The social impact of the investments made takes into consideration the adequacy of the SME's activity with the SDGs (Sustainable Development Goals) on the one hand and its ability to meet the basic needs of local populations on the other hand.
Our impact methodology
Step 1 : Aligning the SME's activity with the SDGs (Sustainable Development Goals)
Each investment must meet an objective of “Sustainable economic growth” and be in at least one of the 4 sectors of activity above mentioned.
In addition, BACKBONE builds “Local partnerships”, to rely on the partners’ knowledge of the market and the needs
Specific targeted SDG for sustainable food supply, greater agricultural productivity and increased incomes for small-scale producers, including by ensuring equal access to land, other productive resources and inputs, knowledge, financial services and markets
Specific targeted SDG for access to quality essential health services and to safe, effective, quality and affordable essential medicines and vaccines
Specific targeted SDG for access for all young people and adults to free and equitable education from primary to higher level and to technical and vocational education under affordable conditions
Specific targeted SDGs for community services and social inclusion (mobility, social housing, renewable energy, communication tools …)
Step 2 : Evaluating the ability of the SME to meet the basic needs of the population
The Impact Management Project offers a framework to measure, improve and disclose positive and negative impacts generated by economics activities.
The IMP defines impact as a negative or positive consequence of an organization’s activity affecting a group of stakeholders, or the society as a whole. To define its impact, an organization must take into account 5 dimensions:
- « WHAT » – the nature, type and geographical area of the impact
- « WHO » – the actors targeted by the organization’s impact, and their characteristics
- « HOW MUCH » – the intensity of the impact
- « CONTRIBUTION » – the organization’s contribution to the observed outcomes
- « RISKS » – potential risks that could affect the organization’s contribution to the impact
The IMP methodology applied to BACKBONE enables us to assess the compliance of our investments with the mission of helping to protect human dignity.
The expectations of vulnerable population are to be understood as the quest to satisfy their basic needs (the basis for the protection of human dignity). Each company generates different impacts (positive or negative).
BACKBONE’s analysis focuses on the major positive impact generated by the company’s activity, and on the major negative impacts directly linked to the course of the activity (« WHAT »).
Examples of investment
Latin America & Africa
Mexico
Filling the basic health care gap for vulnerable population, in partnership with
People living in cities and rural areas with middle-low and low income face a dramatic lack of access to medical services, close to home. Therefore, most of them cannot be treated properly for some basic diseases, injuries, dental care, etc …
Owing to the poor care services offered by the public health system, BACKBONE together with Garantia, its Guadalajara-based local financial partner, and AXA Mexico (AXA Group) as co-investor, intend to support the growth of the private health sector – clinics, health care centers and medical practices – serving the population in need.
The challenge is to help the medium-low to low income population being treated with the best standards. To achieve this goal, the clinics are looking for an easier access to credit to acquire state-of-the-art generation medical equipment from the major worldwide manufacturers.
The investment programme supports financial leasing of equipment in gynecology, ophthalmology, radiography, cardiology, etc … to the clinics. Such equipment will allow them to increase significantly the number of diagnostics performed daily. As a result, it will increase the capacity for treating more patients.
Figures at June 30, 2023
Invested amount (financial leasing) : 8.3 million EUR
Number of clinics financed : 340
Number of patients with middle-low to low income cared : 353,545
Ivory Coast
Enhancing mobility for remote population in rural areas, in partnership with
Ouest-Transaction Côte d’Ivoire (OT-CI) was founded in 2002, as a public transportation company, to open up the country’s Western region which was dramatically underserved for people travelling from other regions, including from the city of Abidjan.
The company plays an absolutely essential role for low-income populations to travel to Abidjan for various purposes (administrative obligations, medical care, attending university, etc.).
The road is the vital physical link between regions that contributes to the opening up and to restrict migration to cities.
OT-CI offers an easily accessible solution for low income people. The company fulfills the expectations of this category of the population.
Today, OT-CI is one of the most recognized companies with 12 branches across the country, more than a dozen destinations and 17 trips per day from Monday to Sunday.
Loan amount disbursed : 200,000,000 XOF (+/- 300,000 EUR)
Purpose : financing of 5 mini-buses