Background facts InsuResilience Investment Fund (IIF)

The InsuResilience Investment Fund (IIF), which was designed and is being co-financed by Germany through KfW, makes equity investments in, and provides loans to, private insurance companies and intermediaries with activities in developing countries in order to give up to 100 million people poor and vulnerable people access to climate risk insurance.

IIF investments are helping in India, for instance, to expand the weather data measurement infrastructure (especially automated weather stations) and other services for weather insurance in many additional rural districts, collecting the data needed for India's agricultural insurance companies. This is giving an additional 24 million poor rural people access to the agricultural insurance programme.

The Fund is the first investment fund that is organised on a private-sector basis and focuses on financial protection against extreme weather for poor and vulnerable people. The establishment of the Fund was initiated and financed by Germany, based on the extensive experience gained in Germany's Financial Cooperation with impact investment funds. It combines debt capital and equity capital in two partial funds which facilitate separate investments. Its purpose is to mobilise capital from private investors who seek to generate financial and social dividends at the same time. Contributors include the Soros Economic Development Fund (SEDF) and various Swiss pension funds.

Germany also uses the Fund to support the world's largest private climate risk insurance programme, the African and Asian Resilience in Disaster Insurance Scheme (ARDIS) (External link) run by VisionFund International (External link).