The Social Impact Bond (SIB) is a new tool for financing innovative social projects. SIBs were first used in 2010 in the United Kingdom in a program involving Peterborough prison inmates. This financial technique has subsequently been introduced across the world.
In the paper, Benjamin examines SIBs within the New Public Management (NPM) framework provided by Dunleavy et al. (2005). He analyses the extent to which this new financial tool reflects NPM with respect to its three main characteristics: disaggregation, competition and incentivization. Overall, 62 interviews were conducted with SIBs experts and practitioners from public, financial, private and social organizations in several countries. These interviews were undertaken after the first SIBs in English-speaking countries had matured, and at a time when the French government had decided to stimulate this new financial tool on a massive scale via a dedicated Call for Projects.
The paper is published in the journal Finance Contrôle Stratégie, and it is available in open-access here