Overcoming Barriers to Scale: Institutional impact investments in low-income and developing countries

This report examines the barriers preventing large institutional investors, such as pension and sovereign wealth funds, from scaling impact investments in low-income and developing countries. It proposes a framework called the National Impact Investment Readiness Assessment to help investors and policy-makers evaluate the investability of emerging markets.

• Impact investing is viewed as an economically effective method to supplement philanthropy and government procurement to address global problems. While once limited to foundations, it is now a viable asset class for a range of investors, including sovereign wealth funds and wealthy individuals. Some estimates suggest capital allocated to this asset class could reach USD$500 billion in five to ten years, accounting for 1 per cent of global assets under management.
• Despite the conceptual appeal, large institutional investors like sovereign wealth and pension funds face unresolved barriers that prevent them from participating in the impact market. The authors suggest that these challenges can be addressed through innovations in fund structures and financial instruments, alongside government support to mitigate secondary problems.
• The report introduces the National Impact Investment Readiness Assessment, a framework designed for use by policy-makers and the financial industry in low-income and developing countries. This tool allows the financial industry to determine the 'investability' of markets—balancing impact with fiduciary return obligations—and helps policy-makers promote enterprise-based development and impact entrepreneurialism.

APA

Silva,, G. A. H. H. (2013). Overcoming Barriers to Scale: Institutional impact investments in low-income and developing countries. International Institute for Sustainable Development. https://www.iisd.org/publications/report/overcoming-barriers-scale-institutional-impact-investments-low-income-and

Chicago

Silva,, Gabriel A. Huppé,Mariana Hug. Overcoming Barriers to Scale: Institutional impact investments in low-income and developing countries. International Institute for Sustainable Development, 2013. https://www.iisd.org/publications/report/overcoming-barriers-scale-institutional-impact-investments-low-income-and.

Wikipedia

{{cite report |last1=Silva, |first1=Gabriel A. Huppé,Mariana Hug |title=Overcoming Barriers to Scale: Institutional impact investments in low-income and developing countries |publisher=International Institute for Sustainable Development |date=5 September 2013 |url=https://www.iisd.org/publications/report/overcoming-barriers-scale-institutional-impact-investments-low-income-and |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{silva2013overcoming, author = {Silva,, Gabriel A. Huppé,Mariana Hug}, title = {{Overcoming Barriers to Scale: Institutional impact investments in low-income and developing countries}}, institution = {International Institute for Sustainable Development}, year = {2013}, month = sep, url = {https://www.iisd.org/publications/report/overcoming-barriers-scale-institutional-impact-investments-low-income-and}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }