Mandiri Capital president director Eddi Danusaputro said on Thursday that the fund, called Indonesia Impact Fund (IIF), would focus on investing in micro, small and medium enterprises (MSMEs) and start-up firms related to the five aspects of the United Nations Sustainable Development Goals (SDGs).

They are poverty alleviation, affordable health care, high-quality and accessible education, increased economic participation for women and sustainable cities and affordable housing, he said.

“The investment in those ventures will not only focus on commercial return but also on the social impact of our investment,” Eddi said during an online press briefing.

The firms aim to raise US$10 million in the fund’s assets under management (AUM) by its first close of funding in the second quarter of 2021. It also expects to raise a total of $25 million by the fourth quarter of next year.

Eddi was confident that the fund could reach its target on time as impact investing in Indonesia still had ample room for growth.

According to Mandiri Capital, quoting the Global Impact Investing Network data, private impact investors had invested $148.8 million between 2007 and 2017 under 58 deals. In comparison, the country’s internet economy managed to record $3 billion in funding and 181 deals in 2017 alone.

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