What We Do /
Catalytic financing

 

SHF propose a paradigm shift in how sanitation, hygiene and menstrual health are financed

Unlocking public and private finance for sanitation, hygiene and menstrual health

SHF works with multilateral and national development banks, finance institutions, impact investors and governments to mobilize and deploy financial resources in innovative ways to drive impactful initiatives for sanitation, hygiene and menstrual health. 

This involves leveraging diverse funding mechanisms, including grants, loans and blended finance, to support sanitation economies and menstrual health markets. SHF also aims to incentivise local currency financing by partnering with local financial institutions in priority countries and deploying grant funding as catalytic financing instruments as part of tailored loan facilities. 

Finally, SHF explores partnering opportunities with thematically aligned blended impact funds/facilities and seeks to leverage capital including from development finance institutions and impact investors based on improved investable propositions in the longer-term.

Through catalytic financing, SHF aims to stimulate growth, encourage innovation, and scale successful initiatives. By identifying strategic financial interventions tailored to each country context, SHF achieves sustainable impact.

Improving investment readiness

SHF’s catalytic financing seeks to stimulate nascent markets, incentivizing public reform and private investment in sanitation, hygiene and menstrual health.

Since 2022, SHF has been working with a number of countries in Africa, to support the building of national investment cases and market assessments on sanitation, hygiene and menstrual health. Armed with this knowledge, SHF identifies the potential and pipelines for investment and financing with a view to support the development of viable, scalable business models.

Besides working with governmental stakeholders to support the development of key public sector reforms and improve the enabling environment and regulatory framework, SHF works with subnational actors and utilities to improve capacity and conditions for local sanitation investment planning and infrastructure project financing. 

At the same time, SHF develops incubation and acceleration programmes to improve the investment readiness of early stage enterprises and supports the testing of new business model approaches to reach low income consumers and improve sustainability.

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Improving investment readiness