The Insurance Development Forum (IDF)—a public-private partnership between the insurance industry, the United Nations, and the World Bank—has announced the launch of the Infrastructure Resilience Development Fund (IRDF).
The blueprint was further refined in collaboration with BlackRock/GIP to ensure alignment with investor requirements and implementation objectives.
The IRDF has been structured to meet the investment criteria of insurers and other institutional investors while supporting the IDF’s broader goal of reducing natural catastrophe protection gaps and enhancing resilience in emerging markets and developing economies (EMDEs).
The fund will provide debt financing to small and medium-sized infrastructure projects across EMDEs, with a focus on sectors including water and waste management, energy, transport, healthcare, digital infrastructure, and other essential services.
It gives investors access to a diversified portfolio through a blended structure of senior and mezzanine debt, aiming to deliver balanced risk-adjusted returns, stable cashflows, and demonstrable social and environmental benefits.
At its initial close, the fund secured USD 340 million, supported by a substantial commitment from the International Finance Corporation (IFC) and contributions from IDF members involved in developing the original blueprint. The IRDF has already approved its first investment and is advancing a pipeline of additional opportunities. Further capital commitments are expected through 2026.
Jean-Baptiste Tricot, Co-Chair of the IDF Infrastructure Working Group and Chief Investment Officer, AXA, commented: “This project is an important step in unlocking investment in infrastructure projects in emerging markets and developing economies with an attractive risk-return profile. Our view is that the resilience theme is highly complementary to infrastructure and will allow for a broad range of investments across different sectors.
“Having the ability to deploy capital supported by both private and public money through such blended funds is key for institutional investors and the IRDF is specifically tailored to the needs of institutional insurers and pension funds. On behalf of the IDF’s Infrastructure Working Group, we are very thankful to BlackRock for transforming our initial idea into an investable opportunity, with significant growth potential.”
Ekhosuehi Iyahen, Secretary General, IDF, said: “This successful first close in a challenging global environment is a confirmation of our commitment to drive greater mobilisation and more impactful insurance sector investment into a critical, underserved segment of the infrastructure market.
“It is a first step in what we view as a catalytic endeavour and built on the conviction that this is not only the right thing to do but it is also good for business. My appreciation to the Co-Chairs of the working group, the BlackRock team and investing LP’s for their support.”
Mohamed Gouled, Vice President of Industries at IFC, added: “Expanding access to reliable infrastructure is one of the most efficient and impactful ways to drive growth and job creation in emerging and developing economies.
“Through its investment in the Infrastructure Resilience Development Fund, IFC aims to crowd in long-term institutional investors such as insurance companies to finance projects that strengthen critical services, such as energy, transport, and digital connectivity, and support local businesses that create employment opportunities in the communities that need them most.”
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