BlueOrchard Impact Report (2024)

0

people supported

as of December 2022

Empowering people, protecting the planet

Impact measurement has become increasingly important in recent years as investors and companies seek to understand and communicate the social and environmental impacts of their investments and operations. By measuring impact, investors and companies can identify areas for improvement, track progress over time, and demonstrate their commitment to sustainability and responsible investing.

At BlueOrchard, we have been at the forefront of impact management for over two decades, exploring new frontiers in impact management such as data, technology, and the application of impact measurement metrics in private and public markets. We believe that integrity is the most important aspect of impact management, and we have proven ourselves time and again as an investment platform for those seeking true impact. Our diverse and global team is made up of professionals from different cultures, nationalities, and backgrounds, spread across seven offices on four continents.

The year 2022 presented particular challenges for investors, such as inflation, rising interest rates, and armed conflicts. Despite these challenges, emerging markets have shown stronger economic performance than many expected, prompting investors not to overlook their potential. At BlueOrchard, we are pleased to have increased our outreach even further during these times, and we remain committed to delivering true impact to our clients.

We thank you for your continued support and trust in BlueOrchard.

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Including
the Excluded

Across the world and, particularly, in emerging and frontier markets, individuals excluded from financial services are among the poorest of the population. BlueOrchard’s support for a sound, sustainable, and inclusive financial sector is thus crucial to reach the underserved, thanks to investments that support job creation, female empowerment, and reduction of inequalities.

Figures as of December 2022; Source: BlueOrchard

end clients financed

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    81%

    female

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    64%

    rural

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    micro, small, and medium-sized enterprises
    (MSMEs) supported

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    job opportunities created or maintained

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    USD0

    median loan size

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    0%

    local currency loans

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Education

Education is key for a self-determined life and a prosperous and inclusive society. By financing loans to students, learners, and education providers in Africa, BlueOrchard fosters affordable and quality education.

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    students, learners & education
    providers supported

    Figures as of December 2022; Source: BlueOrchard

Climate Action

Developing countries are the most vulnerable to the consequences of climate change and have the fewest resources to cope with them. With its investments in climate change adaptation and mitigation, BlueOrchard aims at strengthening the resilience of vulnerable households and MSMEs to extreme weather events, as well as financing a sustainable and low-carbon future.

Figures as of December 2022; Source: BlueOrchard

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climate insurance beneficiaries

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    planet focused AUM* of bonds portfolio managed by BlueOrchard in USD

    *Assets under management

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    planet focused issuers

    Figures as of December 2022; Source: BlueOrchard

Our global reach

Since our inception, we have invested in over 80 countries in Africa, Latin America, Central and Eastern Europe, and Asia through our private debt portfolio.*

Through our bonds portfolio, we have invested in over 55 countries (as of December 2022).

We invest in institutions that share our values and that consider positive social and environmental impact essential to their mission.

  • 10bn

    USD
    disbursed

    private debt, since inception

  • 788m

    USD
    AUM of bonds portfolio

    public debt, as of December 2022

  • *The last loan in Russia matured in May 2016. Since then, BlueOrchard has strictly avoided exposure in Russia on account to country risks.

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Impact of BlueOrchard’s funds

We are a leading global impact investment manager, connecting millions of entrepreneurs in emerging and frontier markets with investors. Our aim is to make impact investment solutions accessible to all, advancing the conscious use of capital. BlueOrchard-managed funds generate a positive impact on society and/or the planet, consistently measured across all our offering.

Read about the impact of our investment products here

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Voices of
end clients

Meet 12 inspiring people who have put a small amount of money to work in a big way. Take a trip across four continents to learn how impact investing is empowering people.

This is My Story –
Giving a face to 20 years
of impact investing

Our book is available on Amazon

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Rajwadi

“Because of the loan I have been able to expand my business and contribute to my household, helping to support my family.”

Rajwadi
Tailor from India

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Cesar

“I started with just 9 hectares. Today, I have 50 hectares. Because of the El Niño phenomenon I have lost land as it caused flooding and afterwards the soil dried up.”

Cesar Julio Salirosas Pacheco
Fruit and vegetable farmer, Peru

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Lucy

“Without our school many young children would not have the opportunity to receive any kind of education.”

Lucy Wilfred
Principal from Tanzania

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Jemal

“When we arrived as refugees, I had no job and was very worried about the future. Today, I am a fruit producer and have up to 10 people working for me.”

Jemal Bigvava
Fruit producer from Georgia

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Lucia

“At the beginning, we had nothing, no capital, no materials. The loan has helped us to buy raw materials and to pay the people who support us in making the products.”

Lucia Andrea Vega Prado
Artisan from Peru

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Rakesh

“I currently employ 15 people across two factories and sell products to wholesalers all over India and beyond. I would like to have more than 100 employees.”

Rakesh Showa
Stove producer from India

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Grace

“Thanks to eight loan cycles over the past 20 years, I have been able to grow my business and build my own home from scratch.”

Grace Kissiri
Animal farmer from Tanzania

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Vladimer

“It is very important to me to be able to help and support my family, and I am proud that the various businesses can allow me to do this.”

Vladimer Qarqashadze
Guest house owner from Georgia

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Elene

“Setting up and expanding our business has given us financial stability, independence and freedom, allowing us to live our dream.”

Elene Kiladze
Dressmaker from Georgia

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Viter

“I was raised around agriculture but decided to move to the city and start my own business – looking for better opportunities and to improve my health.”

Viter Laban Peña
Grocery store owner from Peru

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Rashida

“My dream is to be known for my great designs. I also want to continue supporting my family and I hope that my daughter may take over the business.”

Rashida Begam
Tailor from India

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Simon

“The loan has allowed me to build more greenhouses and expand my range of produce. However, a big challenge is climate change. Sometimes I can really feel it happening.”

Simon Deogratus
Vegetable farmer from Tanzania

Leveraging and building a flourishing network

Being a global company with a local presence, BlueOrchard has for more than 20 years established and maintained a strong network of institutions which is fundamental to deliver on the company’s multiple impact goals.

Private assets portfolio figures since inception; Public assets portfolio figures as of December 2022; Source: BlueOrchard

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    institutions
    financed (private assets portfolio)

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    institutions
    financed (public assets portfolio)

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    Technical Assistance/
    Capacity Building projects implemented

Partners and Network

We are a trusted partner of major development institutions as well as other key players, and we actively promote industry best practices through leading initiatives.*

*Logos are the property of their respective entities.

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BlueOrchard contributes to 14 out of the 17 SDGs

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    BlueOrchard is deeply committed to contributing to the achievement of the SDGs. With our investments, we address 14 out of the 17 SDGs. Read here how we make a positive contribution to each of these goals.

    Click any SDG to read about our contribution

  • SDG 1

    No Poverty

    Access to financial services (including microfinance) is considered an enabler to end poverty. We include the number of poor and vulnerable that have been given access to microfinance and related financial product and services in less developed countries.

    47'006'612 end clients financed | 60 emerging and frontier countries (private assets portfolio only)

  • SDG 2

    Zero Hunger

    Access to financial services to small-scale food producers is considered an enabler to achieve food security and promote sustainable agriculture. We include the number of small-scale farmers that have been given access to financial services in less developed and frontier markets.

    12'362'327 small scale farmers supported

  • SDG 3

    Good Health
    and Well-Being

    Access to financial and related products and services tailored to affordable healthcare is instrumental to improve universal health coverage. We contribute to SDG 3 by funding institutions with an earmarked healthcare portfolio addressing the needs of the poor and vulnerable in emerging and frontier markets.

  • SDG 4

    Quality Education

    We invest in institutions that offer education financial services to low income households in less developed and frontier markets. We measure contribution by i) the number of beneficiaries that receive MSME loans for primary, secondary and tertiary education, ii) the number of loans to affordable private education providers in Africa, and iii) the number of Technical Assistance projects funded.

    USD 142 million education portfolio financed | 133'439 students, learners & education providers supported

  • SDG 5

    Gender Equality

    Financial inclusion provides women with greater economic empowerment. We measure the number of women that receive MSME financial services and the number of investees that offer tailored MSME financial services to women.

    30'772'008 female clients with business purpose loans

  • SDG 6

    Clean Water
    and Sanitation

    Providing access to clean water and sanitation services is a basic human right and is key for people’s health in emerging and frontier markets. We contribute to SDG 6 by targeting organisations that improve access to drinking water or install waste water treatment plants.

  • SDG 7

    Affordable and
    Clean Energy

    Access to energy, while taking care of the environment, is crucial for sustainable development. We target organisations that advance solar or wind energy with a focus on emerging markets.

    USD 139 million invested in renewable energy industry

  • SDG 8

    Decent Work and
    Economic Growth

    Access to financial services (including microfinance) is considered an enabler to promote growth of MSMEs and job creation. We measure the number of MSMEs that have access to loans and estimate the number of indirect jobs supported by MSMEs.

    142'009'528 jobs opportunities created or maintained

  • SDG 9

    Industry, Innovation
    and Infrastructure

    We invest in the establishment and improvement of data infrastructure, such as new or improved communication connections, which are important to create an enabling environment for economic and social development.

  • SDG 10

    Reduced
    Inequalities

    A well-balanced society is essential for sustainable development. We operate in frontier and emerging markets with a focus on ODA countries. Our investees focus to support inclusive businesses and entrepreneurship as part of their business models in LDC**, low, and middle income countries.
    *Official development assistance; **Least developed countries

    60 ODA recipient countries | 8 least developed countries

  • SDG 11

    Sustainable Cities
    and Communities

    Cities are centre of human life and economic development. We target investees that focus on loans for affordable housing projects. We measure the number of affordable housing loans beneficiaries.

    1'783'583 affordable housing loans beneficiaries

  • SDG 12

    Responsible
    Consumption and
    Production

    Meeting the world’s increasing demand for food and consumption goods while respecting the environment during the production process is a challenge yet to be solved. We contribute to SDG 12 by investing in waste management and recycling and basic infrastructure.

  • SDG 13

    Climate Action

    We target investees that contribute to the adaptation to climate change by improving access to and the use of insurance in developing countries. The aim is to reduce the vulnerability of micro, small and medium enterprises (MSME) as well as low-income households to extreme weather events. We measure the poor and vulnerable beneficiaries that have received climate insurance.

    46'627'557 climate insurance beneficiaries

  • SDG 17

    Partnerships for
    the Goals

    Mobilisation of private investments in developing and frontier markets is key to achieve sustainable objectives. Over time, we have specialized in blended finance structures, leveraging the capital invested to the benefit of emerging and frontier markets. We measure the volume of private investments directed to emerging economies.

    USD 3.6 billion private capital mobilised

BlueOrchard’s
end clients surveys

Surveys were conducted on 1,502 end clients from India, Tajikistan, Kyrgyzstan, and Myanmar between Q4 2020 and Q2 2021 to assess the impact of loans provided by BlueOrchard’s investees.*

*These survey results are intended for general informational purposes only and are based on data from 2020/2021. We will update the figures as soon as more current information becomes available.

India

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  • 75%

    Increase in quality of life

  • 38%

    Improved ability to save

  • 46%

    Increase in income

  • 63%

    Improved ability to plan finances

  • 53%

    Loan used to grow business

  • 97%

    No challenges when interacting with MFIs*

    *Microfinance institution

Tajikistan

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  • 90%

    Increase in quality of life

  • 82%

    Improved ability to save

  • 58%

    Increase in income

  • 84%

    Improved ability to plan finances

  • 32%

    Loan used to grow business

  • 97%

    No challenges when interacting with MFIs*

    *Microfinance institution

Kyrgyzstan

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  • 72%

    Increase in quality of life

  • 22%

    Improved ability to save

  • 32%

    Increase in income

  • 44%

    Improved ability to plan finances

  • 27%

    Loan used to grow business

  • 91%

    No challenges when interacting with MFIs*

    *Microfinance institution

Myanmar

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  • 88%

    Increase in quality of life

  • 57%

    Improved ability to save

  • 94%

    Increase in income

  • 85%

    Improved ability to plan finances

  • 92%

    Loan used to grow business

  • 93%

    No challenges when interacting with MFIs*

    *Microfinance institution

BlueOrchard’s
impact timeline

BlueOrchard is committed to the development of the impact investing industry and to the alignment of its product offering to industry best practices.

  • 2007
    • BlueOrchard Impact Report (81)

      LuxFLAG Microfinance label awarded for the first time to BOMF

      BlueOrchard has been receiving it for BOMF and other funds in the following years as well

  • 2009
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      BlueOrchard launches first Social Performance Impact Reporting and Intelligence Tool (SPIRIT)

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      BlueOrchard becomes signatory to the UN Principles of Responsible Investments

  • 2014
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      BlueOrchard supports the creation of the SPI4 Alinus tool for Microfinance Institutions

  • 2017
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      BlueOrchard collaborates with GIIN to conceptualize the Navigating Impact Project

  • 2018
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      JAWEF qualifies for the 2x Challenge

  • 2019
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      BlueOrchard actively contributes to the conceptualization of the Operating Principles for Impact Management

  • 2020
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      BOMF independently verified in alignment with Operating Principles for Impact Management by Tideline/Bluemark

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      Covid-19 Support Fund and IIF qualify for the 2x Challenge

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      LuxFLAG Climate Finance label awarded to IIF

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      Towards Sustainability label awarded to IBF

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      BlueOrchard certified as carbon neutral company

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      BlueOrchard contributes to the conceptualization and launch of GIIN's IRIS+ Impact Core metrics system

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      BlueOrchard launches the B.Impact Framework

  • 2021
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      LuxFLAG Microfinance label awarded to REFFA and JAWEF

    • BlueOrchard Impact Report (96)

      BlueOrchard's public asset B.impact framework independently verified in alignment with Operating Principles for Impact Management by Tideline/Bluemark

  • 2022
    • BlueOrchard Impact Report (97)

      BlueOrchard joins 2XCollaborative, a group of the world’s leading gender impact investors.

BlueOrchard –
We measure what we treasure

The BlueOrchard team consists of experienced and versatile professionals in offices around the world, enabling BlueOrchard to operate effectively in its target markets. Our goal of inclusion is reflected in equal and fair employment opportunities. We strive to lead by example, promoting diversity and inclusion in our corporate approach.

Figures as of December 2022; Source: BlueOrchard

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  • 7offices on
  • 4continents

53%of staff working
in regional offices

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    32nationalities

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    34languages

0+members
of staff

36average
age

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  • 52%female employees

13 yearsof experience on average among investment professionals

People & Planet

Our investments address 13 out of the 17 SDGs. We also support projects contributing to complementary SDGs already tackled by our investment offering.

  • BlueOrchard Impact Report (102)

    The BlueOrchard team raised money for the following charitable donations in 2022:

  • Akhuwat

    Akhuwat has been active since 2001 and works on poverty alleviation. Across Pakistan, they have 5.4 million beneficiaries. We donated to Akhuwat in response to the catastrophic floods in Pakistan in 2022.

  • Miraclefeet

    Miraclefeet was founded in 2010. They provide organisational, technical, and financial support to clinics to improve access to treatment for children with clubfoot in low- and middle-income countries. They have changed the lives of 70,000 children in 30 countries.

  • Kantha Bopha Foundation Children’s Hospital

    The Kantha Bopha Foundation Children’s Hospital was established in 1992. Today it has 5 children’s hospitals in Cambodia and treats 85% of sick children in Cambodia free of charge.

Let’s stay connected

Interested in our latest reports and updates?

Subscribe to our newsletter

Any questions or suggestions?

Write us an email

BlueOrchard Impact Report (2024)

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