In a world facing persistent challenges from conflict to climate change to rising food and energy prices, the role of investors and businesses in driving positive change is more important than ever. One method is through inclusive business investing, which intentionally focuses on low-income populations. Not only does this approach improve livelihoods and expand access to essential goods and services. It is also scalable and commercially viable.
At British International Investment we invest in some of the world’s least developed countries. We are committed to reaching the most marginalised and disadvantaged communities. Our current five-year strategy prioritises populations living on less than $6.85 per day. We aim to invest in businesses that will create jobs and supply goods and services to these communities.
Our new Inclusive Business Investing Guide, developed in partnership with IFC and FMO, offers practical advice to investors on how to integrate an inclusive lens into their investment processes, impact measurement and advisory support. We encourage investors to consider factors such as worker, supplier and customer demographics when making investment decisions.
Developing this guide was a collaborative effort and includes insights from other impact investors as well as case studies from inclusive businesses within our own portfolio which demonstrate the transformative power of directing capital to low-income people while also realising financial returns.
While there is existing literature on the benefits of investing with an inclusive lens, this guidance is the first of its kind. It gives guidance on how to integrate an inclusive approach across the investment lifecycle. Our hope is that any investor, regardless of where they are in their inclusive investing journey, will find it helpful and it will ultimately lead to increased positive outcomes for low-income populations.
