Social Ventures Australia (SVA) welcomes the attention on impact investing in the government’s response to the Financial Systems Inquiry (FSI) released today.
The Government intends to develop legislative amendments to provide greater certainty for private ancillary funds wishing to invest in social impact bonds, and to prepare a discussion paper to explore ways to facilitate development of the impact investment market in Australia.
Ian Learmonth, Executive Director of Impact Investing at SVA commented:
‘We are delighted that the government have taken the FSI recommendations on impact investing on board and that they will be actioning these through a discussion paper exploring the issues in more depth.
‘We have been advocating for a number of years for greater attention on the potential of impact investing to deliver positive and sustainable social change in the community. A more robust impact investing market will result in increased capital flow to the community sector, enable government to fund preventative social services with greater efficacy, and improve innovation, data collection and reporting.
‘We look forward to participating in the discussion paper process.
Read more on SVA’s submission to the Financial Systems Inquiry.
For more on the government response see Improving Australia’s Financial System.