The second Social Impact Bond “Progress with employment”(Progresa con Empleo), launched in Cali, is the continuation of the first, but at a local level. The design of this Impact bond relies on the best practices of the first one and the lessons learned. These two Social Impact Bonds are framed within a broader program, SIBs.CO, which is financed by the Swiss Secretary of State for Economic Affairs (SECO) and the IDB Lab and executed by the Corona Foundation. The program aims to develop the framework of Social Impact Bonds in Colombia.
Country
Colombia
Timeline
2018-2019
Type of Project
RBF Design or Implementation
Sector
Workforce Development
Project
Partners
project description
The second Colombian Social Impact Bond (SIB), shared the same objective as the first one. Both of their goals were to achieve greater cost-effectiveness in the employability projects targeted to the population of difficult placement, while becoming a learning and knowledge development tool for the both the Colombian government and the Secretary of Economic Development of the Mayor’s Office in Cali. We were also interested in the development of a market for investment in social programs that leverages the work of the government and can take on innovation risks.
Instiglio helped with the design of payment metrics, performance indicators, payment mechanisms, and other general design elements through a prototyping methodology. We also supported the design of the verification and the selection of the auditor. Finally, Instiglio also advised the investors in matters of risk analysis and financial structure of the SIB.
