8 July 2025 – For years, blended finance —utilizing public development funds to attract private investment in developing countries —has been touted as a powerful means to bridge the financing gap for achieving the Sustainable Development Goals (SDGs). However, with this gap currently standing at US$4 trillion, according to data from the United Nations Department of Economic and Social Affairs (UN DESA), blended finance is not living up to its potential.
“Blended finance can unlock private capital for sustainable development,” said UN Under-Secretary-General Li Junhua in opening remarks on Wednesday at a standing-room-only UN DESA Global Policy Dialogue on “Reimagining Blended Finance: Aligning Capital with the…