LeapFrog Raises $44 Million for World's First Microinsurance Fund
The capital was raised from a diverse set of public and private investors around the world, including the European Investment Bank (EIB), FMO, Omidyar Network, Triodos-Doen, Hivos-Triodos Fund, ACCION International, Calvert Large Cap Growth Fund, wealth manager
"The world desperately needs market-based solutions to poverty that draw in major financial investors by offering fair but competitive returns," said Dr.
Numerous studies have demonstrated that low-income people in developing countries are willing and able to pay for a safety net that protects their family or business, but they can't access affordable and quality insurance. The 100 Country Landscape Report by the Microinsurance Center estimated a market size of one billion people, but found that less than three percent of these people now have any kind of insurance.
When launching LeapFrog at the Clinton Global Initiative annual meeting in 2008, President
"At a time of global financial crisis,"
In announcing their investments today, institutional investors emphasized the significant social impact of this for-profit fund:
- "The future of financial inclusion lies in moving microfinance beyond credit, offering the working poor the suite of financial tools that we (in developed countries) take for granted," said
Monica Brand, a Principal Director of ACCION.
- "Microinsurance is life-changing because it enables people to overcome unexpected events and better plan for their future," said
Matt Bannick, Managing Partner of Omidyar Network.
- "Promoting sound access to financial services through the private sector is a key element in achieving poverty alleviation and economic development," said EIB's Vice President, Plutarchos Sakellaris.
- LeapFrog's investment approach "will harness the power of entrepreneurship as a driver for economic development," said FMO's Chief Investment Officer,
- "We want to contribute to the creation of an inclusive financial sector," concluded
Femke Bos, Fund Manager at Triodos.
LeapFrog is holding a ceremony to mark the raising of this historic fund, on
SOURCE LeapFrog Investments