Sustainable Growth Approaches

People sometimes see Acumen raising large amounts of commercial capital and assume we no longer need philanthropy. No sooner had we announced $250M for our Hardest-to-Reach fund — to bring off-grid light and electricity to 70 million people across 17 of Africa’s most challenging markets — than some concluded Acumen must be set. In fact, the opposite is true. First, let me acknowledge how tough this fundraising environment is. I couldn’t be prouder of the team and partners who made our Hardest-to-Reach announcement possible after 2.5 years of relentless effort. And yet it’s worth underscoring: none of this would have been possible without philanthropy. Philanthropy is the first mover. It allows us to place early bets in fragile markets like Malawi and Benin, cover the development costs needed to structure and raise investment across the capital spectrum and provide the technical assistance that builds capacity. To put a finer point on it: of the nearly $250M raised for Hardest-to-Reach, more than $80M is philanthropic. That risk-taking anchor made it possible to prove new models — and ultimately unlock institutional investment. During Climate Week last month, I met philanthropists who see this as the time to pivot from grantmaking toward impact investing. While I understand the instinct, I want to offer a reframing: it’s not either/or. If you want your capital to have lasting impact, there may be no better use than catalytic philanthropy — especially when deployed through blended finance models like Hardest-to-Reach. Philanthropy cannot see itself at the margins. It is catalytic capital — risk-taking, patient, and unabashedly impact-first — creating the conditions for commercial capital to follow. And it's more important now than ever as traditional aid shrinks and many governments shift from grants to investment approaches. At Acumen, philanthropy from donors at all levels remains our bedrock. It enables us to reach the hardest-to-reach, build inclusive markets where none exist, and keep social impact at the center of everything we do. And because solving problems of poverty is Acumen’s mission, raising philanthropic capital will remain essential to our work.

Louder for the people at the back 🎤 Many organisations today seem to have shifted from being institutions that develop great talent to those that primarily seek ready-made talent. This trend overlooks the immense value of individuals who, despite lacking experience, possess a great attitude, commitment, and a team-oriented mindset. These qualities often outweigh the drawbacks of hiring experienced individuals with a fixed and toxic mindset. The best organisations attract talent with their best years ahead of them, focusing on potential rather than past achievements. Let’s be clear this is more about mindset and willingness to learn and unlearn as apposed to age. To realise the incredible potential return, organisations must commit to creating an environment where continuous development is possible. This requires a multi-faceted approach: 1. Robust Training Programmes: Employers should invest in comprehensive training programmes that equip employees with the necessary skills for their roles. This includes on-the-job training, mentorship programmes, online courses, and workshops. 2. Redefining Hiring Criteria: Organisations should revise their hiring criteria to focus more on candidates’ potential and willingness to learn rather than solely on prior experience or formal qualifications. Behavioural interviews, aptitude tests, and probationary periods can help assess a candidate's ability to learn and adapt. 3. Partnerships with Educational Institutions: Companies can collaborate with educational institutions to design curricula that align with industry needs. Apprenticeship programmes, internships, and cooperative education can bridge the gap between academic learning and practical job skills. 4. Lifelong Learning Culture: Encouraging a culture of lifelong learning within organisations is crucial. Employers should provide ongoing education opportunities and support for professional development. This includes continuous skills assessment and access to resources for upskilling and reskilling. 5. Inclusive Recruitment Practices: Employers should implement inclusive recruitment practices that remove biases and barriers. Blind recruitment, diversity quotas, and targeted outreach programmes can help ensure that diverse candidates are given a fair chance. By implementing these measures, organisations can develop a workforce that is adaptable, innovative, and resilient, ensuring sustainable success and growth.

🌍 You wouldn't know it from the news, but more than twice as many companies are increasing their climate commitments than backtracking! A new report by PwC and CDP shows that despite anti-ESG moves in some areas, sustainability and climate action are not at all dead, or even dormant! 💡 𝗦𝗼𝗺𝗲 𝗸𝗲𝘆 𝗳𝗶𝗻𝗱𝗶𝗻𝗴𝘀: - The number of companies making climate commitments continues to grow. - More than 4,000 reported through CDP in 2024, up nine-fold over the last 5 years. - 84% of companies are maintaining or strengthening their climate ambition - 37% of companies are increasing their ambitions while only 16% are getting less aggressive. - 83% of companies report R&D investment in low-carbon products and services. - Products featuring sustainability attributes can achieve a revenue increase of 6% to 25%+ over products without such emphasis. - The commitments are durable through leadership transitions: Companies stand by their commitments even after a departing CEO’s successor is hired. 𝗠𝘆 𝘁𝗮𝗸𝗲: These results should hearten anyone who feels lonely in their sustainability team or that everyone is backing away. Neither of those things are true. This fits into the conversations I've been having with firms about 2025 being a year of implementation. More work than ever before is going into integrating sustainability across the firm and using its data and insights to navigate a rapidly changing world. #climate #netzero #decarbonization #sciencebasedtargets #ESG #sustainability Net Zero Tracker SBTI

Sustainable Finance Catalysts 🌎 Scaling climate finance requires capital and an enabling system of actors that can align incentives, reduce risks, and mobilize resources at scale. The table developed by S2G Ventures is a great tool to understand the different players within this ecosystem and the roles they can take. Governments are critical. Through regulation, taxation, subsidies and policy signals they shape investment flows. Convening organizations accelerate collaboration. By establishing standards and connecting stakeholders they support the adoption of best practices. Academia and think tanks provide evidence and research. Their independent insights inform asset owners and policymakers. Consultants support strategy. They guide asset owners through change management, design of frameworks and operational alignment. Catalytic capital helps de risk investments. Philanthropy and concessionary finance can crowd in private capital for climate projects. Corporates act as recipients and enablers. They bring knowledge of transition risks and opportunities while offering investable projects. General partners and intermediaries implement strategies. They build track records, design innovative structures and connect asset owners to opportunities. The strength of this system lies in its interdependence. No single actor can scale climate finance alone. Impact emerges when these roles reinforce one another. This perspective reframes the challenge. Climate finance is an ecosystem effort that requires coordination across actors. Recognizing and strengthening these catalysts is essential to mobilize capital at the scale required for the transition. #sustainability #business #sustainable #esg

While the development sector panics about funding cuts, 17 individuals now control more wealth than the entire annual global aid budget. What would happen if just 3 of them redirected 10% of their fortunes toward results-based development? We wouldn't be lamenting lost government funding. The real crisis isn't what we're losing at this moment – it's our hesitation to harness resources available elsewhere. As I shared with Phil Johnstone on the Collab podcast, I see 3 concrete paths forward in this post-USAID landscape: 1️⃣ Follow the real money The big money has to come from the private sector, and it has to be crowded in. We already know what many of the tools are – guarantees, development finance, first-loss capital, cash transfers. We know how foundations and development finance institutions can create markets, de-risk investments, and build market infrastructure. These approaches haven't come to scale before, but now they must. 2️⃣ Shift from aid administration to results achievement We need a results-oriented revolution focused on what we're trying to achieve: economic growth, higher literacy rates, reducing child mortality. How do we unleash potential and fund solutions with the best ROI? This requires creating market dynamics where the best ideas bubble up – and those ideas will come from the communities themselves. It's not going to be someone coming in from overseas who pulls communities out of poverty. 3️⃣ Redirect philanthropy's untapped potential Part of the wealth inequality that's grown in the world has led to 17 individuals now worth over $100 billion each. If even a few of them engaged at the scale that Bill Gates has, it would transform global development. Philanthropists looking at today's challenges don't need to replicate USAID – they can use their fortunes to drive targeted, effective change in ways government agencies never could. For young people wondering whether development careers still make sense – absolutely, but bring knowledge of finance, technology, and technical skills, along with your passion and entrepreneurialism. The sector needs these capabilities more than ever. The thin silver lining in all this? This is an opportunity to build something new. I don’t know about you, but I don’t necessarily want to defend the old system. It was Global North-centered, inefficient, and constrained. We can now build something better using market mechanisms, leveraging technology, and putting decisions in the hands of people in their communities. Hear our full conversation: #LIPostingDayApril

As India struggles to find its next economic growth engine, I came across this excellent post by Arvind Mayaram asking whether economic inclusion could be our next growth engine. I don't just believe it can be, I believe it must be. But let me push the question further: what would inclusion as a growth engine actually require? Edmund Phelps argued in Mass Flourishing that sustained prosperity doesn't come from capital or policy alone. It comes from broad-based participation in innovation. Not just consuming growth, but generating it. Ordinary people solving ordinary problems, at scale. That's precisely what's missing in India's current model. We have built growth on a narrow base — a thin layer of globally competitive firms, a large informal economy largely untouched by productivity gains, and a missing middle in between. At GAME, we see this daily. India has 63 million MSMEs. Most are trapped. Not for lack of ambition, but for lack of access to markets, capital, skills, and now, increasingly, to AI-powered tools that larger firms take for granted. Karnataka's wage initiative and Rajasthan's investment reforms are both necessary. But neither is sufficient. What India needs is a third lever: a deliberate policy architecture that builds the productive capacity of small enterprises and the people who run them. Amitabh Kant V Anantha Nageswaran Archna Vyas GAME - Global Alliance for Mass Entrepreneurship Phelps called this "mass flourishing." I would call it mass entrepreneurship. And it isn't charity. It's the most underutilised source of demand, innovation, and employment India has. The real debate isn't between equity and efficiency, or between Karnataka-style wage floors and Rajasthan-style ease of investment. Both matter. But wage floors without purchasing power create costs without buyers. Investment ease without productive capacity creates supply without demand. What connects them is a thriving, productive small enterprise sector — one that generates jobs, income, and innovation from the ground up. The question isn't whether India can afford inclusion. It's whether we can afford to keep leaving it out of the growth equation.

Climate action is increasingly good for business.   That's the bottom line spelled out clearly by a new open letter from CEOs representing businesses of $4 trillion in annual revenues, 12 million employees, and ~5 Gt of CO₂ emissions:   The CEO alliance of 130+ companies under the World Economic Forum has reduced planet-heating emissions in their businesses by 12%, all the while growing revenue by 20%.   The transition away from fossil fuels is a historic opportunity to boost economic growth, scale innovation, unlock trillions in investment, and create 10 million jobs by 2030.   Ahead of COP30, these CEO leaders now urge deeper collaboration between government and businesses to tap into this immense opportunity.   #COP30 is a crucial moment to reinforce the powerful economic and business case for bold climate action – to empower all communities, businesses, and economies to benefit from more growth, sustainable development, jobs and resilience. Read the alliance’s open letter in full here: https://lnkd.in/eKp9tqWW

Catalytic Capital for the Agriculture Transition (CCAT) is a bold new collaboration designed to make restoring degraded land in Brazil more productive and profitable for farmers. The Nature Conservancy is proud to serve as Environmental and Social Impact Advisor to this effort. This exciting initiative was announced in a rousing session at the Climate Implementation Summit in São Paulo — followed by an important discussion on accelerating action with our own Greg Fishbein. Managed by VOX Capital and launched with a $50 million founding commitment from the Gordon and Betty Moore Foundation and NICFI - Norway's International Climate and Forest Initiative—alongside support from Margaret A. Cargill Philanthropies, Instituto Arapyaú, and Porticus—CCAT brings patient, flexible capital to: 🌱 De-risk investment in sustainable agriculture and land restoration 🌱 Expand credit and incentives for farmers restoring already-cleared land 🌱 Support financial institutions and supply chains in meeting deforestation-free sourcing and national pasture recovery goals This initiative fills a critical market gap identified by Innovative Finance for the Amazon, Cerrado and Chaco (IFACC Initiative). By bridging early-stage risk and private investment, CCAT shows how catalytic finance can turn proven models into scalable markets—boosting productivity, resilience, and rural livelihoods while keeping forests standing. This is catalytic capital in action: helping farmers grow more, earn more, and protect more. Learn more 🔗 https://lnkd.in/eHnYWtvE #CCAT #NatureFinance #COP30

CFOs are rewriting the risk register. Not because the politics changed. Because the numbers did. Carbon exposure is now quantifiable, material to valuation, and on the radar of a growing number of investors. What strikes me is that the CFOs who get this aren't treating it as a compliance problem anymore. They're turning it into a competitive advantage. Because that's exactly what it is. Climate data is reshaping capital allocation decisions from site selection, expansion to major capex. Investors are repricing portfolios through the lens of physical and transition risk. Companies that can demonstrate credible resilience are strengthening their position with customers, shareholders, and teams alike. This is a resilience conversation now. The ones that wait face higher costs later —  compliance, adaptation, supply chain — with fewer options on the table. That's why Greenly | Certified B Corp's UK launch stopped me in my tracks. They took The Economist's iconic format and rebranded it The Ecologist across the London Underground. One message: environmental intelligence belongs on the same shelf as economic intelligence. We just kept them in separate rooms for too long. Greenly didn't just launch a campaign. They closed a gap that's saved us years. Now, more than ever, we need the City’s rigour applied to climate because we are already seeing that the strongest companies aren't trying to "manage climate risk" anymore. They're using climate intelligence to run the business better. That's where resilience becomes a competitive advantage, not a cost centre. How are you seeing this shift play out? AD Image Credit: Greenly | Certified B Corp

🎙 New Podcast Episode: Sustainability and Strategy 🌍💼 I recently joined Deepak Bhatt on his podcast to discuss how sustainability is redefining corporate strategy and what it takes for businesses to thrive in an era of disruption. 🌱 It was a deep dive into the complex challenges we face, as well as the opportunities for meaningful change. 🌟 Some Key Themes from Our Discussion: 1️⃣ Strategy for a New Era: Traditional approaches to strategy often treat financial, environmental, and social goals as separate. I argue that thriving businesses must align these objectives, as the competitive landscape is fundamentally shaped by ESG issues. 2️⃣ Balancing Costs and Opportunities: Sustainability means acknowledging rising costs as businesses address previously overlooked impacts—whether in supply chains, emissions, or labour conditions. But it’s also about innovation and growth: from clean energy to inclusive markets. 3️⃣ Systems Thinking: Environmental and social challenges are deeply interconnected. Addressing them in isolation risks failing to understand the broader systemic issues, which require holistic, long-term approaches. 4️⃣ Authentic Leadership: Leaders must not just talk about purpose and sustainability—they must live it. In this context, leadership becomes a cultural shift, fostering transparency, stakeholder trust, and genuine commitment. 🔬 Some Future Research Directions: The field of sustainability and strategy has immense potential for growth. Some areas I highlighted in the podcast include: 🌍 Exploring SMEs and Family-Owned Firms: Beyond public corporations, understanding how these businesses navigate sustainability is critical. 🧠 Driving Sustainable Innovation: What makes innovation in sustainability unique, and how can it be scaled? ⚠️ Curbing Greenwashing: Investigating its drivers, impacts, and the regulatory and policy responses needed. 🌏 Focusing on Developing Economies: There’s much to learn about sustainability practices where data is limited but challenges are often more pressing. 💡 On Positive Scholarship: I shared my concerns about how academic discourse around sustainability and ESG have become increasingly divisive. Instead of fostering collaboration and building on each other’s work, we’re seeing a rise in ideological attacks and sensationalism. Science must remain a process of collective learning, where we iterate, challenge, and improve without undermining the integrity of prior contributions. Sustainability research is a social science—complex, context-dependent, and constantly evolving. Progress comes from embracing that complexity and engaging constructively with one another to address the systemic challenges we face. 🎧 Listen to the full episode here: https://lnkd.in/d6_JYcS5 I’d love to hear your thoughts. How do you see sustainability reshaping business, leadership, or academia? #Sustainability #CorporateStrategy #Leadership #Innovation #PositiveScholarship