Home ImpactSustainability SustainabilityEnvironmentally, socially, and economically sustainable business practices are a prerequisite for positive impact. Sustainable, responsible business practices add value to investments and contribute to generating a positive impact. They play a key role in the risk management of each project and in ensuring that the “do no harm” principle is respected in our investments, as it helps to anticipate unexpected risks and impacts, enhances cooperation with stakeholders, and strengthens the social licence to operate. Simultaneously, responsible and environmentally, socially, and economically sustainable business practices can improve the operational and financial performance of a company, enhance employee wellbeing and commitment, and bring a competitive advantage. Impact creation in Finnfund’s investment process. When financing private companies, financial profitability is key to creating an impact. If a company fails to keep its business running, it will not achieve the desired impact. Therefore, the viability of the business model is another prerequisite for Finnfund’s investment. Therefore, we have three criteria for every investment: positive impact, sustainability, and profitability. All these aspects also play an integral role in our investment process. Most of our investee companies also have community development projects alongside their core business activities. This is particularly typical of businesses operating in remote rural areas where public services are weak. What the company does – and how it works… Economic sustainability – profitability, responsible tax Environmental and social sustainability – responsible business practices and risk management Corporate governance – how the company is managed Know-your-customer – we want to know the people we work with … generates posive impacts Direct effects such as good jobs, training, better infrastructure, financial services, clean energy Indirect effects such as local purchases of products and services in supply and distribution chains Positive impact in wider society, such as taxes, poverty reduction, climate change mitigation and adaptation Leverage and impact through cooperation Together with like-minded investors, such as the other members of the Association of European Development Finance Institutions (EDFI), Finnfund builds leverage and maximises impact and sustainability in its investments. Finnfund has endorsed the EDFI Principles for Responsible Financing of Sustainable Development and the Operating Principles for Impact Management (OPIM). We have aligned our practices and investee requirements with the jointly agreed harmonised minimum environmental and social requirements applicable to EDFI co-investments, including the Exclusion list. News News 05 March 2026 Finnfund’s Economist Tangeni Shatiwa: A weaker dollar is steering global investors toward emerging markets International investors are now allocating funds to emerging market (EM) assets at the fastest… News 23 February 2026 Finnfund’s Hanna Loikkanen: Impact investing captivates private investors The allure of impact investing among private investors is surging, with an increasing number… News 19 February 2026 Finnfund expands support for digital infrastructure and climate action in South Sudan with follow-on investment in CREI Finnfund, the Finnish development financier and impact investor, makes a follow-on investment in Communication… News 29 January 2026 Finnfund’s Uusihakala: “Fixed broadband is the key to tackling poverty in developing countries” The three digital divides The Coverage Gap refers to people living in areas without… News 28 January 2026 Finnfund strengthens support to women entrepreneurs in Pakistan through Kashf Foundation Finnfund has announced a follow-on loan of 10 million US dollars to Kashf Foundation… News 26 January 2026 Finnfund’s Jussi Tourunen: “Energy solutions impact our planet’s future—Planetary boundaries now guide investment decisions” Investing in energy has become an increasingly central theme for development finance institutions such… News 22 January 2026 Softlogic Life sets up growth roadmap with long-term capital from OP Finnfund Global Impact Fund I and Norfund Softlogic Life Insurance PLC, Sri Lanka’s leading life insurer, has secured a landmark 15… News 21 January 2026 Finnfund announces new investment in Indian green financing Finnfund has announced a 12 million US dollars senior secured loan facility to Mufin… News 20 January 2026 Finnfund invests in Transvolt Mobility to support the electrification of heavy commercial vehicles in India Finnfund, the Finnish development financier and impact investor, announces a 15 million US dollar… Blog 08 January 2026 Juho Uusihakala From connection to opportunity: Why investing in digital infrastructure matters Access to affordable, high-speed internet is no longer a luxury but a prerequisite for… Scroll left Scroll right Reports and publications Finnfund Insights: Focus on Nigeria Nigeria is Africa’s second-largest economy (in purchasing power parity terms) and is the 15th-largest… Finnfund Insights: Focus on Kenya About the report Kenya is the largest economy in East Africa and the fourth… Annual Report 2024 Hewatele, Kenya – Impact Performance Report Annual Report 2023 Finnfund Insights: Focus on Vietnam About the report Vietnam is one of the fastest-growing economies in Southeast Asia and… Annual Report 2022 Annual Report 2021 Review paper: Smallholder integration into commercial value chains through agricultural traders and local food security Background This study, contracted by Finnfund and conducted by E2 Research, aims at describing… A way to recovery: Trends and analysis on the impacts of the COVID-19 on markets and businesses in developing countries The COVID-19 pandemic has been an unprecedented shock to the world economy. 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