Social finance

Social finance refers to financial activities that aim to generate positive social and environmental impacts alongside financial returns. It includes investments in projects or businesses that address social issues, such as poverty, education, or environmental sustainability. This approach uses tools like social impact bonds, microfinance, and community investing, allowing individuals and institutions to support initiatives that benefit society while also expecting a financial gain. Social finance bridges the gap between philanthropy and traditional investing, fostering a more inclusive economy that prioritizes both profit and purpose.