Dayoung Lee and Dia Banerjee from Dalberg Advisors, Performance Managers on the QEI share learnings on how to use data effectively to drive results.
Prachi Windlass and Samar Bajaj of Michael and Susan Dell Foundation write about what drove the exceptional performance of the QEI DIB in its first two years.
Richard Hawkes & Abha Thorat-Shah of British Asian Trust talk about why the Trust adopted Social Finance as a way forward to deliver impact and meet the SDGs.
The Quality Education India Development Impact Bond (DIB) has helped hundreds of thousands of children get the education they need to succeed.
India has made enormous progress in education to achieve a 99% rate of primary school access.
The Sustainable Development Goals have now focused attention on improving the quality of education to ensure that children in school are actually learning.
The 2018 ASER survey indicates that the average Grade V student in India is at least two years behind in grade appropriate learning.
This has been further exacerbated by the impacts from COVID-19.
The Quality Education India Development Impact Bond (DIB) supported Indian education providers to improve learning outcomes for primary school children through an innovative results-based funding mechanism.
Over four years, the Quality Education India DIB has enabled 200,000 children to improve their literacy and numeracy, contributing to a significant improvement in their life chances, and providing them with the skills to bring themselves out of poverty.
Improve literacy and numeracy skills for primary school children by tying funding to learning outcomes.
Increase the amount of private, philanthropic, and public funding allocated to outcomes-based development initiatives.
This is the largest education DIB in the world, and the first to bring together a broad coalition of private, not-for-profit, and public sector partners. This diverse partnership delivered the scale and expertise needed for the DIB to achieve its ambitious objectives.
Four years of QEI DIB: enhancing education quality in government schools
Watch this inspiring video highlighting the work delivered by education providers who were pivotal to the success of the QEI DIB.
How the Quality Education India DIB works
The DIB is a results-based finance mechanism where outcome funders only pay for successful results. If the target outcomes are not achieved, the funders do not pay.
The learning outcomes to be measured are agreed upon at the outset and independently verified. This applies efficiency and discipline to development funding.
The investor provides working capital to enable the implementing partners to deliver education interventions. The investor will recover its initial investment and earn a return if the interventions achieve their target outcomes. This return will be reinvested elsewhere for social good.
The DIB’s focus on outcomes transforms the traditional approach to grant-making and philanthropy. Every partner in the DIB is incentivised to achieve learning outcomes, not just deliver services. The result is maximum impact for money spent.
The final results of the DIB are now complete. Outcome funders have released funds in proportion to the outcomes actually achieved, with an additional return to the risk investor and incentive payments to the implementing partners for the overachievement.