Dear Friends,
Welcome to the first edition of the quarterly GSG NEWS. At the GSG, our mission is to bring together leading impact practitioners from around the world as National Advisory Boards (NABs) to drive a global impact investment movement. This newsletter will help us connect our 16 NABs across 16 countries & European Union (and growing!) with updates, trends, sector analysis and events. I hope it will also facilitate our journey to the Tipping Point by 2020. You can read the news from our NABs below, along with links to original stories, which we encourage you to share far and wide across your networks. We started the quarter with a tremendous GSG Impact Summit 2017 in Chicago, USA, and ended with an Asia- Pacific Declaration on Social Enterprise and Impact Investment in Christchurch, New Zealand at the Social Enterprise World Forum.
The Impact Investment sector received positive attention this quarter: President Emmanuel Macron in France announced a French Social Business Act in 2018. India NAB launched McKinsey’s extensive study of Impact Investment in India. The study concluded impact returns to be 11% across ~500 transaction and ~50 exits in India. In the UK, the Ministry of Justice released the final results of the world’s first Social Impact Bond, at Peterborough Prison, demonstrating a 9% reduction in reoffending, and paying out a 3.1 percent per annum return to investors. The UK NAB also launched an excellent report, titled “The Rise of Impact”, setting out important policy recommendations, which will interest you all. So, exciting news rolled in from many directions.
We have recently implemented a number of new initiatives. This quarter, we launched three of our six working groups: Impact Wholesalers, R&D-based Impact Enterprises, and Widening & Deepening the Market. We have also been working hard to support the establishment of Social Finance India as part of our efforts to launch a significant India Education Outcomes Fund. This, along with our 2018 Summit in India, will bring exciting new developments to the subcontinent!
Finally, I am delighted to announce that Krisztina Tora has picked up the baton from Sebastian Welisiejko as our new Director of Market Development. You will be hearing from her quite soon. Please do share with us developments from your part of the world.
Do Good, Do Well!
 
     
NEWS  
    GSG Impact Summit: MacArthur Foundation, US Impact Investing Alliance and GSG successfully hosted the third GSG Impact Summit from 9-12 July, 2017 in Chicago with 560 delegates from 43 countriesGSG Impact Summit: MacArthur Foundation, US Impact Investing Alliance and GSG successfully hosted the third GSG Impact Summit from 9-12 July, 2017 in Chicago with 560 delegates from 43 countries
VIEW VIDEOS
 
    MnM Research on Market Size: On GSG request, marketsandmarkets.com sized the Global Impact Investing market at $150 billion currently growing to $300 billion by 2020
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    Research with IDFC Bank: GSG’s short research with IDFC Bank on job creation in India found that Impact Enterprises create 10-14X more jobs than Business Enterprises; 3-4x more even if we exclude sectors like Sanitation & Skills
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    Asia-Pacific Coalition: GSG joined an international coalition with UNESCAP, SEWF and BC on Impact Investment and Social Entrepreneurship in Asia-Pacific
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ARGENTINA & URUGUAY
   First SIB in Argentina: The City of Buenos Aires launched Argentina’s first SIB on employability of vulnerable youth on 10 June
   ESG Advocacy Takes Off: The Legal team from the NAB is working with Argentina Financial Regulator (CNV), to incorporate ESG considerations in norms governing financial institutions
  NAB adopts GSG 2020 Agenda: The NAB will work on 6 key priority areas aligned with GSG mandate and Tipping Point 2020: Impact Investment market sizing in Argentina and Uruguay; Capacity building and education of key market players; Mapping of impact investment demand sector; Communication and advocacy; Legal and regulatory framework; Potential for the creation of a Fund of Funds for Impact Investment
BRAZIL
  Brazil NAB & Government collaborate on National Strategy: The Ministry of Industry and Commerce, in collaboration with the Brazil NAB are building a National Strategy for Impact Investing to be officially launched through a Presidential Decree in December 2017
CANADA
  Please follow Canada Nab on GSG website
MEXICO
  Successful Fund Raising: Mexican NAB will receive grants from Ford Foundation and Banamex (National Bank) for research and a high-level event on the Impact Investment eco-system in Mexico to be officially presented to all strategic actors in the country
USA
  New Report on Instruments: The Global Impact Investing Network and Kresge Foundation partnered on a new report: “Scaling the Use of Guarantees in U.S. Community Investing
  New Report on Intermediaries: With their new report, “Insights from Impact Advisors & Consultants”, Toniic captures the experience and learning of experienced impact intermediaries as they look to engage asset owners and managers in their 100% Impact Network
  #ShareYourData Project Launch: Jean Case issued a call to the field to #ShareYourData and populate a newly launched Impact Investing network map which documents the publicly available transactions
  GSG presents at SOCAP: Tracy Palandjian (US NAB), Fran Seagull (US NAB), Rodrigo Villar (Mexico NAB), Laurie Spengler (UK NAB) and Kartik Desai (India NAB) showcase GSG at SOCAP 17
REST OF THE REGION
  Peru accelerates NAB development: In Peru, leaders of the impact investing sector have hosted a third event in September to promote the topic among key stakeholders. They are also monitoring the progress of pilot initiatives and will be working on a report on the impact investing ecosystem in the country
 
   
 
EUROPEAN UNION
  European Union Advisory Board formed: The EU Advisory Board is an initiative that seeks to regroup actors committed to promoting Impact Investing at a pan European level across the European Union. Its current members include the European Investment Fund (EIF) and the European Investment Bank( together the EIB group) and the European Commission (EC).
  New Expert Group submits report: The High-Level Expert Group on Sustainable Finance established by the European Commission has published its first report setting out concrete steps to create a financial system that supports sustainable investments
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FINLAND
  Europe’s biggest SIB launched: The Ministry of Economic Affairs and Employment launched the biggest SIB in Europe for fast employment and integration of refugees (Koto-SIB) with current fund size of EUR 13.5 million and target of EUR 17 million
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  Helping the Region: Sitra organized a workshop in terms of impact investing and circular economy for Slovenian Government and private sector
  SIB, DIB and now, an EIB: The Ministry of Environment, The Ministry of Agriculture and Sitra decided to start a process, which aims to develop the first Environmental Impact Bond in Finland, possibly Europe
  Mobilizing SIB Investors: Sitra organized an event for SIB investors with Epiqus Ltd and FIM on 20 September 2017
FRANCE
  An Alpine Forum: The First European AlpSIB Forum took place to inform on the Social Impact Bonds (SIB) in the alpine region. Two members of the NAB were invited to intervene during the discussions
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  French Government’s New Moves: President Emmanuel Macron appointed Christophe Itier as High Commissioner to Social and Solidarity Economy (SSE) and Social Innovation and has already announced a French Social Business Act in 2018
GERMANY
  Please follow Germany Nab on GSG website
ITALY
  Feasibility Study: The Feasibility study for the implementation of a SIB targeting reduction of prisoners reoffending in Turin was launched in the presence of the Ministry of Justice
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  Introduction of low-profit Social Enterprise: The third sector reform process is reorganizing the entire sector and introducing low-profit social enterprises
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  Italy among Outcome Funders of the first Humanitarian Impact Bond: The International Committee of the Red Cross (ICRC) issued formally, with the support of Belgium, the very first Humanitarian Impact Bond with Italy, Switzerland, United Kingdom and “La Caixa” Foundation as Outcome Funders.
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  New Position Paper: The Italian National Advisory Board and Social Impact Agenda per l’Italia published the position paper on Impact Investing and welfare policies, authored by Giulio Pasi calling for new models to address social needs
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PORTUGAL
  Three new SIBs launched: Portugal launched 3 new SIBs mobilizing 1.6 million EUR with Calouste Gulbenkein Foundation, Bank Montepio, Deloitte and a group of corporations as the lead investors
UK
  Official Results for world’s first SIB: Independent evaluation for SIB, world’s first social impact bond designed to reduce re-offending among prisoners being released from Peterborough prison, determined 9% reduction in recidivism and a resultant >3% annual return for its 17 investors
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  UK Impact Investment Report Launch: The UK NAB will launched its Report “The Rise of Impact: Five Steps towards an Inclusive and Sustainable Economy” on 16 October 2017
REST OF THE REGION
  Central and Eastern European NAB catalyse ecosystem development: Members of the Social Investment Task Force in the Central and Eastern European region met for the third time to discuss progress made on building an impact investing ecosystem through the development of a first time sector report highlighting regional investment assets, new transactions, policies and instruments
  South African NAB efforts underway: South African impact investment leaders meet to discuss the national impact investment landscape and building a NAB
 
   
 
AUSTRALIA
  Australia NAB Chair honored: Rosemary Addis, AAB Chair, was invited to be the speaker for the Annual National Roadshow for “Women in Super”
  Impact Investment Roadshows: The newly created Impact Investment Forum, held its inaugural impact investing investor tours. These showcased a number of existing impact investments and key sector actors to investors across foundations, institutions and family offices
  Queensland’s third SIB: State Governments are continuing their efforts around SIBs with Queensland announcing its third SIB for the year, Youth CONNECT in July
  Review with Government: The Department of Social Services (DSS), hosted a discussion on the budget initiatives around impact investing- the SII Readiness Fund. Impact Investing Australia, as representatives of the AAB discussed its current Impact Investment Readiness Growth Grant initiative is seen as key to market development
  New Fund Launched: Australia has reported renewed new fund activity with the launch by Social Ventures Australia of its Diversified Impact Fund
INDIA
  India NAB releases McKinsey Research: India NAB released its study with McKinsey & Co. covering >500 impact investment transactions during 2010-2016 and to provide the first ever benchmarks for returns and impact in India
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  Indian NAB Chair honored: Geeta Goel, Chair- India NAB was featured by BusinessToday as one of the Most Powerful Women in Business in India
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ISRAEL
  Advocacy at work: Israel NAB, Social Finance Israel and the Israel Ministry of Finance have collaborated for a regulatory adjustment which will requires all institutional investors to publicly report whether their investment activities include ESG strategy or not. The new guidelines from the Director at the Department of Capital Markets, Insurance, and Savings is expected to give a fillip to ESG, SRI and Impact Investments
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  New Social Business Law: Israel’s Preliminary Knesset Vote approved a new Social Business law which will create specific business sector definition for Israeli Social Businesses to maximize the benefits of Social Businesses to Society
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JAPAN  
  Advisory Group setup for Japanese Impact Wholesaler: Two NAB members were appointed to the advisory group of dormant bank account fund to do a research and make recommendations on effective usage of the fund  
  New SIBs launched: Two SIBs on diabetes prevention and cancer screening started in local cities attracted a major bank, individual investors and Japan Social Impact Investment Foundation
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  Successful SIB Conference: Sumitomo Mitsui Banking Corporation’s symposium on Social Impact Bonds with government officials and financial institutions attracted 300 delegates  
REST OF THE REGION
  Social Enterprise World Forum: Social Enterprise World Forum was hosted by Akina Foundation in Christchurch, New Zealand during mid -September
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  Bangladesh’s first Impact Fund: Build Bangladesh and UNDP’s UNSIF (United Nations SDG Impact Finance) launched Bangladesh’s first impact fund with a target size of $100 million which will focus on SDG goals in Bangladesh
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EVENTS
  European NABs Catch-Up, 8 November 2017: European Union NABs will be meeting on the sidelines of EVPA conference in Oslo
  Italian NAB Workshop, 8 November 2017: Italian NAB is organizing a workshop for government representatives and public administration officers.
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  Impact Investing Forum, Japan, 19-20 February 2018: Japan NAB will host an Impact Investing Forum featuring Sir Ronald Cohen & Shuichi Ohno, Chair- Japan NAB in Tokyo
  South Korea Roadshow, 22-23 February 2018: Sir Ronald Cohen will visit Seoul, South Korea for a roadshow to review and support the development of our South Korean NAB
  GSG Impact Summit, India, October/November 2018: India will host the fourth GSG Impact Summit and will shortly announce the dates and venue
ABOUT GSG
The GSG is an independent global steering group catalyzing impact investment and entrepreneurship to benefit people and the planet. The GSG was established in August 2015 as the successor to and incorporating the work of the Social Impact Investment Taskforce established under the UK´s presidency of the G8. The GSG currently has 16 National Advisory Boards, with 16 countries plus the EU as members. Chaired by Sir Ronald Cohen, the GSG brings together leaders from the worlds of finance, business and philanthropy.