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WATCH: How social impact bonds can transform SA’s social services

Are social impact bonds the answer to better social welfare services? To answer this question, Business Day TV’s Alishia Seckam spoke to Intellidex social economy research manager Dr Zoheb Khan, who analysed the first two SIBs in the country. Khan points out that SIBs are still very young in SA. SIBs, essentially, are a payment-by-results financing model for social wealth services. Investors provide working capital upfront to NGOs. If the NGO is successful and meets outcome targets, defined in the SIB, then the outcome funder repays investors with amounts that are usually pre-determined. Watch the full interview on Business Day TV.