Finnfund announces successful first closing of Finnfund Digital Access Impact Fund I LP
Finnfund, a Finnish development financier and impact investor, announces the first closing of Finnfund Digital Access Impact Fund I LP (DAIF), marking a significant milestone in mobilising private capital for impactful investments in emerging markets. The fund has raised EUR 80 million and is focused on digital infrastructure and solutions, aiming to bridge the digital divide and promote digital, financial and gender inclusion in underserved regions in Africa, Asia and Latin America.
"The first closing of Finnfund Digital Access Impact Fund I LP (DAIF) is a pivotal step in our mission to mobilise private capital for sustainable development. This fund not only addresses critical digital infrastructure needs but also empowers communities by enhancing access to essential services. We are excited to offer professional investors a chance to partner with us in driving meaningful change in these rapidly growing markets", describes Hanna Loikkanen, Finnfund´s Chief Investment Officer.
The fund provides professional investors the opportunity to enter emerging markets alongside Finnfund, an experienced impact investor with over 40 years of expertise. The fund benefits from a risk-sharing facility and technical assistance, issued under the European Commission’s European Fund for Sustainable Development. DAIF targets investments in sectors such as telecom towers, digital infrastructure, and scalable high-impact technology solutions, seeks to offer access to attractive growth, high-impact markets and sector.
Capital for a more inclusive digital future
The focus of the fund is on closing the coverage gap, connecting unconnected communities and promoting affordable and reliable internet access. By investing in digital infrastructure and solutions, Finnfund aims to create a more inclusive digital future, fostering economic growth and improving quality of life in the regions it serves.
As digital use expands from basic communication to services like e-commerce and remote work, the economic impact grows. “These applications need more bandwidth and reliable connectivity, yet most African users rely on limited mobile data. This is where the fund’s portfolio companies come into play. The rise of unlimited home Wi-Fi, especially in countries that the fund targets, presents a major opportunity to drive digital inclusion and economic growth”, says Loikkanen.
Finnfund also integrates child-related considerations in the investment process, advancing positive outcomes for children while minimising harm. The Child-Lens Investing approach was developed in collaboration with UNICEF Innovative Finance Hub.
"The first closing of Finnfund Digital Access Impact Fund I LP shows the power of collaboration between public and private sectors”, says Ville Tavio, Minister for Foreign Trade and Development. “By mobilising private capital, we can enhance the efforts to finance sustainable development in partner countries. This fund exemplifies Finland’s commitment to leveraging innovative financial solutions to address critical infrastructure needs and promote inclusive growth. We support initiatives that not only drive economic development but also improve the quality of life for many communities in emerging markets."
The Ministry for Foreign Affairs and Finnfund are anchor investors of the fund. Finnfund Digital Access Impact Fund I LP makes its first investments during 2025, with initial investments under consideration targeting to bring unlimited high-speed internet to more low-income households in Latin America.
For more information
Hanna Loikkanen, Chief Investment Officer, Finnfund, hanna.loikkanen@finnfund.fi, tel. +358 40 7241
Unna Lehtipuu, Chief Communications Officer, Finnfund, unna.lehtipuu@finnfund.fi, tel. +358 40 624 0896
Valpuri Mäkinen, Senior Communications and Marketing Manager, Finnfund, valpuri.makinen@finnfund.fi, tel. +358 50 384 2105
Finnfund is a Finnish development financier and impact investor. Finnfund builds a sustainable future and generates lasting impact by investing in businesses that solve global development challenges with Finnish added value. Each year, we invest 200–250 million euros in 20–30 companies in developing countries. Our focus is particularly on digital infrastructure and solutions, clean energy, forestry, agriculture, and on providing funding for small and medium-sized enterprises through financial institutions. Today, Finnfund’s investments, commitments, and investment decisions total about 1.3 billion euros. The company has about 100 employees based in Helsinki and Nairobi. For more information, please visit www.finnfund.fi .
