Mobilizes Additional Capital: The primary benefit is attracting private capital volumes far beyond what ODA or philanthropy could provide alone, closing critical funding gaps for SDGs.

De-risks Investments: Makes projects in complex or high-risk environments more palatable for risk-averse commercial investors.

Improves Project Viability: By lowering the cost of capital or providing critical early-stage funding, it can make otherwise "unbankable" projects financially feasible.

Encourages Innovation: Supports new technologies, business models, or projects in nascent sectors that might not attract traditional finance.

Builds Local Capacity: Often includes technical assistance that strengthens local institutions, project developers, and regulatory environments.

Achieves Development Impact: Ensures that capital is directed towards projects with clear social, environmental, and economic benefits aligned with the SDGs.

Accelerates Green Transition: Particularly effective in financing renewable energy, energy efficiency, and other climate-focused infrastructure