Blended Finance: Understanding Its Potential for Agenda 2030

This report provides a foundational overview of blended finance, discussing its origins, mechanisms, and its potential to support the 2030 Agenda for Sustainable Development. It analyses the effectiveness and risks of combining official development assistance with other public and private resources to fund development activities. The paper stresses the critical importance of strong governance, transparency, and clear data standards to ensure that blended finance delivers on its development promises. It calls for collaborative financing approaches that prioritize genuine development additionality and accountability to achieve the SDGs.