January 5, 2021
Dream Incubator and Toyota City to Launch Business Aimed at Reduction in the Number of Seniors Requiring Nursing Care
Dream Incubator Inc. (headquartered in Chiyoda-ku, Tokyo; Representative Director & CEO Tetsuro Harada; “DI”) will proceed to launch a new enterprise by utilizing social impact bonds in collaboration with Toyota City, Aichi Prefecture (Mayor Toshihiko Ota). The business aims to reduce the number of seniors requiring nursing care by providing them socialization opportunities.
Social impact bonds (SIBs) have garnered attention as a new type of public–private partnership aimed to solve social issues in which governments conduct social projects using private funding on a pay-for-success basis. The government leverages funding and ingenuity from one or more private companies to operate a project and pays the private sector partner(s) based on the success of the project. The arrangement is an innovative way of addressing social issues.
Toyota City and DI have signed a memorandum related to research and studies for the purpose of utilizing SIBs*. The partners have designed a plan to address social issues including working toward the sustainable development goals (SDGs), and have studied utilizing SIBs for its realization.
Socialization opportunities for seniors have decreased under the COVID-19 pandemic and there has been an accompanying increase in the risk that seniors will require nursing care. Considering the urgency of this issue, Toyota City and DI have decided to launch a business aimed to reduce the number of seniors requiring nursing care as their first SIB project. Specifically, the partners will promote regular social participation for seniors by leveraging the ingenuity of private service providers with expertise in relevant offline businesses while ensuring thorough infection control by using the internet and avoiding the “three-Cs.” The partners will implement the project for approximately five years from 2021, with Toyota City utilizing funding from the corporate version of the hometown tax donation system. In the future, the partners aim to expand the initiative to have a greater impact on society by involving a large number of players, especially companies that provide social participation promotion programs. Toyota City and DI will continue to consider how to utilize SIBs towards the resolution of other social issues to create a sustainable society. DI welcomes inquiries from anyone/any companies with any interest in this project.
*Press release of February 25, 2020: Signing of Memorandum with Toyota City Related to Social Impact Bonds, a New Type of Public–Private Partnership for Solving Social Issues
-About Dream Incubator Inc.（https://www.dreamincubator.co.jp/）
DI works not only to develop services for client companies, but also to produce businesses that transform society and infuse energy into the Japanese economy. DI achieves this by combining strategic consulting skills—the most universal, valuable, and fundamental skills in the business sphere—with managerial abilities honed by a pragmatic and ownership-spirited mindset fostered through our incubation initiatives.
–About Toyota City （https://www.city.toyota.aichi.jp/index.html）
Toyota City is located in the center of Aichi, and occupies 17.8% of the prefecture. It is known as a “car town,” boasting an impressive domestic shipping volume of manufactured goods. Although the city is widely recognized as a world leader in manufacturing, it is also endowed with abundant greenery: over 70% of the urban area is covered in verdant woods, the majestic Yahagi River runs through the city center, and fields bearing seasonal fruits and vegetables extend for miles.
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