To achieve the Sustainable Development Goals (SDGs) by 2030, developing countries face an estimated annual financing gap of between USD 2.5 and 4 trillion. In this context, there are recurring calls to move from billions to trillions of dollars. Blended finance is widely regarded as an innovative structuring approach that can help close this gap. However, for blended finance to drive sustainable transitions and meaningfully contribute to achieving the SDGs, systemic and dynamic changes are required—led by the key actors of the financing ecosystem.
Drawing on 17 semi-structured interviews with public and private sector stakeholders, as well as development cooperation agencies, and a multi-stakeholder discussion involving approximately 40 representatives of Colombia’s financing ecosystem, this project analyzed the main archetypes used in blended finance transactions across three priority sectors: sustainable agriculture, the bioeconomy, and renewable energy.
The analysis identified key findings that highlight both the progress achieved and the structural challenges that remain. Based on these insights, the project formulated recommendations for key actors in Colombia’s development finance ecosystem, aimed at promoting systemic and transformative changes that will enable blended finance to fully realize its potential to help close the country’s financing gap.

