Pipeline
| ID | INDIGO-PL-0026 |
|---|---|
| Project Name - (Value) | Innovative Financing Models for boosting employment in vulnerable populations in Mozambique |
| Contact - Name - (Value) | Rob Mills |
| Contact - Email - (Value) | Rob.Mills@socialfinance.org.uk |
| State of Development - (Value) | Current |
| State of Development - (Source ID's) | source1 |
| Stage of Development - (Value) | Early stage |
| Stage of Development - (Source ID's) | source1 |
| Stage of Development - (Notes) | Post feasibility stage, where four concepts ready for market testing have been indentified and one will be selected. Currently seeking to partner with organisations and funders focused on gender and/or employment outcomes to operationalise these models. |
| Type of instrument and project - Impact Bond - (Value) | Yes |
| Type of instrument and project - Outcomes Fund - (Value) | No |
| Type of instrument and project - Social Impact Incentives (SIINC) - (Value) | No |
| Type of instrument and project - Social Impact Guarantee - (Value) | No |
| Type of instrument and project - Payment-by-results (no pre-financing) - (Value) | No |
| Type of instrument and project - Technical Assistance and Market-building program (Must involve dedicated grant resources) - (Value) | No |
| Type of instrument and project - Other - (Value) | Other: innovative financing models with an outcomes orientation |
| (Source ID's) | source1 |
| Part of a larger outcomes-based financing program? - Part of a larger outcomes-based financing program? - (Value) | No |
| Part of a larger outcomes-based financing program? - (Source ID's) | source1 |
| Dates - Expected Launch Date - (Value) | Q2 - 2023 or later |
| Dates - Total expected project development time - (Value) | 12-24 months |
| Dates - Expected length of project (years) - (Value) | TBD |
| Dates - Project design process began - (Value) | Q4 2020 |
| Dates - (Source ID's) | source1 |
| Rationale for using outcome based finance - (Value) | Integrating outcomes-based financing principles into innovative finance models will catalyze new funding for the DUYW employment challenge in Mozambique by (i) creating sharp and shared incentives for all parties to achieve a common goal, and (ii) facilitate new partnerships, including with the private sector, that allows different capabilities, perspectives and networks to work together for a common good |
| (Source ID's) | source1 |
| Key challenges to launch - (Value) | (1) Securing funding to take one or more of the models through to feasibility stage (2) Operationalise the detailed concepts that have been developed in the scoping phase |
| (Source ID's) | source1 |
| Role of the domestic government - Outcomes funder - (Value) | No |
| Role of the domestic government - Service provider - (Value) | No |
| Role of the domestic government - Member of project committee - (Value) | No |
| Role of the domestic government - No formal role - (Value) | No |
| Role of the domestic government - Other - (Value) | Yes |
| (Source ID's) | source1 |
| Service providers identified and selected - Request-for-proposals - (Value) | Yes |
| Service providers identified and selected - Direct contracting by outcome funder/investor/intermediary - (Value) | No |
| Service providers identified and selected - Provider-led deal development - (Value) | No |
| (Source ID's) | source1 |
| Feasibility study - (Value) | Yes |
| (Source ID's) | source1 |
| Proposed financing instruments - Debt - (Value) | No |
| Proposed financing instruments - Equity - (Value) | No |
| Proposed financing instruments - Guarantee - (Value) | No |
| Proposed financing instruments - Grant - (Value) | No |
| Proposed financing instruments - Other - (Value) | Key project terms will be identified in subsequent feasibility stages |
| (Source ID's) | source1 |
| Technical assistance grant - Technical assistance grant - (Value) | Yes |
| Technical assistance grant - (Source ID's) | source1 |
| Overall project finance - Estimated Maximum potential outcome payment - Currency - (Value) | USD |
| Overall project finance - Estimated Maximum potential outcome payment - Amount - (Value) | Ranging from potential $500k to $20m (varying significantly between models and the appetite of funders) |
| Overall project finance - (Source ID's) | source1 |
| Overall project finance - (Notes) | Up to $20 million |
| Purpose and classifications - Social/Developmental challenge - (Value) | 50 % of Mozambicans are still living in poverty and social and economic inequalities are continuing to grow. The challenges faced by disadvantaged urban youth and women (DUYW) are severe. Without deliberate intervention to address the constraints facing them, this trend is set to worsen. MUVA, a Mozambican NGO supporting women’s economic empowerment, in collaboration with Social Finance, identified four outcomes-oriented innovative finance intervention models with the potential to enable DUYW to access jobs and economic opportunities. Each responds to a specific set of challenges: (i) addressing the visible and invisible gender-specific barriers young women face when entering the workforce, (ii) the technical and financial support needed to incubate DUYW entrepreneurs, and (iii) the culture change required from larger employers to accommodate young women. (Scoping report: https://www.socialfinance.org.uk/sites/default/files/publications/muvareport.pdf) |
| Purpose and classifications - Expected intervention model - (Value) | (1) a Female Economic Empowerment and Employment DIB (2) an Early Stage Enterprise Catalytic Fund (3) a Gender-Impact Blended Finance Fund (4) an outcomes-oriented Public Goods Cash Transfer programme |
| Purpose and classifications - Policy sector - Employment and private sector development - (Value) | Yes |
| Purpose and classifications - Policy sector - Education - (Value) | No |
| Purpose and classifications - Policy sector - Social protection - (Value) | No |
| Purpose and classifications - Policy sector - Criminal justice - (Value) | No |
| Purpose and classifications - Policy sector - Health - (Value) | No |
| Purpose and classifications - Policy sector - Agriculture - (Value) | No |
| Purpose and classifications - Policy sector - Environment and climate change - (Value) | No |
| Purpose and classifications - Policy sector - Water, Sanitation and Hygiene - (Value) | No |
| Purpose and classifications - Policy sector - Energy - (Value) | No |
| Purpose and classifications - Policy sector - Humanitarian - (Value) | No |
| Purpose and classifications - Secondary SDG goals - (Value) | 10, 5, 8 |
| Purpose and classifications - (Source ID's) | source1 |
| Service users and beneficiaries - Target population - (Value) | Demand side: disadvantaged urban youth and young women in Mozambique Supply side: enterprises, ranging from subsistence entrepreneurs to larger enterprises |
| Service users and beneficiaries - Targeted number of unique service users or beneficiaries (total) - (Value) | TBD |
| Service users and beneficiaries - Unit type of targeted service users or beneficiaries - (Value) | Individual |
| Service users and beneficiaries - Country Classification of Service and beneficiaries - Low-income - (Value) | Yes |
| Service users and beneficiaries - Country Classification of Service and beneficiaries - Lower-middle-income - (Value) | No |
| Service users and beneficiaries - Country Classification of Service and beneficiaries - Upper-middle-income - (Value) | No |
| Service users and beneficiaries - Country Classification of Service and beneficiaries - High-income - (Value) | No |
| Service users and beneficiaries - (Source ID's) | source1 |
| Notes - (Value) | Data for this pipeline project was last updated in April 2022 |
| Delivery Locations 1: Location - Name - (Value) | Mozambique |
| Delivery Locations 1: Location - Country - (Value) | MZ |
| Delivery Locations 1: Lat/Lng - Lat - (Value) | 18.6657 |
| Delivery Locations 1: Lat/Lng - Lng - (Value) | 35.5296 |
| Sources 1: Id | source1 |
| Sources 1: Name - (Value) | Data shared by key stakeholders of the project through March 2022 Levoca questionnaire |
| Service Provisions 1: Notes | MUVA (& potentially others) |
| Outcome Payment Commitments 1: Notes | TBD |
| Investments 1: Notes | TBD |
| Intermediary services 1: Organisation Role Category - (Value) | Other |
| Intermediary services 1: Notes | Evaluator - TBD |
| Intermediary services 2: Organisation Role Category - (Value) | Other |
| Intermediary services 2: Notes | Advisor - Social Finance |
| Intermediary services 3: Organisation Role Category - (Value) | Other |
| Intermediary services 3: Notes | Other - TBD |
| Outcome Metrics 1: Id | outcomemetric1 |
| Outcome Metrics 1: Outcome Definition - (Value) | (1) Female Economic Empowerment and Employment DIB: increases in employability, increases in economic activity and increases in female agency, autonomy and choice |
| Outcome Metrics 1: Outcome validation Method - (Value) | Non-experimental |
| Outcome Metrics 2: Id | outcomemetric2 |
| Outcome Metrics 2: Outcome Definition - (Value) | (2) Early Stage Enterprise Catalytic Fund: increased employment of DUYW populations, social value created by SMEs |
| Outcome Metrics 2: Outcome validation Method - (Value) | Non-experimental |
| Outcome Metrics 3: Id | outcomemetric3 |
| Outcome Metrics 3: Outcome Definition - (Value) | (3) Gender-Impact Blended Finance Fund: large firms’ performance against gender equality and women’s empowerment indices |
| Outcome Metrics 3: Outcome validation Method - (Value) | Non-experimental |
| Outcome Metrics 4: Id | outcomemetric4 |
| Outcome Metrics 4: Outcome Definition - (Value) | (4) Public Goods Cash Transfer programme: payments linked to public good creation, including green/environmental benefits Specific metrics TBD. |
| Outcome Metrics 4: Outcome validation Method - (Value) | Non-experimental |