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Social Finance

May be understood as a broad area Where in various forms of capital are structured in ways that consider and value both financial performance and social value creation. Social finance or social investment should have the following characteristics:

  • Is at least nominally repayable;
  • Pursues an accountable social, cultural or environmental purpose;
  • Is autonomous of the state;
  • Has the mission of the investee as the principle beneficiary of any investment;
  • Is transparent about assessing, measuring and reporting the social impact it seeks to create;
  • Is structured to create financial value or organisational or community capacity over time, e.g. by helping the investee invest in growth, acquire an asset, strengthen management, generate income and/or make savings, and by providing wider non- financial support;
  • Is inclusive.

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