Global bank Citi has announced $150 million Impact Fund to invest in private sector companies deploying projects that have a positive impact on society.
The fund will help address four challenges including:
- Workforce Development – solutions that train and connect people to careers.
- Financial Capability – solutions that increase access to the financial system.
- Physical and Social Infrastructure – solutions that improve an individual’s way of life through housing, healthcare and transportation.
- Sustainability – solutions that address issues related to energy, water and sustainable production.
The fund will focus on businesses led or owned by women and minorities.
Up to $10 million in funding will be allocated to projects have demonstrated a proof of concept, built an existing customer base, secured prior rounds of funding and exhibited the potential for scale in multiple markets.
The project is the largest fund of its kind to be launched by a bank using its own capital.
Michael Corbat, the CEO of Citi, said: “It takes companies of all sizes to address the challenges our society faces today.
“While Citi’s global footprint and scale allow us to use our balance sheet to play an important role, smaller, newer, ‘double bottom line’ companies play an equally important role in driving change.”
Ed Skyler, Executive Vice President, Global Public Affairs at Citi, adds: “The gender and ethnic gap in the startup world is very real, with reports showing a small fraction of venture capital funding being allocated to women and minority-owned startups.
“Our intention is to not only help these businesses scale and thrive but to also shine a light on the investment opportunities among this pool of often overlooked, high potential entrepreneurs.” Additional information may be found at www.citigroup.com