With the budget announcement of $30 million to support Australian impact investing, the Government has signaled its intent to take a greater role in fostering a vibrant and thriving impact investing market.
In this article, we recommend the steps that the Government can take to unlock greater pools of private capital to address some of our most challenging social issues – from low-cost housing, to employment opportunities for marginalised job seekers.
The article is based on SVA’s response to the Government’s Social Impact Investing Discussion Paper earlier this year, which sought views from the sector on what role the Commonwealth could play in expanding the social impact investing market. (See SVA’s Response to the Commonwealth Government’s Social Impact Investing Discussion Paper.)
SVA’s recommendations include:
- appointing a minister and office for social impact investing;
- supporting the pipeline of investment ready social enterprises;
- generating demand through social procurement;
- driving the SIB market; encouraging more outcomes-based commissioning; and
- providing access to data to underpin new transactions.