Performance Report
2024

In 2024, the Indo-Pacific demonstrated strong economic resilience despite global headwinds, escalating climate risks, and tightening financial conditions. Key markets in which ADI Investments were focused in 2024, such as Indonesia, the Philippines, and Vietnam led the region’s growth, driven by rising export demand, digital innovation, and growing commitments to climate action and gender equity. Bangladesh, however, faced macroeconomic challenges that slowed progress and weakened its startup ecosystem.

Indonesia recorded 5% GDP growth, backed by infrastructure investments and a maturing digital economy. The Philippines’ GDP grew by 5.7%, fuelled by domestic consumption, remittances, and digital services. Vietnam posted 7.1% growth, driven by manufacturing exports, foreign direct investment, and expansion in green industries. Bangladesh had 4.2% growth, constrained by inflation, currency depreciation, and political uncertainty.

Southeast Asia’s digital economy surged in 2024, with over USD 30 billion invested in Artificial Intelligence (AI) infrastructure. Fintech, e-commerce, and automation have unlocked new productivity pathways however, sustained gains will require continued investments in digital literacy and workforce readiness.

At the same time, climate-related disruptions, from floods, typhoons, and extreme heat, intensified across the region. These prompted governments and the private sector to deepen commitments to clean energy, circular economy models, Environmental, Social and Governance (ESG) integration, and sustainable finance. Vietnam and Indonesia expanded solar deployment, and the Philippines introduced climate policy reforms. Blended finance played a key role in enabling early stage and climate-aligned investments. In 2024, climate finance accounted for 49% of all blended finance transactions.

Australian Development Investments: Catalysing Inclusive, Gender Smart, and Climate-Aligned Capital

With major donor governments announcing reductions in Official Development Assistance (ODA), blended finance has become even more critical. Platforms like Australian Development Investments (ADI) are helping mobilise private capital at scale—particularly in early-stage, underfunded, and high-impact businesses across the Indo-Pacific.

ADI’s progress is made possible through strong collaboration with fund managers, technical assistance providers, and portfolio companies, to direct capital and deliver sustainable development outcomes.

Since inception, ADI has committed AUD 33.30 million and mobilised over AUD 181.31 million in private capital, achieving a cumulative leverage ratio of more than 1:5. In 2024 alone, ADI committed AUD 11.11 million to new fund investments and mobilised AUD 28.17 million in private capital across all active funds.

In 2024, ADI made two new fund investments and supported 11 new companies. Cumulatively, ADI’s portfolio includes six funds and 37 active companies, primarily small and medium enterprises (SMEs) and financial service providers that serve SMEs. By year-end, 38% of committed capital had been deployed.

Driving Gender Lens Investing

Globally, gender lens investing (GLI) continued to gain momentum, with USD 7.9 billion in private GLI capital deployed, a 30% increase, according to the Project Catalyst. However, despite the introduction of stricter 2X Challenge Criteria and the launch of the 2X Challenge in 2024, GLI remains underrepresented in mainstream portfolios.

ADI strategically prioritised investments in funds with strong GLI theses to help address persistent financing gaps for women-led and women-owned enterprises. As of 2024, 32% of ADI’s active portfolio companies are women-owned or women-led.

In 2024, ADI made its first investment under the Investing in Women window, an AUD 15 million initiative supporting funds that allocate most of their capital into SMEs that disproportionately benefit women.

Across ADI’s portfolio, all investee funds and 77% of portfolio companies meet the 2X Challenge Criteria. Additionally, 26% of the companies were founded by women, and half have women in business management or leadership roles. However, only one-third of companies have gender-balanced boards, indicating a need for deeper integration of gender equality in companies’ governance.

Portfolio Reach and Outcomes

In 2024, ADI’s portfolio companies reached 28.88 million individuals with improved access to education, healthcare, financial services, and climate solutions. Through ADI’s fintech portfolio companies, 1.46 million microentrepreneurs and 3,594 SMEs gained access to capital, contributing to sustained income generation and improved livelihoods.

ADI portfolio companies collectively generated AUD 1.06 billion in revenue, paid AUD 85.80 million in taxes, and distributed AUD 205.32 million in salaries—proving their role as engines of inclusive economic growth in the region.

The portfolio sustained 22,819 jobs, including 10,356 full-time and 12,463 temporary or project-based roles. Women comprised 41% of the workforce. While 12 companies created 952 new jobs (32% filled by women), ten companies reported the loss of 1,333 jobs (68% held by women) due to restructuring, revenue decline, and broader economic and sector-wide shifts.

Technical Assistance Program

ADI’s Technical Assistance (TA) Program plays a vital role in unlocking value beyond capital. It helps funds and portfolio companies strengthen internal systems, improve workplace practices, and align with international standards, making them more resilient and investment ready. In 2024, fund managers received support in TA facility design, recruitment of independent Investment Committee (IC) members, and training in social risk analysis and GLI. Ten portfolio companies received bespoke support, including leadership training, development of brand and customer-driven service handbook, inclusive customer outreach tools, and ESG advisory services.

Advancing Clean Energy and Climate Impact

ADI continued to advance the region’s clean energy transition. In 2024, portfolio companies abated 110,608 tons of CO₂eq. This is comparable to removing an estimated 23,405 gasoline powered cars from the road for a year. ADI’s investments added 145.60MW of new solar capacity, enough to power around 145,000 households annually across Southeast Asia.

To further accelerate climate-aligned investing, ADI launched the Climate Catalyst Window, following its announcement by Australia’s Minister for International Development at COP29 in 2024. This new investment window aims to anchor climate aligned funds, mobilise private capital, including from Australian investors, and embed ESG and gender practices across funds and company operations.

ADI’s ability to mobilise and channel greater volumes of climate finance will be key in helping the Indo-Pacific close its estimated USD 800 billion annual funding gap, accelerate the clean energy transition, and meet its Paris Agreement commitments.

Full Report available here

 

Summary of Findings

ADI Theory of change		2024 outcome
Development Impact	Decent work opportunities	In 2024, ADI indirectly invested in 41 companies, of which 37 are active and 4 have exited the portfolio, via six fund investments, supporting 10,356 full-time jobs and 12,463 temporary jobs, with women comprising 41% of the workforce. Seven clean energy-focused companies supported 610 full-time green jobs in 2024, with women holding 24% of these positions. Twelve companies created 952 jobs, including 301 for women, while ten companies reported a loss of 1,333 jobs—909 of which were held by women—due to restructuring, revenue decline, and operational optimisation.
	Inclusive products and services	ADI’s portfolio served 28.88 million individual clients, 1.46 million micro entrepreneurs’ borrowers and more than 3,500 B2B/corporate clients.
	Gender equity	77% of portfolio companies aligned with the adapted 2X Criteria, meeting the impact investing industry’s gender equity standards. In total, 26% of ADI’s portfolio companies are women-founded, 37% of companies have women shareholders and 52% are women-led surpassing the global venture capital industry benchmark of 10% and ADI’s target of 25-33%.
	Climate action	ADI, through SEACEF II, invested in five climate mitigation companies. Greenhouse gas abatement for this year reached 110,608 tons of CO₂eq. Green energy companies within the portfolio contributed by installing 145.60 MW of solar power capacity to generate clean electricity.
Market building	Broadening the impact investment market	ADI continues to play a pivotal role in shaping the investment landscape with its sixth fund investment. Asia Business Builders will invest in 7-10 small mid-market growth companies in Vietnam, with a focus on women owned and led companies. Through its TA partner Sagana, ADI has supported the initial design and set up of Clime Capital’s Technical Assistance Facility “SEACEF TAF Ltd.”
	Crowding in private capital	In 2024, ADI committed AUD 11.11 million to two new funds, while an additional AUD 28.31 million private capital was mobilised through its existing fund investments to support inclusive economic growth and decarbonisation. From 2021-24, ADI has cumulatively mobilised AUD 181.45 million in private investments, with a mobilisation rate of over 1:5.
	Promoting industry best practice	ADI supported Clime Capital in advancing its GLI strategy. Sagana provided tailored coaching and recruitment support to strengthen gender diversity and inclusion within Clime’s investment processes. Two coaching sessions were delivered by Sagana to Clime’s senior leadership, focusing on enhancing capabilities to contribute more actively to Clime’s Investment Committee (IC) deliberations. ADI also supported Clime’s IC recruitment process to align with its diversity and inclusion goals. As part of this engagement, Sagana developed a knowledge product for Clime Capital titled “The Science of Diversity in Investment Decision-Making: The Case for a Gender-Diverse Investment Committee at Clime.” This internal resource will be further refined and published as a practical public “how-to” guide in 2025. Ten portfolio companies received bespoke support, including leadership training, development of brand and customer-driven service handbook, inclusive customer outreach tools, and ESG advisory services. In 2024, ADI selected OnePointFive, a climate advisory firm, as a TA partner to help embed sustainability into fund strategy and operations.