Our impact goals
Triple I investments in Small and Medium size Enterprises (SMEs) to improve the lives of small-scale farmers, women, youth and that of their household members. To maximize our contribution to an improved livelihood, we focus our support on businesses that have an (expected) positive effect on one or more of the following 3 impact areas:
• Creating jobs or increasing incomes for women and/or youth in low-income market segment;
• Increasing incomes for smallholder farmers through an improved position in the supply chain
• Making services or products that improve the lives of low-income market segment (best case: smallholder farmers, women or youth) available and/or affordable
Through these impact goals we contribute to the following Sustainable Development Goals (SDGs) as defined by the United Nations: #1 No poverty, #5 Gender equality, #8 Decent work and economic growth, and #12 Responsible Consumption and production. Throughout an investment period we work together with entrepreneurs on one or more of the following social milestones;
1. Creating jobs
2. Increasing opportunities for female employees
3. Improving market position female traders, farmer suppliers and consumers
4. Creating more/stable income for staff and suppliers
5. Strengthening position farmer suppliers in value chain
6. Improving working conditions of staff
7. Investing in sustainable products that do not harm the environment disproportionally
8. Producing products for underserved market segment
Entrepreneurs in the lead
Creating impact starts with the entrepreneurs. Given their direct involvement in the local markets within which they operate, our investees are best positioned to realize opportunities for benefit capture at the local level and create value for all parties involved. As a consequence, we view local entrepreneurs as important partners in achieving our development mission. Therefore we prefer to work with entrepreneurs who share our vision and commitment to sustainable development and who wish to improve their ability to manage ESG issues within their business activities, which at the same time provides them with the potential opportunity to enhance their own competitive advantage.
We focus on socially-dedicated entrepreneurs. These entrepreneurs have a “social heart”, they are driven to create with their business a positively effect on the people and/or the environment/community around them. Their impact is related to the core business and is not coming from charity or corporate social responsibility activities outside of core business processes. Triple I helps entrepreneurs to realize their dreams to improve the lives of the people in their community or have a positive effect on their environment.
Our results are bi-annually monitored and updated. We have a much broader measurement framework and social impact assessment which is described in our Annual Social Report. To give an impression of our outreach and scale of activities, below a few key indicators.
*Latest update of these numbers was March 2019.
How we realize impact
We use a standardized impact management framework throughout the full life-cycle of an engagement.
First, we start with a quick scan to check the eligibility criteria. The social criteria are of decisive importance. We do not invest in companies which are active in sectors and/or products that are on our Exclusion List. The exclusion list relates to activities that out of their nature are not supported by Oxfam Novib. Next, throughout our due diligence research we verify an extensive list of Environmental, Social, and Govenance (ESG) criteria.
Second, we incorporate social milestones in the loan agreements including measurable conditions precedence and best effort obligations.
Thirdly, investees provide updates on their impact performance as part of the regular bi-annual reports. The bi-annually reporting process ensures regular assessment of performance against targets. This hands-on approach enables us to collaboratively learn and improve the impact of businesses and adhere to good governance principles to achieve our mission.
Fourthly, we keep our stakeholders informed through bi-annual updates of our website, shareholder update reports and our Annual Social Report.