What can impact investing learn from microfinance.
“Unlike the traditional development actors that paved the way in microfinance, impact investors rarely have strong monitoring and evaluation habits and know little of the academic concepts of impact assessment. […] The microfinance sector offers an answer. Today, rather than collect data to prove impact, stakeholders are more likely to collect data aimed at holding microfinance institutions (MFIs) accountable to their social mission. In practice, this means encouraging financial providers to integrate social intentions into their strategy and management systems, and to monitor them with key performance indicators.”
To learn more about SMP and the tool for Impact-Driven Investor Assessment (IDIA), read the article on page 9 written by Bonnie Brusky, Deputy Director of CERISE.