The eight virtues of highly effective DFIs (Development Finance Magazine)

By Nancy Lee 

Amid much discussion of SDG finance gaps, development finance institutions (DFIs), both bilateral and multilateral, are in the spotlight as the most important publicly funded instruments for mobilising private capital.

Yet, there is a surprising lack of clarity on what we can and should expect from DFIs, beyond broad goals of profitability and development impact. The following proposes some operational principles that help set standards for DFI success.  No existing institution deploys them all, though many are moving in the right direction. The point of the list is to highlight that important changes are needed in DFIs’ business models. With such changes, I believe a strong case can be made to expand their capital and operations. 

Read the full article here.