INTHEBLACK August 2024 - Flipbook - Page 19
Measuring
social impact
Momentum is growing for the “S” in ESG,
as more organisations report on the
impact of their social programs. In the
absence of a standardised measurement
framework, organisations must take care
not to overstate their social impact.
Words Susan Muldowney
In September 2023, Australian Unity secured an
innovative sustainability-linked loan deal that connects
financing to its social value performance. Aligned
to the group’s Community and Social Values (CSV )
reporting framework, the A$50 million loan differs
from most deals in the ESG space as one of the first in
Australia to focus on the “S” for social.
While capital has been flowing into the clean energy
transition for the past decade through instruments
like green bonds and loans, deals that centre on social
aspects have been slower to take off. One of the
reasons has been a lack of guidance for measuring and
reporting social impact, but that is starting to change.
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