How is social impact bonds model used by public sectors in impact investing in Finland?

This is a paper to look into how Social Impact Bonds model is used by public sectors in impact investing in Finland. Finland has made a number of impact investments to promote the nation’s well-being in different themes in the last decade. The paper started with the discussion of the modified defi...

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Main Author: Chen, Jianhong
Other Authors: Kauppakorkeakoulu, School of Business and Economics, Taloustieteet, Business and Economics, Jyväskylän yliopisto, University of Jyväskylä
Format: Master's thesis
Language:eng
Published: 2022
Subjects:
Online Access: https://jyx.jyu.fi/handle/123456789/82056
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author Chen, Jianhong
author2 Kauppakorkeakoulu School of Business and Economics Taloustieteet Business and Economics Jyväskylän yliopisto University of Jyväskylä
author_facet Chen, Jianhong Kauppakorkeakoulu School of Business and Economics Taloustieteet Business and Economics Jyväskylän yliopisto University of Jyväskylä Chen, Jianhong Kauppakorkeakoulu School of Business and Economics Taloustieteet Business and Economics Jyväskylän yliopisto University of Jyväskylä
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description This is a paper to look into how Social Impact Bonds model is used by public sectors in impact investing in Finland. Finland has made a number of impact investments to promote the nation’s well-being in different themes in the last decade. The paper started with the discussion of the modified definition of impact investing concept in Finland and its development. Combined with the multiple case studies including the Finnish Innovation Fund (Sitra), other public organizations, different municipalities in various impact investing projects using Social Impact Bonds model, I emphasized on the use of Social Impact Bonds model in the impact investing process as a key factor to ensure the realization of the expected outcomes. Based on the Finnish characterized impact investing method of modelling, the research has concluded that Social Impact Bonds (SIBs) model is believed to be effective in carrying out impact investing for positive outcomes in Finland, which not only prioritizes the significance of impact investments but also highlights the importance of Social Impact Bonds model in the process. Furthermore, the Social Impact Bonds model in impact investing has attracted private funds into public projects, which helped ease the public financial budget limitation for impact investing. In the meanwhile, “performance-based contracting” has enabled public sectors to pay only for the outcomes achieved, which is both cost-effective to the public sectors and on the other hand, encouraging the investors to perform their best. Though some of the projects are still on-going on a long-term basis and significant outcomes are yet to be seen, Finnish public sectors are holding an affirmative attitude to this Social Impact Bonds model in impact investment practices in Finland.
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spellingShingle Chen, Jianhong How is social impact bonds model used by public sectors in impact investing in Finland? Social Impact Bonds model paid by results future-oriented Yrittäjyys Entrepreneurship 20422 investoinnit sijoitustoiminta eettinen sijoittaminen investments investment activities ethical investing
title How is social impact bonds model used by public sectors in impact investing in Finland?
title_full How is social impact bonds model used by public sectors in impact investing in Finland?
title_fullStr How is social impact bonds model used by public sectors in impact investing in Finland? How is social impact bonds model used by public sectors in impact investing in Finland?
title_full_unstemmed How is social impact bonds model used by public sectors in impact investing in Finland? How is social impact bonds model used by public sectors in impact investing in Finland?
title_short How is social impact bonds model used by public sectors in impact investing in Finland?
title_sort how is social impact bonds model used by public sectors in impact investing in finland
title_txtP How is social impact bonds model used by public sectors in impact investing in Finland?
topic Social Impact Bonds model paid by results future-oriented Yrittäjyys Entrepreneurship 20422 investoinnit sijoitustoiminta eettinen sijoittaminen investments investment activities ethical investing
topic_facet 20422 Entrepreneurship Social Impact Bonds model Yrittäjyys eettinen sijoittaminen ethical investing future-oriented investment activities investments investoinnit paid by results sijoitustoiminta
url https://jyx.jyu.fi/handle/123456789/82056 http://www.urn.fi/URN:NBN:fi:jyu-202206283659
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