IMPACT INVESTING IN KENYA, MAURITIUS AND SOUTH AFRICA
As impact investing gains momentum worldwide, traditional and thematic investors are increasingly interested in African opportunities and the approaches of various African policy-makers and regulators to ‘purpose-driven’ enterprises and financial products.
Lexology’s Impact Economy Digital Edition, 2021 is a valuable aid to understanding this shifting legal and regulatory landscape. Bowmans, with a presence in seven countries in Africa and a global reputation for thought-leadership in ESG, impact and sustainable investing, has contributed the chapters on Kenya, Mauritius and South Africa, which are available as follows: Kenya, Mauritius, South Africa.
Each chapter contains answers to 30 key questions of interest to business and investors, starting with impact investing from a policy and legislative perspective and then drilling down into the detail. Aspects covered range from ESG disclosure and reporting to impact investing incentives, financial tools and support from government, NGOs and supranational organisations. Recent developments, hot topics and future trends are also addressed.
A development to watch in Kenya, for instance, is a much-anticipated announcement on the commencement of the Public Benefit Organisation (PBO) Act 18 of 2013. Once gazetted, the PBO Act will provide a more enabling context for purpose-driven organisations that pursue economic, environmental, social or cultural objectives.
In Mauritius, only the real estate sector, particularly smart city development and developments under the Property Development Scheme (PDS), is currently subject to ESG-related regulation. Smart city projects are required to carry out both environmental and social impact assessments, while PDS projects must do social impact assessments in relation to neighbouring communities.
In South Africa, the 2019 Guidance Note on Sustainability of Retirement Fund Investments and Assets, the 2020 Draft Technical Paper on Financing a Sustainable Economy, and the Government’s economic recovery strategies have drawn sustainable and impact investing into the focus of traditional institutional investors and financial product suppliers.