Impact Bond: Skill Impact Bond
Stage of development: Implementation
Policy sector: Employment and training
Social challenge: Millions of Indians have lost their jobs during the Covid-19 pandemic. Youth have been hit harder than adults (25 and older) in the immediate crisis and risk bearing higher longer-term economic and social costs2. The attention of the impact bond is to address the youth employment crisis and specifically that for young women. The focus on women in the Skill Impact Bond is a response to the negative impact of the pandemic on women and employment. Women were eight times more likely to lose jobs during the national lockdown than men3. Women made up 24% of the workforce before the pandemic, yet accounted for 28% of all job losses as the pandemic took hold4. 
Intervention: Sharing the vision of an ‘employment ready’ young India, the National Skill Development Corporation (NSDC) in collaboration with a coalition comprising the British Asian Trust, the Michael & Susan Dell Foundation, The Children’s Investment Fund Foundation, HSBC India, JSW Foundation and Dubai Cares, with FCDO (UK Government) & USAID as technical partners, launched the first-of-its-kind and the largest impact bond for employment outcomes in India in November 2021. The coalition has brought together a US$14.4 million fund to benefit 50,000 young people, 60% of whom will be women, over four years by equipping them with skills and providing wage employment in sectors including retail, apparel, healthcare, logistics, and others. The collaboration also aims at strengthening the capacity of India’s technical and vocational education ecosystem through knowledge exchange, evidence and data generation and mainstreaming good practices.
Primary SDG goal: 8
Secondary SDG goals: 5
Start of service provision: 2021-10
Dates notes: source4
Total investment commitment currency: USD
Total investment commitment: 4000000
Total investment commitment (USD): 4000000
Maximum potential outcome payment: 14400000 USD
Maximum potential outcome payment (USD): 14400000
Target population: 50,000 youth in India, 60% of whom will be women.
Targeted number of service users or beneficiaries: 50000
Targeted unit type: Individual