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Leadership, Impact, Managing Risk November 2013 Beyond the Deal Sheet:

Peterson

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Measuring the impact of investments remains a main challenge for sustainable finance professionals and, together with Climate Change, an overarching theme at TBLI. Sixteen related workshops offer debate on ESG and Impact Investing trends, private equity, portfolio strategy, food production, emerging markets, sustainable energy or philanthropy investing.

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Leadership, Impact, Managing Risk

November 2013

Beyond the Deal Sheet:

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What keeps impact investors up at night?

Greenhouse gases

Lack of clean water

Food shortages

Cyber-attacks

Poverty

Volatile energy prices

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Deliberate Leadership choices:

Courage: What’s the wicked problem Collaboration: Who can help; who are allies Community: What’s needed, what’s succeeding, what

can be scaled Candour: What’s working and what isn’t and how

to recalibrate Creativity: How am I testing innovative scenarios Compassion: How am I being empathetic—not egotist Capital: How am I tapping social, environmental,

and financial capital

Deliberate Leadership

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Snapshot: Afram Plains District

Area: 823,260 hectares

Population: 161,754

Population Growth Rate: 3.6%

Population Distribution: 85% Rural

Rural Poverty Rate: 87%

National Rural Poverty Rate: 42%

Current Crop Production: 11 t/ ha for cassava, 13 t/ha for yam, 1.6 t/ha for maize and 0.8 t/ha for cashew

Potential Crop Production: 20 t/ha for cassava, 28 t/ha for yam, 5 t/ha for maize and 1.8 t/ha for cashew

 

 

Project Area

Afram Plains Case Study

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Impact Investing

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Consortium of EU, US, Ghanaian, and South Africa investors have:

• InvestedUS$6.5M in a 2,800 hectares farm in the Afram Plains District in Ghana.

• Farm and seeds sold to small holder farmers will:

Increase yield five-fold; reduce hunger, create jobs, and economic opportunities for 100,000 smallholder farmers.

Projected ROI is 10-22% in 5-7 years.

Afram Plains Case Study

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• A new investor from the EU is eager to be involved. His own due diligence, shows:

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Afram Plains Case Study

• 15 pesticides used, 8 are banned in investors’ countries; 3 are banned by 137 countries and the UN. They are allowed in Ghana.

• The farm is located in large wetland/lake ecosystem. The banned pesticides are a potential risk to aquatic species.

• These pesticides prohibit sale of products in EU—a robust and growing market.

• Children work the farm, but attend school

• NGOs are being investigated re pesticides dumping.

What would you do?