Good Return, an Australian “public benevolent institution,” secured $2.2 million for its second fund, an evergreen lending vehicle supporting micro and small women-owned businesses in Cambodia, Fiji and other emerging markets in Asia.
The social enterprise provides long-term, flexible debt to financial services firms that originate small business and microloans in local currency. It tracks both gender and climate impact.
Good Return is looking to raise at least $10 million, with the aim of recycling the fund’s capital five times over.
Macquarie Group Foundation provided $1 million. Other investors have not been disclosed.
Impact first
Good Return launched the fund last year after experimenting with a $1 million pilot fund that it says supported $5 million in lending to more than 600 micro and small businesses, 90% of which were women-led. The company opted for an evergreen model “to mobilize larger volumes of capital into underserved markets,” and includes a first-loss layer to buffer risk, it said in a statement.
The team says its fund takes an impact-first approach, and factors considerations like borrowers’ caregiving responsibilities into its lending terms.
Gender bonds
Separately, Singapore-based IIX, which developed the “orange bond” designation for listed gender-impact bonds, is partnering with the Dhaka Stock Exchange in Bangladesh to list the bonds.
Bangladesh has been in a period of political and economic volatility following the 2024 overthrow of Prime Minister Sheikh Hasina. Elections in Bangladesh earlier this month voted the conservative, nationalist Bangladesh Nationalist Party into power.
“Bangladesh stands at a critical juncture in realigning its financial markets with the nation’s inclusive economic growth priorities,” said IIX’s Durreen Shahnaz. “The Orange Movement can help attract international investors to Bangladesh and establish stronger global financial linkages.”
IIX’s goal is to spur the orange bond market, now just shy of $1.5 billion, to $10 billion, including by supporting other issuers’ adoption of the orange bond label.
