A decisive step toward attracting public and private capital into social infrastructure investments: the Social Infrastructure Impact Investment Index (SI4) has officially been launched.
The white paper, titled “The Social Infrastructure Impact Investment Index (SI4)”, introduces a new European framework for measuring and guiding impact investments in social infrastructure. Among the project’s key partners is IFAB, which played a significant role in developing the model’s methodological and technological foundations.
Developed through a collaboration between institutions, research bodies, and market stakeholders, the white paper addresses a pressing challenge: bridging the €1.5 trillion gap between existing investment and the actual needs in areas such as affordable housing, healthcare, education, and social care.
“Building a reliable methodological framework to assess the social impact of investments is essential for attracting private capital and aligning with public policy objectives. Thanks to the use of advanced tools such as econometric analysis and artificial intelligence, the SI4 model marks a true leap forward for the European impact investing ecosystem” said Marta Carboni, Head of Innovation & Business Development and IFAB’s lead on the project.
An innovative framework for more informed investment decisions
The SI4 Index is designed to serve as a quantitative and customizable tool for assessing and comparing the social impact of infrastructure projects, starting with a case study on social housing. The model integrates key European regulations (including CSRD and ESRS), ESG metrics, and best practices from the field, offering investors a reliable and transparent standard for evaluation.
The methodology is built on:
- Social impact categories: inclusion, tenant well-being, energy efficiency, accessibility
- Advanced econometric analysis: linking social impact with financial value
- AI and big data tools: customizing impact indicators at the local level
Two flagship case studies: Merezzate and 5Square in Milan
The paper presents two exemplary urban regeneration projects in Milan — Merezzate and 5Square, both developed by Redo Sgr — as benchmarks in sustainable, inclusive, high-impact housing. Thanks to the contribution of technical partners, including IFAB, the SI4 model was successfully tested on real-world data, confirming its robustness and scalability.
A new reference standard for the European impact investing market
With the support of the European Commission (DG Employment, Social Affairs and Inclusion), the SI4 model aims to become a recognized European standard for measuring social impact. It contributes to building investor trust while guiding the market toward truly transformative projects.
For IFAB, participation in the SI4 project exemplifies its core mission: putting technology at the service of human development and social cohesion, building bridges between research, innovation, and public policy.
Want to learn more?
Download the full white paper here.
