Presentation 15 January - Blended Finance: leave no one behind, with UNCDF

1. Blended finance in fragile contexts
opportunities and risks
Irene Basile, OECD

2. Even in fragile contexts, blending is a small but non-
negligible part of the development finance pie
• The multilateral system is the main
channel
• Bilateral blending is driven by a few
donors
• Highly concentrated on a few sectors
• Volume and ticket size decrease with
fragility
• The origin of private finance varies with
recipient income
USD 17.8 billion
private finance
mobilised in
fragile contexts
over 2012-15

3. Mezzanine finance and guarantees are powerful tools for the
mobilisation of private finance in fragile contexts and beyond

4. Private finance mobilised in development co-
operation is not equally sensitive to all dimensions of
fragility
more fragile less fragile
1 2 3 4 5
over USD 850,000 1 1 14 7
USD 500,000 - 849,999 2 2 6 3
USD 220,000 - 499,999 1 7 2
USD 170,000 - 219,999 6 1 1 3
USD 120,000 - 169,999 3 4 2
USD 70,000 - 119,999 2 6 3 3
USD 20,000 - 69,999 2 4 3
USD 10,000 - 19,999 3 1 1
USD 5,000 - 9,999 3 1
under USD 5,000 5 1 1
Country count 1 1 4 7 12 14
Private finance mobilised by
Official Development Finance
current USD (1000s)
Economic fragility
more fragile lessfragile
1 2 3 4 5
2 8 1 11 1
1 4 7 1
1 3 2 4
2 1 2 6
3 3 3
5 3 2 2 2
6 3
2 3
2 1 1
3 1 1 1 1
Countrycount 1 1 3 5 7 11 11
USD120,000 - 169,999
USD70,000 - 119,999
USD20,000 - 69,999
USD10,000 - 19,999
USD5,000 - 9,999
under USD5,000
Private finance mobilised by
OfficialDevelopment Finance
current USD(1000s)
Politicalfragility
over USD850,000
USD500,000 - 849,999
USD220,000 - 499,999
USD170,000 - 219,999
more fragile less fragile
1 2 3 4 5
over USD 850,000 1 5 8 9
USD 500,000 - 849,999 2 1 4 6
USD 220,000 - 499,999 1 2 3 4
USD 170,000 - 219,999 1 4 1 5
USD 120,000 - 169,999 1 6 1 1
USD 70,000 - 119,999 2 5 2 3 2
USD 20,000 - 69,999 5 1 1 2
USD 10,000 - 19,999 3 1 1
USD 5,000 - 9,999 1 1 1 1
under USD 5,000 1 3 1 2
Country count 1 1 4 5 9 9
Private finance mobilised by
Official Development Finance
current USD (1000s)
Environmental fragility
Economic fragility Political fragility Environmental fragility
Source: OECD multidimensional fragility framework (2018) and DAC survey on amounts mobilised from the private sector by official
development finance (2012-2015).

5. Private finance mobilised in development co-
operation is not equally sensitive to all dimensions of
fragility
more fragile less fragile
1 2 3 4 5
over USD 850,000 6 4 9 2 2
USD 500,000 - 849,999 2 1 6 3 1
USD 220,000 - 499,999 2 3 3 2
USD 170,000 - 219,999 1 4 4 2
USD 120,000 - 169,999 4 1 4
USD 70,000 - 119,999 5 3 3 1 2
USD 20,000 - 69,999 1 7 1
USD 10,000 - 19,999 2 2 1
USD 5,000 - 9,999 2 2
under USD 5,000 2 2 3
Country count 1 1 4 5 9 9
Private finance mobilised by
Official Development Finance
current USD (1000s)
Societal fragility
more fragile less fragile
1 2 3 4 5
11 5 7
4 3 6
1 4 5
3 5 2 1
1 3 4 1
1 3 5 4 1
3 5 1
2 1 1 1
1 1 2
1 1 2 3
Country count 1 1 3 5 7 11 11
USD 500,000 - 849,999
over USD 850,000
Private finance mobilised by
Official Development Finance
current USD (1000s)
Security
under USD 5,000
USD 5,000 - 9,999
USD 10,000 - 19,999
USD 20,000 - 69,999
USD 70,000 - 119,999
USD 120,000 - 169,999
USD 170,000 - 219,999
USD 220,000 - 499,999
Societal fragility
Security
Source: OECD multidimensional fragility framework (2018) and DAC survey on amounts mobilised from the private sector by official
development finance (2012-2015).

6. Thank you!
For further information, please contact:
irene.basile@oecd.org
More on OECD’s work on blended finance:
http://oe.cd/blended