Read First (Primero Lee) Impact Bond
The Read First Impact Bond, Chiles inaugural impact bond, aimed to enhance literacy skills among young children while simultaneously building teaching capacity within primary schools. The initiative was implemented by Fundación Crecer con Todos and targeted schools with high vulnerability indices and low academic performance in 4th-grade language testing. The program focused on improving reading comprehension, reading aloud, and writing skills among children through structured literacy interventions. Teachers and school leadership teams were equipped with the Primero Lee program, with their implementation quality assessed via activity checklists. Childrens literacy progress was measured through standardized tests.
The financing model employed a social impact bond structure, where five investors provided upfront capital through the Doble Impacto investment platform. Outcome payments were contingent on achieving specific literacy and teaching quality metrics, funded by five charitable foundations and philanthropists. This results-based financing approach allowed for shared financial risk among stakeholders and incentivized measurable educational outcomes.
By the end of the initiative, the program successfully enhanced reading comprehension and writing skills, with participating students showing measurable progress in standardized literacy assessments. Additionally, the initiative built substantial teaching capacity, equipping educators with effective pedagogical tools and methodologies.
Pros
Encouraged innovation in educational interventions by linking funding to outcomes.
Built local capacity for designing and implementing impact bonds, creating a replicable model for future initiatives.
Provided a scalable solution for addressing educational challenges in under-resourced areas
Partners
Fundación Crecer con Todos (Implementer)
Doble Impacto (Investment Platform)
Five charitable foundations/philanthropists (Outcome Funders)
