DEG new chair of 2X Challenge

Promoting women’s economic empowerment in developing countries - that is the goal of the 2X Challenge, launched during the G7 Summit in Canada two years ago. DEG now steps in as the new Chair of the initiative.

The 2X Challenge was launched by the G7 development finance institutions as a major commitment to mobilize USD 3 billion by 2020 to help advance women as entrepreneurs, as business leaders, as employees and as consumers.

Just two years later the development finance institutions have already committed and mobilized a total of USD 4.5 billion in gender-smart investments. DEG itself has so far provided financings totalling USD 490 million. These include an investment in Asia’s first gender bond. The funds from the bond are targeted towards the refinancing of SMEs that are majority-owned or mainly run by women.

2X Investment Criteria used as new global standard

In recent months the initiative has welcomed new members from the world of development finance. The 2X Investment Criteria are today regarded as the global industry standard for gender-lens investing that investors use as guidance. Commercial investors also plan to join the 2X Challenge in the future. A new funding target - the next challenge - will then be set for the period 2021-2022.