What is Skill Impact Bond?

Skill Impact Bond is the first development impact bond in India dedicated to skills training and job placement. Its objective is to benefit 50,000 young Indians over four years, with 60% of the beneficiaries being women.This innovative outcomes-based financing tool uses private sector capital and expertise, focusing on job placement and retention rather than merely on training and certification.

How it works?

Investment

Risk investors commit USD 4 million, used to fund service provider interventions upfront

Delivery

Service Providers deliver skilling interventions to improve employment outcomes

Verification

Employment outcomes are independently verified by third-party evaluator

Repayment

Outcome funders repay up to USD 14M over 4 years for achieved outcomes.

Female

Male

Unmarried

Married

Consortium of Partners

The Skill Impact Bond is a four-year initiative led by NSDC, with NSDC and the Michael & Susan Dell Foundation (MSDF) as risk investors, committing $4 million in upfront capital. Outcome funders—CIFF, JSW Foundation, HSBC India, and Dubai Cares—are convened by the British Asian Trust, which also acts as the transaction manager. Technical partners include USAID and FCDO (UK Government), with Oxford Policy Management as the independent evaluator. NSDC and Dalberg Advisors serve as performance managers, supporting training partners selected through a rigorous process. Training is closely monitored, and outcomes are independently assessed to ensure continual improvement and goal achievement.

Risk Investors

Funders

Independent Evaluters

Transaction Manager

Performance Manager

Techinal Partners

Report Highlights

Title	Document
Best_Practices_for_Employment_Outcomes
Migration_and_Decision_making