Under the 2021 Italian Presidency, the G20 reaffirmed that the endeavor to achieve sustainable resilience should be complemented with increased mobilization of all financing resources and the alignment and impact on the SDGs, which corresponds with the call that “development actors should use their capabilities to enhance mobilization of the private sector, including by using risk sharing strategies, blended finance approaches and building a pipeline of suitable projects.”
Building on this, the 2022 Indonesian presidency put forward the G20 Principles to Scale Up Blended Finance in Developing Countries, including Least Developed Countries (LDCs), and Small Island Developing States (SIDS) (hereinafter referred to as G20 Principles), which would be in continuation of the G20 FSD Framework endorsed in 2020 under the Saudi Presidency, and the work undertaken by the Italian presidency on the G20 Framework for Voluntary Support to INFFs, the G20 High-Level Principles on Sustainability-Related Financial Instruments, and the G20 Common Vision on SDG Alignment. The G20 Principles set out a set of voluntary principles that reflect our common strategic direction and aspiration for scaling up blended finance implementation in developing countries, including LDCs and SIDS.