Social Impact Contracts: an innovation tool for social results

The Social Impact Bond (CIS) is an innovative mechanism for public procurement of privately financed social solutions. Focused on results, the CIS hires programs based on evidence of social impact, tying payment to the measurement of result indicators: the State commits to pay a certain amount, only if pre-established targets for a defined population are reached.

Sitawi specializes in the development and structuring of Social Impact Contracts in Brazil. Since 2015, we have been pioneering the development of the CIS ecosystem in Brazil, supporting the design, financing and implementation phases, advising governments, investors and/or interested operators.

The objective of this study is, therefore, to analyze the lessons learned from the experience of the 1st Sitawi Call for Social Impact Contracts, bringing (1) an understanding of the CIS mechanism, its state of the art in Brazil and practices carried out by governments of different countries and (2) an analysis of the potential demonstrated by the call, by establishing perspectives with public sector managers for the possibility of implementing payment for results mechanisms as a viable alternative for financing programs aimed at highly complex social areas.

We wish you a good read!

Related publications