Luxembourg, Switzerland, and UBS Optimus Foundation are joining forces to scale up impact investing globally.
The Government of Luxembourg and the SDG Impact Finance Initiative (SIFI) have today announced a new partnership to mobilize private capital at scale in support of the UN Sustainable Development Goals (SDGs) in developing economies.
Luc Frieden, the Prime Minister of Luxembourg, announced the partnership on Tuesday 16 January at an event at the World Economic Forum, in Davos, together with Helene Budliger Artieda, the Swiss State Secretary, Josien Sluijs, the Independent Executive President of SIFI, Guillaume Bonnel, the CEO of SIFI, Ambassador Christian Frutiger, Assistant Director General SDC, Liliana de Sá Kirchknopf, Head of Private Sector Development at SECO, and Maya Ziswiler, CEO of UBS Optimus Foundation.
SIFI is a public-private partnership between the Swiss government, and UBS Optimus Foundation, which aims to mobilize CHF 1+ billion of private finance and investment for low and middle-income countries by raising more than 100 million in catalytic funding. The partnership with Luxembourg, represented by the Ministry of Finance, will support SIFI in designing and de-risking innovative impact finance solutions that bring positive social and environmental change, in line with the SDGs.
"The partnership with SIFI is a testament to our shared dedication to impact finance and also reflects the deep, long-standing relations between Luxembourg and Switzerland in financial services. Today, we are marking the start of further close collaboration between our nations in sustainable and impact finance to achieve the SDGs", the Prime Minister said in his welcome remarks at the event.
Luxembourg's Minister of Finance, Gilles Roth, comments: "Switzerland and Luxembourg rank among the greenest financial centres in the world, and have long been pioneers in sustainable finance. This new partnership is thus a natural fit. As a SIFI partner, Luxembourg will contribute actively in shaping this important initiative, building on its long-standing expertise in blended and impact finance, including as a leading international investment fund centre."
"We're very excited to welcome the Luxembourg Ministry of Finance as our newest partner," said Guillaume Bonnel. "The team there brings a wealth of experience and knowledge in the field of sustainable finance and impact investing, and we look forward to bringing impact investing to the next level together."
Josien Sluijs noted: "Public-private sector partnership is a driving force to advance progress towards achieving the SDGs. With extensive expertise, shared values and financial support, the partnership with the Ministry of Finance of Luxembourg will strengthen SIFI's efforts to promote impact finance globally. We are excited to continue our journey together in scaling up financing for SDGs."
Maya Ziswiler, CEO of UBS Optimus Foundation, added: "To mobilise private capital at scale in support of the Sustainable Development Goals, requires collaboration across governments and beyond. That's why we are delighted to welcome Luxembourg as a partner in this endeavour and look forward to growing SIFI and its impact further."
About the SDG Impact Finance Initiative
Launched in December 2021, the SDG Impact Finance Initiative is a public-private partnership between the Swiss State Secretariat for Economic Affairs (SECO), the Swiss Agency for Development and Cooperation (SDC) and the UBS Optimus Foundation. Its goal is to unlock up to CHF 1 billion in private capital in support of the SDGs by 2030. It does this by providing grants that support the design and development of innovative financial solutions that help achieve the SDGs; through first-loss investment that helps scale and mainstream impact investment solutions, and by working to strengthen the ecosystem and improve framework conditions for impact investing.
It has awarded CHF 3.32 million in grants for high-potential solutions targeting SDGs for education (SDG 4), gender (SDG 5), decent work and economic growth (SDG 8), responsible consumption and production (SDG 12), climate change (SDG 13), life under water (SDG 14) and life on land (SDG 15). In January it will make its first investments, with up to CHF 5 million of first-loss equity in blended finance vehicles delivering action on climate change.
About the UBS Optimus Foundation
The UBS Optimus Foundation is an independent grant-making foundation that offers UBS clients a platform to use their wealth to drive positive social and environmental change. The Foundation selects programs that improve children's health, education, and protection, ones that have the potential to be transformative, scalable, and sustainable, as well as programs tackling environmental and climate issues.
Press release by the Ministry of Finance / Ministry of State