CDC Group is the UK’s Development Finance Institution (DFI). Following a change of strategy, CDC asked Steward Redqueen to develop a methodology to maximise the development impact of its investments.
In close cooperation with CDC and the UK’s Department for International Development, we designed a “Development Impact Grid”, a model that assesses the potential development impact of investments.
The Grid distinguishes two drivers for development impact: (i) the difficulty to invest in the country where the investment is made (i.e. where the need for investment is greatest) and (ii) the potential development impact of a sector (propensity of that sector to create jobs or remove constraints to economic growth).
The Grid is an easy-to-use tool that allows CDC to score and compare investment opportunities on the basis of their potential development impact. This helps CDC to better execute its core strategy of investing capital where it is most needed and has the highest positive impact on people’s lives.
Click here for more detailed info on the Grid.