E&S Risk Assessment Tool for IDH Farmfit Fund
We developed a bespoke Environmental & Social Risk Assessment Tool to support the IDH Farmfit Fund, managed by IDH Invest
The IDH Farmfit Fund, managed by IDH Invest, is an EUR 100 million public-private impact fund for smallholder farmers, many of whom are amongst the poorest people in the world. Its innovative financing model makes investments in smallholder farmers more attractive by de-risking them, lowering risks and costs for both farmers and investors, and driving sustainable impact. To further strengthen their E&S risk management, IDH Invest engaged us to develop a customised tool tailored to the fund’s strategy and investment universe.
Leveraging our expertise in building bespoke tools and software solutions, we developed a tool that supports all E&S risk management activities in the fund’s pre-investment stages – including deal sourcing, clearance in principle, due diligence, and the identification of action plan items. Incorporating macro-level data, leading E&S frameworks, and industry guidance, the tool offers country and sector risks insights alongside detailed and sector-specific due diligence questionnaires. With automated processes and room for user input, it enables structured analysis while allowing for expert judgement.
The resulting tool empowers the fund’s E&S team to manage E&S risks more systematically and efficiently, streamlining the process for both IDH and prospective investees. Ultimately, it reinforces IDH’s commitment to responsible investments in agriculture and smallholder supply chains.
