becoming a NABII.
The launch of the NABII in Zambia comes at critical time when the country needs more impact capital to achieve the 2030 SDGs and finance its Seven National Development Plan (7NDP). The Africa 2030 plan for reaching the SDG requires a minimum financing of USD 500 billion annually (SDGC Africa, 2019). When extrapolating research data from SDG Centre for Africa, Zambia needs to increase the level of investments in its impact sectors five-fold to USD 5 billion per year in order to achieve the SDGs by 2030. This corresponds to 1000 new investments per year when applying the average historical deal size. This illustrates the significant interventions required within the Zambian Impact investment ecosystem.
The NABII Zambia strategic direction will be governed by the single ultimate objective of ensuring a continued and sustained impact investment that recognises a return to capital while creating both social and environment benefits. The NABII Zambia will be focussing on removing impact investment ecosystem constraints through deepening impact investment awareness, institutional capacity building and improving the quality of the pipeline of impact investment projects in order to support the creation of a private sector driven impact economy in Zambia.
Zambia becomes the second country in Africa to successfully join the GSG network for impact investment. Undoubtedly, this adds momentum to the growth of impact investment in the Africa and will be a powerful force for addressing impact investment challenges identified in the country’s ecosystem context study report. Joining the GSG will not only give impact movement in Zambia international credibility but also allow the country to learn from international impact investment best practices.
About the National Advisory Board for Impact Investment Zambia
The NABII Zambia is an independent, influential private cross-sector driven coalition dedicated to driving more capital to improve lives and the environment. The NABII is a vanguard for impact investment and serves as a platform for connecting vehicles between local and global actors focused on directing private capital to public purpose. NABII’s mission is to mobilise stakeholders and resources to support the creation of a private sector driven impact economy in Zambiia.
About the Global Steering Group for Impact Investment
The GSG is an independent, multisectoral global entity catalysing impact investment and entrepreneurship to benefit people and the planet. It is present in 33 countries and the EU through National Advisory Boards (NABs) that bring together leaders from the worlds of finance, business and philanthropy to drive the adoption of measurable impact in all investment and business decision-making.