PIONEERING BANKING
“TO ENABLE INDIA’S NEXT WAVE OF DEVELOPMENT THERE HAS TO BE AN UPSURGE IN SOCIAL INVESTMENTS”
PREETI SINHA, SENIOR PRESIDENT AND GLOCAL CONVENOR YES Global Institute has been the pioneering private sector
What innovations do you feel hold the key towards catalyzing
think tank dedicated to the socio economic development of
private sector capital towards development?
India with a strong focus on Innovation. How do you see your various initiatives building an inclusive ecosystem for
Social Investment Opportunities and Tools! To enable India’s next wave
Entrepreneurship?
of development there has to be an upsurge in Social Investments. Social
YES Global Institute, the practicing think-tank, has been established as
social investments are aligned with the core businesses of a corporation, it
a division of YES BANK to focus on channelizing private sector capital
can act as an innovation hub.
investments aim to achieve social and financial returns. Additionally, if
towards India’s development. The Institute houses all the knowledge verticals within YES BANK and it is our belief that India’s equitable
Through investing in such opportunities a corporation learns about new
economic growth will be derived from adopting a robust partnership
markets, grows an existing market, fosters innovation and generates
amongst the public sector governance along with the private sector
sustainable financial returns.
innovation and entrepreneurship. Additionally, through leveraging the strong backbone of the public sector, the private sector investment
Firstly, the most common approach is the use of funds that combine
frameworks and the deployment of National innovative financing
regular financial performance with stated social impact goals; these
instruments, India will be able to achieve an equitable ecosystem that
are termed as Social Funds. Such Funds can enable small-scale public
promotes entrepreneurship.
investments targeted at meeting the needs of poor and vulnerable communities, through contributing social capital and development at the
YES Global Institute’s approach on taking these themes forward is to
grassroots level, which can then be repeated by the public sector.
connect capital and resources to growth and developmental projects. This is done via its research, analysis, convenings of Glocal leaders, and finally
Secondly, Social impact bonds (SIBs) are instruments whose pay-off
through launching market-based solutions for engaging private sector
is dependent on the achievement of a specific social outcome. Such
capital in India’s evolution.
instruments can enable governments to fund programmes without incurring the risk of failure. For non-profits, they represent potential
Currently, the Institute is on-boarding numerous platforms and
funding and finally for investors, they represent an opportunity to
initiatives to propel entrepreneurs as the next wave of equitable growth
generate returns and also achieve CSR goals.
for India. We have been developing several innovative financing instruments to enable entrepreneurs to further develop and scale.
Thirdly, in developing countries, like India, financial services firms
Moreover, we have recently created a concept note for Social Impact
support the unbanked and provide MicroFinance. With an emerging
Bonds, which could aid in the long-term goal of the Government of
middle class in India, such opportunities could drive economic growth
issuing public sector bonds.
and thereby enable economic development.
The Institute is also creating a YES Social Entrepreneurs Platform
It is imperative that India ideate tools to permit social investment
(YSE), where we are connecting Glocal Impact Investors with Social
opportunities and thereby enable innovation and development!
Entrepreneurs in the hopes of developing a sustainable ecosystem. This platform would serve as a global movement for entrepreneurs using
Impact Investing has emerged as the new buzzword globally to
business as a force for good.
catalyze investments in Social Entrepreneurship. According to you, what are the key steps that need to be taken to build and
At the Institute, we believe Innovation holds the key to leapfrogging India
scale the Impact Investing Market in India? What role do you
into its next stage of development.
feel YES Global Institute can play in this?
YES GLOBAL INSTITUTE |022
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