Developing Impact Measurement Frameworks
Developing the Fund’s current impact framework was one of the Development Facility’s main priorities during its first four years of operation, as it maps out how the Fund pursues its goal by connecting actions to defined outcomes and final impacts, how progress is measured and reported, and, importantly, how impact reporting and results serve as a guiding tool for the Fund’s operative work. Starting in 2018, the Fund publishes an impact report every year where it highlights its environmental and socio-economic impact.
After the completion of the impact framework for the Fund, the Development Facility began working with its partner institutions to assist them in the development of their own impact framework. To date, the Development Facility has already worked with Banco Hipotecario in El Salvador and is currently collaborating with Grupo Promérica to establish an impact framework across all of its subsidiary banks. These technical assistance projects are divided into various phases in which the Development Facility assists each partner institution in designing their theory of change, analyzing their portfolio, and defining indicators to measure impact, as well as setting up a monitoring and evaluation system.