How Private Equity Models and Practitioners Can Advance Impact Investing in Emerging Markets

Abstract

Recognising the growing importance of impact investing, the Emerging Markets Private Equity Association (EMPEA) established an Impact Investing Council in 2013 to play a leading role in professionalising and scaling the industry, focusing specifically on market-based solutions to major global social and environmental challenges. EMPEA believes that private equity investors have much to contribute to impact investing in emerging markets. The private equity discipline lends commercial expertise and financial rigour, and private equity practitioners have years of experience operating in inherently impactful geographies, sectors (e.g. financial services, healthcare, education, agribusiness, and housing), and customer segments (e.g. low-income people and those excluded from traditional sources of finance).