1.4.5 Beneficiary or main stakeholders

The beneficiaries or stakeholders of a finance solution are the target and affected population or entity. Most finance solutions alter existing incentive systems through either marketbased instruments that influence prices or through policies, regulations, etc. The beneficiaries and main stakeholders are the organizations, individuals, companies or groups that are directly affected. For example, they can be farmers receiving a certain subsidy “under reform” along with the companies that provide them with agricultural inputs. It is essential to understand what is driving their behaviour under the business-as-usual scenario and be able to make accurate predictions about the finance solution’s likely outcome.