Blended Finance Strategies and Implementation

BFA have produced blended finance feasibility studies that included the following analysis:

  • Leveraging capacity under various blended finance models
  • Review of host country resources available and suitable for blending purposes
  • Affordability assessment for target market /community /service area
  • Recommend best blended finance program for a particular country or region
  • Presentation to all stakeholders including donor agencies, investors, local governments and intended beneficiaries
  • Reconciliation report reflecting input from all stakeholders including any required revisions in the design and operation of a blended fund
  • Final Report with recommended next steps and timeline

BFA’s approach to the creation of blended funds include the following steps:

  • Consult with stakeholders throughout the design process
  • Draft blended financial model and legal structure
  • Establish an affordability assessment analysis
  • Develop operational guidelines and underwriting criteria
  • Establish an affordability assessment analysis
  • Propose blended finance terms to investors and donors
  • Close on blended finance investment agreements

At each step in the development, BFA reconciles the interests of all parties to reach a final program design that is practical, responsive to market conditions and stakeholders’ input, and ready for implementation.