Clo­sing the Gap: How to Get The­re – IFB’s Ambi­ti­on

My personal journey into impact financing began 15 years ago, sparked by a powerful idea: social entrepreneurship. What drew me in was not just the concept, but the mindset — the refusal to accept the status quo. Social entrepreneurs are, in many ways, like the indignados: they see injustice, failure, or neglect in society — and instead of complaining, they rise up and act. They are innovators, changemakers, and above all, doers.

Unlike traditional entrepreneurs who seek to fill a gap in the market, social entrepreneurs start from the gap in society. They don’t fit into neat categories — some operate as non-profits, others as social businesses — but they all choose the model best suited to solving the problem in front of them. What they share is a relentless drive to create lasting change. And yet, despite their energy and ideas, almost all of them face the same challenge: access to the right kind of funding.

Over the years, I've attended countless impact finance conferences and heard the same story again and again. On one side, funders say there's plenty of capital but not enough good projects. On the other, brilliant entrepreneurs say they can’t find investors who understand their mission or are willing to take the risk. This mismatch between supply and demand — between capital and changemakers — is the very reason we founded Impact Finance Belgium (IFB)⁽¹⁾. Our ambition is to bring together all forms of impact capital, from philanthropic foundations to market-based investors, and create a financing ecosystem that truly works for those driving systemic change.

Last year, IFB published its first recommendations report⁽²⁾ — a call to unlock millions, if not billions, for impact and sustainable finance. We looked to our neighbours for inspiration: France’s 90/10 rule for pension funds, the UK’s use of dormant accounts to fund Big Society Capital, ways to lower barriers for retail investors, and how governments can apply an impact lens to public decision-making. This year, we have expanded our scope to explicitly include sustainable finance — because what’s needed now is inclusion, not division. Let’s move beyond rigid definitions or ideological claims about what counts as “true” impact finance. Let’s focus on financing what matters.

In the fall, IFB will publish a new report on the mismatch in the market, and during the first week of November, we’ll return to Maison de la Poste at Tour & Taxis for our next Impact Week, where we’ll present an updated market sizing — just as we did three years ago. Yes, impact investing and ESG have faced headwinds in recent months, but let’s be clear: this is no more than a temporary dip. The urgency hasn’t gone away — it has only grown.

If you start from the gaps in society, the need for Impact Financing becomes self-evident. It’s no longer a question of why — it’s a matter of how. Let’s close the gap. Let’s do it together.

Endnotes

⁽¹⁾  Impact Finance Belgium (IFB), is a national community of practitioners and pioneers, firmly embedded in a European and Global organization, GSG Impact, and committed to mobilizing finance for positive impact. IFB brings together a diverse group of members—including institutional investors, private fund managers, banks, foundations, public investors, development finance institutions, and financial advisers—who share a common ambition to learn, exchange and advance sustainable and impact investing in Belgium. More information can be found on https://impactfinance.be/

⁽²⁾ IFB, How Policy and Regulation can unlock Billions for Impact: Four Opportunities to boost Sustainable and Impact Investing in Belgium, 2024