Momentum is growing in the impact economy and while government can help prime it, it can also help government shrink from its currently unsustainable size – another good discussion today on SIB News…
Momentum is building for government to play a larger role in the impact economy, the ecosystem where social entrepreneurs who have sustainable business models to generate both profit and good meet impact investors who want to invest in their ideas.
This was highlighted by the inclusion of impact investing on the 2013 G8 Summit agenda. Prior to the meeting the Omidyar Network, Big Society Capital, and the Global Impact Investing Network (GIIN) wrote a letter urging global leaders to recognize the need to further develop and support this ecosystem. The letter was co-signed by over 90 large banks, fund managers, service providers, and other stakeholders in the impact economy. Additionally, the White House unveiled its National Impact Investing Initiative (NII) at the G8 Social Impact Investing Forum.
These initiatives are steps in the right direction and add to an ongoing conversation about government’s role in the impact economy. In an era of tight budgets, the private sector can be a part of solving our nation’s toughest challenges.