As IID 2024 concluded, it highlighted the potential of impact investments in driving Indonesia’s sustainable future.
Labuan Bajo, INDONESIA — At the Impact Investment Day (IID) 2024, held on September 7-8 in Labuan Bajo, East Nusa Tenggara, a range of social enterprises, community organizations, and restorative initiatives met with major investors, including the Temasek Foundation, to explore opportunities for sustainable development and business growth. Organized by the Indonesian Chamber of Commerce and Industry (Kadin) in collaboration with Yayasan Bambu Lingkungan Lestari (YBLL), the event connected impact-driven ventures with global investors keen on fostering sustainable and restorative economic practices, particularly in the underserved and remote regions of Eastern Indonesia.
RELEVANT SUSTAINABLE GOALS
Bridging Impact Drivers and Enablers
IID 2024 was designed as a platform to connect “impact drivers,” such as social enterprises and community organizations, with “impact enablers,” including investors, donors, and philanthropic organizations. Bambang Brodjonegoro, Head of the People’s Economic Empowerment Agency at Kadin Indonesia and an IID steering committee member, emphasized the need for businesses to go beyond mere compliance with environmental, social, and governance (ESG) standards.
“This is no longer about meeting minimum standards, but about leading change and creating long-term value for businesses, communities, and the planet,” said Bambang. He stressed that IID aims to catalyze sustainable growth by fostering collaborations between impact drivers and enablers.
Monica Tanuhandaru, Chairperson of YBLL, highlighted the importance of holistic approaches in economic development, citing her organization’s work with bamboo as an example. “Our approach shows that projects focused on building local community capacity, leveraging local natural resources, and creating markets for sustainable products can be scaled up,” said Monica. This holistic approach serves as a blueprint for IID, aiming to empower impact drivers and connect them to broader markets through impact enablers.
Showcasing Restorative Projects
The event featured presentations of innovative projects and provided participants with opportunities to share insights with experts in the fields of restoration and sustainability. Among the impact drivers present were BambooCoop, EcoNusa Foundation, Jaga Semesta, Javara, Krealogi, Spedagi, Tiga Pilar Pertiwi, TORAJAMELO, Blue School, and several impact entrepreneurs from the Build Women’s Entrepreneurship (BUILD) program by Angin Foundation, including Kalara Borneo, Riles Lestari, Tenun.In, and Timor Moringa.
Two significant collaborations were also highlighted during IID 2024. PT Freeport Indonesia partnered with YBLL to develop bamboo-based restorative economics, women’s empowerment, and low-carbon, inclusive development in Timika, Central Papua, and Flores, East Nusa Tenggara. Additionally, YBLL teamed up with Spedagi Indonesia to develop Spedagi Lempit, a folding bamboo bicycle. Singgih S. Kartono, founder of Spedagi, noted that these durable, locally produced bamboo bicycles have proven their resilience in long-distance cycling events and have become icons of innovative bamboo products.
Embracing Bamboo: A Symbol of Sustainability
Reflecting the theme of sustainability, the venue at Marina Waterfront Labuan Bajo prominently featured bamboo in its design. From registration desks and ID cards to photo booths and the convention center’s décor, bamboo was a central element. The event space, Meruorah Convention Center, was adorned with bamboo furniture, such as tables, cabinets, gazebos, and souvenirs. Even the traditional bamboo percussion instrument, kentongan, was used during the opening ceremony, emphasizing the material’s cultural and environmental significance.
Pushing for a Restorative Economy
Impact Investment Day 2024, part of the broader Indonesia International Sustainability Forum (ISF) 2024, centered on the theme “Championing Sustainable and Restorative Initiatives in Indonesia.” The event aimed to drive restorative and sustainable initiatives by connecting initiators with investors and other key stakeholders. Ari Sudijanto, Head of the Environmental and Forestry Instrument Standardization Agency at the Ministry of Environment and Forestry, emphasized that collaboration among stakeholders and policymakers is crucial for providing global solutions to climate change, restorative economy, and sustainable development challenges.
“This Impact Investment Day 2024 will positively impact joint efforts to address climate change and sustainable development issues,” said Ari in his opening remarks
Arsjad Rasjid, Chairperson of Kadin Indonesia, pointed out two major challenges in developing restorative and sustainable economies in Indonesia: investment gaps and limited policies. According to a recent report by the Center for Economic and Law Studies (Celios), Indonesia needs approximately IDR 892 trillion by 2045 to effectively implement restorative economic strategies across various sectors.
“To meet this need, we must encourage impact investment and cannot rely solely on the government,” said Rasjid. He called for supportive policies, such as progressive tax incentives, to attract investors interested in sustainable and restorative initiatives that benefit local communities, the environment, and businesses.
Monica Tanuhandaru of YBLL reiterated that YBLL’s experience with bamboo has informed the approach of IID, prioritizing projects that harness the local natural potential of East Nusa Tenggara, emphasize integrated value chains, and focus on community capacity building and market creation for sustainable products.
As IID 2024 concluded, it highlighted the potential of impact investments in driving Indonesia’s sustainable future. By connecting impact-driven ventures with financial enablers, the event showcased how strategic collaborations can foster a restorative economy that benefits people, planet, and profit.
Lead image courtesy: (From left) West Manggarai Regency Government Representative Petrus Antonius Rasyid, President Director of Indonesia Environment Fund (BPDLH) Joko Tri Haryanto, Head of the Environmental and Forestry Instrument Standardization Agency (BSILHK) at the Ministry of Environment and Forestry (KLHK) Ary Sudijanto, Deputy Head of the People’s Economic Empowerment MSME Development Agency at Kadin Indonesia Yugi Prayanto, Deputy for Maritime Affairs and Natural Resources at the National Development Planning Agency (Bappenas) Vivi Yulaswati, and Chairperson of Yayasan Bambu Lingkungan Lestari (YBLL) Monica Tanuhandaru at the opening of Impact Investment Day in Labuan Bajo, East Nusa Tenggara, on Sunday (8/9/2024). / YBLL documentation
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