EIF Working Paper 2022/80, EIF Private Debt Survey 2021 - ESG considerations in the lending strategy of private debt funds

Against the background of the need for alternative and additional financing channels for SMEs in Europe, this paper analyses the market segment of debt funds and provides comprehensive insight into ESG considerations in the lending strategy of private debt funds. The paper is based on the results of the EIF Private Debt Survey, a new study that provides unique perspective and helps increase the transparency of the market to the public. More specifically, the paper addresses the following questions:

• What motivates PD fund managers’ ESG engagement?
• What are the most common ESG strategies?
• How do PD fund managers implement ESG criteria in terms of policies and procedures?
• What are the biggest challenges they face?
• Do they consider gender diversity?

The EIF Working Papers are designed to make available to a wider readership selected topics and studies in relation to EIF´s business. The Working Papers are edited by EIF's Research & Market Analysis and are typically authored or co-authored by EIF staff or are written in cooperation with EIF.