18 Jul 2017
As its incorporator, it is with great pride that IDH can announce the andgreen.fund.
The Fund was originally launched in January 2017 at the World Economic Forum by the Norwegian Prime Minister, Paul Polman on behalf of the Consumer Goods Forum, and Naoko Ishii, the CEO of the Global Environment Facility.
Branded the andgreen.fund, reflecting its aim ‘to green agricultural investments’, andgreen.fund aims to trigger private sector investment into agricultural productivity, whilst protecting millions of hectares of tropical forests, peatlands and biodiversity by 2020.
Agriculture is one of the biggest drivers of deforestation. Between 2000 and 2012, 2.3 million square kilometers of forest was cut down. However, to date, investments into increasing agricultural production to feed the growing world population remain tilted towards expanding into tropical forests rather than intensifying agricultural production on existing arable land.
Andgreen.fund aims to motivate the redirection of financial flows towards intensified land use, combining forest conservation with increased food production and economic growth, thus creating systemic change that will have large scale, long lasting impact. By investing up to $400 million by 2020, the andgreen.fund will provide subordinated credit, under flexible terms. By crowding-in co-investors, the andgreen.fund maximizes the amount of private capital available.
First class governance is key to uphold andgreen.fund’s ambition. To that end, the Board of Directors consists of Nanno Kleiterp, former CEO of the Dutch Development Bank (FMO) and current Chairman of the European Development Finance Institutions and Felia Salim, former Vice President Director of PT Bank Negara Indonesia and now Member of the Board of Directors of Eco Regions International and our executive director, Joost Oorthuizen, is humbled to have been appointed with them.
The Advisory Board will collect the wisdom from five truly aspirational leaders:
We are also pleased to announce that the role of the Investment Advisor to the Fund has been awarded to Sail Ventures. Andgreen.fund has been designed with the support of Innpact, a consulting firm specialised in the setup of impact finance funds. You can find the full governance structure and biographies of those listed above on the website andgreen.fund. Check there for updates.
It is my hope that the andgreen.fund will prove to be a game changer, helping many members of the Consumer Goods Forum and other private sector companies make their commitment on zero net deforestation actionable. IDH’s role in andgreen.fund going forward will be to actively participate in building an investment pipeline. We encourage others to also put forward investments proposals to andgreen.fund.
Let’s ensure we conclude 2020 knowing we made it happen, through financing intensified land use and forest conservation: we can drive inclusive economic andgreen growth.