Upon completion of this course, participants will be able to:

• Define relevant **Key Performance Indicators (KPIs)** to measure the economic impact of finance companies (e.g., SME employment supported, value chain financing, inclusion).
• Design a comprehensive **data collection and reporting framework** to reliably capture impact metrics alongside financial performance.
• Develop methodologies for attributing the **marginal economic impact** of a finance company's activities versus the baseline.
• Analyze the differentiated impact of various financing activities (e.g., leasing, microfinance, factoring) on specific economic sectors and groups.
• Establish protocols for the independent **verification and audit** of reported economic impact data to prevent "impact washing."
• Understand how to use economic impact data to inform regulatory policy, targeted incentives, and financial sector development strategy.
• Apply the principles of international impact measurement standards (e.g., Operating Principles for Impact Management) to the NBFI sector.
• Formulate policy recommendations for standardizing impact reporting across the finance company sector.

• Economic Policy and Research Staff at Central Banks and Regulatory Bodies.
• Financial Sector Development and Strategy Managers.
• Risk and Impact Reporting Specialists at Finance Companies and NBFIs.
• Government Ministries involved in SME Development and Financial Inclusion.
• Internal Auditors focused on the Verification of Non-Financial Metrics.

• Impact KPI Definition and Theory of Change Design Workshops
• Case Studies on Impact Measurement Failures and "Impact Washing"
• Group Activities on Designing a Data Collection and Verification Protocol for SME Lending Impact
• Expert Lectures on Global Impact Measurement Standards (e.g., Impact Management Project)
• Workshops on Attributing Marginal Economic Impact and Counterfactual Analysis
• Individual Exercises on Designing a Standardized NBFI Impact Reporting Template

Unit 1: Policy Rationale for Economic Impact Measurement

• The role of finance companies in the national economy (SME funding, consumer credit, leasing).
• Defining **economic impact** in a policy context (e.g., job creation, value addition, financial access).
• The policy need: justifying regulatory scope and designing targeted incentives based on measurable impact.
• Review of international approaches to non-bank sector impact reporting (e.g., DFIs, MDBs).
• The difference between financial performance metrics and economic/developmental impact metrics.

Unit 2: Designing the Impact Measurement Framework

• Identifying and defining actionable **Key Performance Indicators (KPIs)** for various financing activities (e.g., number of new micro-entrepreneurs financed).
• Establishing the **theory of change** for different types of financial intermediation and their intended economic outcomes.
• Developing baseline and counterfactual scenarios for accurately measuring the **additionality** of impact.
• Protocols for classifying and segmenting finance company portfolios by economic sector and target group.
• The use of standardized reporting templates for impact data collection from NBFIs.

Unit 3: Data Collection, Verification, and Reporting

• Designing robust **data collection protocols** to ensure the accuracy and timeliness of impact metrics.
• Protocols for the independent **verification and audit** of reported impact data and underlying evidence.
• Addressing the challenge of data aggregation and reporting across diverse NBFI business models.
• Applying principles of data governance and security to sensitive economic and beneficiary data.
• Developing the final external report format for policymakers and the public on sector impact.

Unit 4: Analyzing and Utilizing Impact Data

• Methodologies for analyzing the concentration and distribution of impact across regions and demographics.
• Using impact data to inform the design of **risk-sharing mechanisms and public guarantees** for specific sectors.
• Analyzing the correlation between financial risk and economic impact (e.g., high-risk lending with high impact).
• Translating economic impact findings into concrete recommendations for regulatory policy and development strategy.
• The role of technology (e.g., GIS, big data) in enhancing the efficiency of impact tracking.

Unit 5: Standards, Governance, and Future Trends

• Review of global standards: **Operating Principles for Impact Management** and similar frameworks.
• Governance requirements for internal oversight of impact measurement and reporting (e.g., Board committees).
• The role of third-party impact certification and rating agencies.
• Integrating **ESG and climate impact** into the core economic impact measurement framework.
• Strategic considerations for linking impact performance to regulatory treatment (e.g., lower capital for high-impact assets).