Educate Girls along with UBS Optimus Foundation (UBSOF) and Children's Investment Fund Foundation (CIFF) launched the world's first Development Impact Bond (DIB) in education on June 16, 2014. It's a 3-year pilot that begun in the academic year of 2015.
In this payment-by-results model, CIFF (as an outcome payer) promises to pay back the investor UBSOF the original investment amount plus extra returns as long as the agreed targets are delivered by Educate Girls (the service provider). The targets are focused on increased enrollment of marginalised girls and the children's progress in literacy and numeracy outcomes, which will be assessed by an independent evaluator over the course of the three years tenure. Results-based financing consultancy, Instiglio, designed the DIB and provides performance management support to Educate Girls.
The Educate Girls DIB program, with a budget of US$ 270,000, works with 166 schools across 140 villages in Bhilwara and aims to benefit 15,000 children, 9,000 of them girls. The program's ultimate goal is to improve education with an 80% focus on learning gains and a 20% focus on enrollment of girls.