Transforming the Social Finance sector in Brazil

Over 4 decades ago, a mother and son duo, Paulo and Anna, two very dedicated cooks, had a life-changing idea: to turn their hobbies into a full-time job. Once an architect, Paulo mastered the art of transforming ingredients from the Amazon into savory recipes, while Anna ran the service at Lá em Casa, their family-run restaurant established in 1972. After many years of success, it was time to make their beloved dishes available to the entire world – and SITAWI was there to help.

Joanna, Paulo's daughter, founded Manioca, a company that commercializes ingredients from the Amazon in an innovative manner, connecting people to the forest through natural foods. The enterprise works closely with 24 farm producers – most of whom are engaged in family farming or are small business owners – and promotes fair trade, bringing sustainable development to the area. Along with Conexsus and IDESAM, SITAWI invested R$ 200,000 in Manioca.

The loan aims to reduce distribution costs and to create a closer bond with Manioca's suppliers, while improving their skills. A part of these funds will be used to create a network of support between farm producers, facilitating an exchange of business experiences and their communication. The contribution will also improve how local forces fight against deforestation, while promoting better income distribution. Higher incomes will improve how locals live, reducing migration from the area.

Obtained during the 1st Impact Investment and Sustainable Business in the Amazon Forum (FIINSA), an initiative coordinated by IDESAM, with support from USAID and CIAT, the investment will also allow Manioca to create a new line of products. FIINSA intends to foment and foster businesses like Joana's, focused on the value of social and biodiversity and the promotion of socioeconomic development in Northern Brazil. Besides Manioca, Encauchados de Vegetais da Amazônia, Peabiru Produtos da Floresta, and Ração+ also received loans to expand their businesses.

SITAWI leads impact investing in Brazil, having already done 39 investments in 28 different companies. In 2018, we actively invested in 9 impact businesses, and other 3 loans were completely paid-off.

Thank you for allowing us to help so many Joannas to create a fairer, more sustainable world! We are grateful to all of our partners, contributors, supporters, and clients who believe in our cause.

Let's keep making positive impact!

In 2018, SITAWI celebrated 10 years of operation!

Throughout the year, we held the first Finance for Good Seminar: The State of the Art, we supported dozens of organizations, thousands of people and developed countless projects and consultancies to leverage the Social and Sustainable Finance agenda in Latin America.

The Financial Mechanisms for Impact area managed 20 Philanthropic and Revolving Funds for education, community development, human rights, and the environment, totaling R$ 26 million mobilized for positive impact since the beginning of SITAWI. We are the most active impact investor in Brazil, with 39 investments and social and environmental loans made.

The Sustainable Finance program executed 65 projects, launched 7 publications and was consolidated as the largest research and consulting practice in Sustainable Finance in Latin America, with 16 professionals. In 2019, it will open an office in Colombia, accelerating its international expansion.

We have developed a strategy for Febraban so its associated banks are able to comply with the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD) and have become the first non-financial organization in Brazil to support the Principles for Responsible Banking.

We continue as the largest reference in green and social bonds, supporting operations that have captured almost R$ 1bn, we have launched the Coolest Bonds guide, to help issuers identify assets and green projects, and PEAX, a program to foster new issuers of green bonds with positive externalities for the climate.

The Territorial Programs area completed one year of activities. The first program has already benefited the lives of 700 riverside families in the Mid Juruá, working together with the local protagonists in preserving the biodiversity of the Amazon and in productive chains linked to socio-biodiversity.

We continue to develop the first Brazilian Social Impact Bond (SIB) in the health area in Ceará and we support the creation of the law that regulates SIB, in process in the Federal Senate. In 2019, we will launch the first public call to support the development of new SIB by municipal and state secretariats in Brazil.

We further enhance our management processes and tools in order to provide more transparency and achieve excellence. Our Sustainable Finance program was certified as a B Corporation, an organization that contributes to a better world, we are again among the best NGOs in Brazil in the ranking of the Doar Institute, and we remain among the top ten Latin American organizations for the TOP 500 of the NGO Advisor.

We thank all our partners, contributors, supporters and clients who walk with us and believe in this cause.

Let’s keep together in 2019!