This research focuses on the role of technical assistance in impact investing. The study presents the benefits of using capacity-building support, outlines its common uses, and describes the challenges associated with its implementation. The report provides quantitative and qualitative analysis of issues such as the sustainability of funding, reporting requirements, and the effectiveness of capacity-building efforts.

One of the key themes of the report is the impact of capacity-building support on Environmental, Social, and Governance (ESG) issues. The study shows that capacity-building support can enable impact investors to improve ESG performance and highlight their commitment to sustainability. Moreover, the report suggests that investors and their partners must align their ESG goals for capacity-building support to be effective.

The report offers several recommendations on how to improve the practice of capacity-building support in impact investing. Some of the key recommendations are that investors should ensure the sustainability of funding, reduce reporting requirements, and expand their capacity-building activities to include long-term support. Furthermore, the report suggests that the effectiveness of capacity-building support should be measured using a comprehensive set of indicators that takes into account the unique circumstances of each investment. Finally, the report stresses the importance of alignment between investors and their partners regarding ESG goals.