EU Funding Update for VP/SI Practitioners EFSI Social Impact 23 - PowerPoint PPT Presentation

EU Webinar Series | #8 EU Funding Update for VP/SI Practitioners EFSI Social Impact 23 November 2016 With the financial With the financial 1 support of the support of the European Union European Union

Welcome Elinor de Pret Head of Policy EVPA Simon Ott Policy Analyst EVPA With the financial 2 support of the European Union

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Policy @ EVPA European Thought Leader Nationa l Policy “Nexus” EU Webinar Series Involvement of EVPA “ Expert ” Involvement of “ Policy Experts ” Members EVPA Policy Committee (as Advisory & Validating Body) With the financial 5 support of the European Union

EU Webinar Series #1 | 25.06.2014 | EuSEF Regulation #2 | 25.09.2014 | Impact Measurement #3 | 05.03.2015 | SIBs #4 | 17.06.2015 | EU Funding for VP/SI #5 | 23.09.2015 | EU Public Procurement #6 | 16.03.2016 | Crowdfunding #7 | 21.06.2016 | Retail Social Investment #8 | 23.11.2016 | EU Funding Update  Wide Reach* : 903 registrations 429 “live” participants + 879 online views * on 22/11/2016 With the financial 6 support of the European Union

Welcome to Today’s Webinar! EU Funding Update for VP/SI Practitioners EFSI Social Impact With the financial 7 support of the European Union

Welcome to Our e-Speakers! Shadin Viratham Silvia Manca COM (DG EMPL / E1) EIF Georgia Efremova Yvette Go COM (DG ECFIN / L2) EIF With the financial 8 support of the European Union

Programme Overview of EU’s policies & funding instruments in 1. Shadin Viratham support of social enterprises Georgia Efremova An Introduction to the European Investment Plan, 2. EFSI and its Equity Instruments for Social Impact Andon Kalibatsev (Q&A) Silvia Manca EFSI Equity Instruments for Social Impact: how do 3. they work in practice? Yvette Go Panel Discussion & Interactive Q&A Session 4. (moderated by Elinor de Pret ) With the financial 9 support of the European Union

1. Overview of EU Policies & Funding Shadin Viratham Programme Manager, EaSI Financial Instruments and EFSI European Commission (DG EMPL / E1) With the financial 10 support of the European Union

EFSI Equity for Social Impact EU funding for social enterprises Shadin Viratham Pulsawatdi DG EMPL.E1 Job Creation EVPA Webinar Series, November 23, 2016

Social enterprises share 3 common dimensions Social Entrepreneurial Social as primary Continuous economic objective activity Governance Limits on distribution of profits

Social Business Initiative: a clear commitment to stimulate the creation, development and growth of social enterprises • Mapping study Visibility and • OECD recognition • Mainstreaming in the EU programmes • EaSI programme • European Structural & Investment Funds Access to finance (ESF , ERDF) • European Social Entrepreneurship Funds (EuSEF) Regulation • Public procurement Regulatory environment

Social enterprise finance: why is EU support needed? • There is a mismatch between demand and supply • Available investments do not suit the needs of social enterprises

Dual objective under the EU programme for Employment and Social Innovation (EaSI) 1 Facilitate access to finance for social enterprises 2 Support the development of the social investment market

EU funding: offering the right product mix to boost support for social enterprises under EaSI Guarantees Equity under EFSI SMEW Financial Social Capacity-building Intermediaries instruments enterprises Investments Loans up to EUR 500k Other products Grants Actions to boost the supply and demand sides of the market

2. EU Investment Plan & EFSI Georgia Efremova Policy Officer, Financial instruments - Social Impact Investment European Commission (DG ECFIN / L2) With the financial 17 support of the European Union

EFSI Equity for Social Impact Investment Plan for Europe Georgia EFREMOVA DG ECFIN, Financing for Innovation, Competitiveness and Employment EVPA Webinar Series, November 23, 2016

The Investment Plan for Europe EFSI: a bold new approach to public spending   Leveraging private investment for increased efficiency  Catalytic role to unlock and attract more funding that is better suited to social enterprises  First pillar of the Investment Plan for Europe Investment Plan for Europe   Launched in 2015 with the goal of helping European MS to overcome the current investment gaps  Consistency with EU policies for smart, sustainable and inclusive growth, quality job creation  Additionality of investments: risky projects in strategic sectors with high externalities  Looking forward: working with all three pillars of the Investment Plan to tap the potential of IPE for delivering social impact

2. MAKING FINANCE 1. MOBILISING FINANCE REACH THE REAL ECONOMY FOR INVESTMENT EFSI guarantee fund: € 16 billion EU budget European Investment Project Portal   guarantee, € 5 billion of EIB resources (EIPP)- greater visibility of investment Strategic investments in infrastructure as opportunities  well as risk finance for small businesses European Investment Advisory Hub  Infrastructure & Innovation and SME (EIAH)- Europe's gateway to investment  Windows support 3. IMPROVED INVESTMENT ENVIRONMENT Facilitating the deployment and usage of equity  type products Alleviating regulatory hurdles faced by private  funders and enterprises themselves

The EFSI Opportunity  Both IIW and SMEW make specific reference to social infrastructure and social enterprises . Excellent performance of EFSI SMEW , with a mix of facilities covering:  both debt and equity financing  finance to SMEs and small mid-caps in the EU in early, as well as  expansion stages of their life-cycle specifically the needs of higher-risk, innovative/ research-intensive  companies, start-ups and high-growth SMEs, social enterprises , internationalisation of SMEs. More volumes and faster outreach of existing facilities (Cosme, Innovfin,  EaSI) EFSI Equity product targeting previously unaddressed needs, including  social impact

EFSI SMEW Social Instruments Boosting the volumes • EaSI Capped Guarantee and outreach of the Enhancing (launched 2015) EaSI products EaSI for micro- and social • Future EaSI products (to be instruments entrepreneurship: developed H1 2017) ensuring high leverage effect. Piloting innovative Social Impact equity instruments to • Social Incubators/Accelerators ensure the right product Window • Social Business Angels mix for social under EFSI entrepreneurship and • Social Impact Pilot Product Equity Product innovation: strong focus (launched October 2016) on the early- stage funding segment

EFSI Equity Product: Social Impact Window Social An incubation facility to support the Min Eur investment readiness of early (pre- Incubators/ 30 m commercial) stage social enterprises in Accelerators need of small investment tickets EFSI Equity Social A pan-European co-investment facility Min Eur Social Business targeting social enterprises at seed and 25m early stage. Angels Impact Window An innovative financing mechanism to Payment-by- support the development of social impact Min Eur results/ market in Europe and scale- up social 25 m SIB schemes service provision.

3. EFSI Social Impact in Practice Silvia Manca Manager, Social Impact Programmes - Institutional Business Dvpt EIF Yvette Go Head of Social & Environmental Impact Investments EIF With the financial 24 support of the European Union

Social ial impact act under r EFSI I New tools s for impact act inves esting ting EVPA A – Webina nar Silv lvia ia Manca & Yvette ette Go 23 Novem ember er 2016 16

Di Discl claimer aimer  This document is for information purposes only and is intended to provide an outline of the main terms for the products described therein, which are indicative, non-exhaustive and subject to change  This document does not constitute a recommendation, a solicitation, an offer or a binding commitment – either implicit or explicit – on the part of the EIF  This document and any information contained therein may not be circulated and/or reproduced in part or in full without the prior written consent of EIF 2