Uzbekistan Early Childhood Education Social Impact Bond
The project aims to increase access to quality early-childhood education services by incentivizing private-sector service provision in urban areas of Uzbekistan. The Government of Uzbekistan (GoU) will pay for the achievement of the following outcomes:
1. Occupancy rate, to ensure that schools enroll at full or near-full capacity;
2. Enrollment of children with disabilities and from low-income families; and
3. Quality of learning environments, as measured by a standardized tool.
Sources of funds for this project include: GPRBA grant ($4.85 million), IDA credit ($5.15million), and state budget (return to the investor).
Non-performance or significant under performance of the social impact bond (SIB) will lead to lower yield and a potential loss of principal by the investor. The terms are being negotiated with investors. The SIB is expected to launch in January 2020.