Introducing Development Impact Bonds

Case Study
Innovative Finance / Blended Finance
Susan Goodwin, Ruth Phillips
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This report introduces Development Impact Bonds (DIBs) as an innovative financing mechanism to achieve social impact and value in development initiatives. It explains the structure and principles of DIBs, where private investors provide upfront capital for social programs, with repayment contingent on the achievement of predefined outcomes. The authors discuss the potential of DIBs to incentivize effective interventions, transfer risk from funders to investors, and drive results in global development efforts.

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