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Open Letter: Put Environmental and Social Impact First - Barron's

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More than 250 CEOs, business leaders, philanthropists, and government figures have signed the following open letter calling for urgent action toward a just and impact-led Covid-19 economic recovery. It is the result of the Global Steering Group for Impact Investment’s 2020 Global Impact Summit.

To the leaders, finance ministers, and central bank governors of the Group of 7 and Group of 20: 

The Covid-19 crisis has created an urgent need for a just, impact-led recovery that serves all people and preserves our planet. It presses us to change our ways, so that we can better address the great social and environmental challenges ahead of us.

To save billions of people from greater hardship, it is urgent that we bring impact to the heart of our economies and put the following into action:

1. Scale impact investment to combat unemployment, reduce inequality, and preserve the environment

Introduce incentives to accelerate impact investment, which seeks social as well as financial returns in order to create sustainable jobs, advance education, improve health care, and fund the expansion of nonprofit organizations that support the most vulnerable. 

Spur investment into small and medium-sized impact-driven businesses and high-growth impact ventures in developed and developing countries, to create millions of new jobs. Since many large companies are streamlining their operations and eliminating jobs, impact growth ventures and small and medium-sized enterprises provide the best route to creating new jobs and supporting the recovery.

2. Mandate impact transparency for companies

Establish impact transparency by mandating that companies publish audited financial accounts that reflect their social and environmental impacts. This will provide environmental, social, and governance investors and consumers with the transparency they need to hold businesses accountable for the harm they cause and reward them for the positive impact they create.

3. Introduce legislation to empower companies and investors to pursue impact

Shift our economies away from profit alone to profit and impact. Amend legislation and regulations to allow companies, pension funds and charitable endowments to base their decisions on return and impact.

We are at an historic crossroad. Our future is in our hands. There has never been a greater need or a greater time to transform our economies so they better serve society and preserve our planet. We call on everyone—governments, citizens, consumers, investors, companies and philanthropists—to support implementation of these measures and pave the way to a fairer and more sustainable world.

Signatories: 

Sir Ronald Cohen, chair, Global Steering Group for Impact Investment 

Cliff Prior, CEO, Global Steering Group for Impact Investment 

A selection of signatories follows in in alphabetical order. More signatories will be added at GSG’s website

Rosemary Addis, Impact Strategist; GSG Australia  

Yael Almog, former CEO, IFRS Foundation  

Ibukun Awosika, First Bank of Nigeria 

Bertrand Badre, former World Bank  

Yvonne Bakkum, FMO, Netherlands   

Dolika Banda, Education Outcomes Fund  

Matt Bannick , Stanford Graduate School of Business; GSG USA

Sir Michael Barber, Delivery Associates  

Clara Barby, Impact Management Project

Dr. Francois Bonnici, Schwab Foundation  

Amit Bouri, Global Impact Investing Network

Paul Brest, former dean, Stanford University Law School 

Kate Byrne, president, SOCAP   

Nicola Cobbold, GSG U.K.   

Dame Elizabeth Corley , chair, Impact Investing Institute 

Elizabeth Boggs Davidsen, UNDP   

Sir Mick Davis, Portland Trust  

Ashish Dhawan, Ashoka University   

Ray Dhirani, World Wildlife Fund  

Vikram Ghandi, Harvard Business School  

Michele Giddens, Bridges Fund Management  

Don Gips, Skoll Foundation   

Sarah Gordon, GSG U.K.   

Ulrich Grabenwarter, European Investment Fund; GSG  

Nick Hurd , former minister, U.K.; GSG  

Dr. Amel Karboul, former minister, Tunisia  

René Karsenti, ICMA   

Andrew Kassoy , B Lab   

Mike Kubzansky, Omidyar Network   

Mairi Mackay, British Council

Mauricio Macri , former president of the Argentine Republic 

Elias Masilela, GSG South Africa  

Prince Max of Liechtenstein, LGT  

Sir Harvey McGrath, Big Society Capital

Giovanna Melandri, GSG Italy; Human Foundation; former minister, Italy 

Brigitte Mohn , Bertelsmann Foundation   

Nick O’Donohoe, CDC Group, GSG UK  

Tracy Palandjian, Social Finance USA 

Horacio Pavez, The Impact; GSG Chile

Paul Polman , IMAGINE, former Unilever  

Alejandro Preusche, GSG Argentina   

Mario Quintana, former Cabinet Office, Argentine Republic 

Eric Rice, Blackrock   

Lord Jacob Rothschild 

George Serafeim, Harvard Business School  

Sir Harry Solomon, Portland Trust  

Jim Sorenson, The Sorenson Group, USA  

Laurie Spengler, GSG U.K.   

Carolina Stanley, former minister, Argentine Republic  

Maria Laura Tinelli, Acrux Partners; GSG Argentina 

Halla Tómasdóttir, B Team   

Laura D’Andrea Tyson, former dean, London Business School; Haas School of Business at Berkeley

Masataka Uo, GSG Japan   

María Eugenia Vidal, former governor, Province of Buenos Aires

Darren Walker , President, Ford Foundation; GSG  

Urs Wietlisbach, Partners Group   

Ngaire Woods, dean, Blavatnik School of Government at Oxford

Juan Yermo, OECD   

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