Rabobank launches impact foundation

Rabobank has launched a new foundation dedicated to impact investing.

The Rabo Impact Foundation has an initial endowment of EUR 102 million and a target of EUR 1 billion and is described as an independent public benefit foundation focusing on social transitions that misses out on usual sustainable financing.

The foundation focuses on six areas: energy and food system transitions, circularity, water – and in the Netherlands, healthcare and affordable housing. It then focuses on three types of activities: investments in large-scale projects that develop new sustainable markets or infrastructure , new sustainable and innovative concepts and the support of enterprises that have moved beyond the start-up phase but are not yet attractive to conventional investors.

Lizette Wolters, interim CEO of the Rabo Impact Foundation, said, “We see, for example, that housing cooperatives consistently face a financing gap. Even when banks, government, and members contribute as much as they can, a structural shortfall remains. That portion is nearly impossible to finance. By taking on exactly that part, we can get these projects off the ground. That allows us to create new housing models that remain affordable and support strong communities. We lower the barrier today so that these projects can be financed conventionally in the future – meaning we ultimately will no longer be needed for this type of funding.”

“As a foundation, we always critically assess whether an investment can truly contribute to system change,” she continues. “Our goal is for market financing to take over in the long run. And any investment must demonstrably serve the public good – not a single company or individual benefiting from the foundation’s funds.”

END