Impact results

Below you may find a collection of the latest impact figures representing different aspects of Finnfund’s investment portfolio. These results are also an integral part of Finnfund’s Annual Report.

A collection of impact stories from out investee companies can be found here.

Studies and assessments can be found here.

Key impact figures 2022

Due to the timeframe for collecting the data from Finnfund’s investees, the figures representing the direct impact indicators on the following pages are from 2022. Data for 2023 will be presented in the 2024 Annual Report.

As Finnfund’s investment portfolio kept growing in 2022, so did the aggregate impact of our investments. The content of our investment portfolio is constantly changing, which is good to keep in mind if comparing figures across years.

We make 20–30 new investments each year, while we also exit old investments. Portfolio-level data gives a good overview of the types of investments in the portfolio, even if it does not show the impact of an individual investment over time. Most of the figures in this report (with the exception of climate data and portfolio impact index) are the direct impact indicators that have been provided by the investee companies, and they do not reflect the proportion of Finnfund’s investment. In most cases, this report presents the overall results to which Finnfund has contributed.

Exceptions to this are the portfolio impact index and the measurement of climate effects. For the latter, Finnfund applies the PCAF standard, and it subsequently presents results directly attributed according to our share of funding.

The data was collected in 2023 using an online questionnaire that was sent to all portfolio companies. The response rate was 97 per cent (117 companies in total).

Portfolio Impact Index

The portfolio impact index (PII) was constructed to track our strategic target of doubling our impact by 2025. Each sector is assigned a key impact indicator that captures both portfolio growth and investee-level impact growth.

The index takes into account Finnfund’s financing share, hence attributed, and the relative size of each sector in Finnfund’s portfolio. The baseline is set to 2020.

Sector specific impact key performance indicators (KPIs) are:

• Sustainable forestry: Sequestrated CO₂. While forestry investments have multiple impact pathways, a key reason to invest in forestry is the sequestration potential of growing forests.
• Renewable energy: Avoided CO₂. Energy plays a key role in helping countries to develop. Increasing energy production by investing in clean and more affordable energy production is at the heart of this development.
• Sustainable agriculture: Number of people fed or smallholder farmers reached. Local food production and enhancing local agriculture value chains help to increase food security and create inclusive livelihood opportunities.
  • Financial institutions: Number of loans to micro, small and medium sized (MSME) companies. Limited access to financial services remains a fundamental constraint on development in most of Finnfund’s target countries.
  • Digital infrastructure and solutions: Number of users / beneficiaries. Access to digital services is vital for
  inclusive development for people especially in rural regions.
  • Other: Number of jobs in the investee company (full time equivalent).

For other impact results, please see our Annual Report 2023.