Sida recognises the power inherent in individuals or groups who use their entrepreneurial skills and financially viable business models to solve social or environmental problems benefiting people living in poverty in developing countries. Sida wants to support and promote social entrepreneurship within multiple sectors. Potential benefits include improved health and living conditions, better access to education, better access to goods and services, strengthening of women’s rights, democratization and fight against corruption, as well as sustainable income generation through self-employment and direct and indirect employment.
Currently, Sida is supporting social entrepreneurs through the new programme Innovations Against Poverty – a risk sharing mechanism for innovative sustainable businesses. Another opportunity for Sida to promote, endorse and evaluate the effectiveness of social entrepreneurship is to support social entrepreneurs with potentially development impact in developing countries.
Sida is interested in finding ways to provide incentives for engaging philanthropic and social resources to invest in businesses with strong development impact. Currently, tools are being developed that will make venture capital available to social entrepreneurs and social businesses that contribute to making it possible for people in poverty to improve their living conditions.
In line with the rest of the B4D Programme, Sida’s approach to social entrepreneurship is flexible and strives to incorporate the rapidly growing international experience in social entrepreneurship.
