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USAID INVEST is an initiative that ran from 2017-2024 to mobilize private capital for better, more sustainable development results.

ABOUT US

As the world’s development challenges become more complex, USAID recognizes the need for  market-based solutions.  

USAID INVEST helped unlock the power of private capital to drive inclusive growth in countries where USAID works. Investors and businesses look to emerging markets for better returns and new opportunities. However, investing in these markets is complex, and investors can encounter poor risk-reward ratios that make investment unattractive. INVEST helps address these challenges and facilitates work between USAID and partners in the investment community and the private sector. 

Mobilizing investment into high-impact areas requires working with firms that have valuable, sector-specific expertise, including many organizations that have not worked extensively with USAID in the past. INVEST employs user-friendly procurement and subcontracting processes that level the playing field, ensuring that USAID can work with the best firm for the job, regardless of that firm’s size, location, or previous experience with government contracting.  With 39 USAID Missions, Bureaus, and Independent Offices participating, INVEST's activities spanned over 80 countries.

WHAT WE DO

By reducing barriers for investors, INVEST mobilized investment for development and channeled private capital into high-impact regions and sectors.

INVEST Theory of Change

 
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Donors (e.g. USAID) support activities that enable private capital mobilization ... BLENDED FINANCE APPROACHES • Investment opportunity assessments • Structuring of funds and financial istruments • Catalytic funding • Transaction advisory services • Technical assistance ... that result in investment being directed to priority sectors... ADDITIONALITY • Capital mobilization • Acceleration • Sources of finance • Innovative finance • Safeguarding mission • New financial intermediaries • Demonstration effe

INVEST’s work can be categorized under four pillars of support:

Investment Opportunity Assessments
INVEST helped USAID understand market conditions and identify investment opportunities.

Structuring Funds and Financial Instruments
INVEST designed or structured blended finance funds, investment platforms, and other financial products.

Transaction Advisory Services
INVEST helped link capital suppliers to businesses that need investment to grow.

Technical Assistance
INVEST helped strengthen the commercial viability of a project at pre-or post-investment stages by developing the capabilities of fund managers or the businesses and projects in which they invest.

INVEST Transaction Support

As of the end of the project in September 2024, INVEST mobilized $1.61 billion in capital and closed 156 transactions across 14 USAID priority sectors; project activities will continue to mobilize investment for development impact for years to come.

For example, USAID INVEST helped Nigeria's Tomato Jos raise $4.4 million in equity and helped the African healthcare technology company Field Intelligence complete a $3.6 million investment round.

USAID Finance and Investment Network

At the core of INVEST’s work was the USAID Finance and Investment Network, a partner network of firms that have experience in investment and development. This network enables USAID to access the technical expertise needed to catalyze investments that lead to positive development results. INVEST subcontracted members of the network through a streamlined but rigorous procurement process.

Between 2017-2024, the USAID Finance and Investment Network grew from 26 to almost 600 members
 
Learn more about the USAID Finance and Investment Network. 

 

How Invest SupportED New and Nontraditional Partners

Facilitating investment requires working with private-sector firms that have valuable sector-specific expertise within blended and innovative finance. Many of these firms have not worked extensively with USAID in the past. USAID refers to these firms as “new and nontraditional partners.”

These partners often have niche expertise informed by on-the-ground experience. They bring different perspectives, distinct skill sets, and fresh insights to solving development challenges. USAID recognizes that these partners, especially small and local firms, can strengthen local capacity, provide specialized know-how, and deepen local markets. Unfortunately, these firms often do not have much experience with government proposal submissions or contracting paperwork.

INVEST employed user-friendly strategies that make it easier for a broader and more diverse group of partners to work with USAID.

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INVEST offers Technical Support in the form of Transaction Advisory Services, Investment Opportunity Assessments, Structuring Funds and Financial Instruments, and Technical Assistance. These offerings mobilize private capital for better development results.

Learn more about how INVEST supported new and nontraditional partners

INVEST Stats and Stories

INVEST Final Report

Learning & PUBLICATIONS

Check out the INVEST Publications page to find INVEST's major reports and learning products, and visit the INVEST learning resource guide for a comprehensive list of INVEST learning resources, case studies, databases, and more.

 

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