UCL Institute for Innovation and Public Purpose


Patient Finance and Public Banking

IIPP research explores new forms of public banks, finance and governance to promote sustainable investment, working with public sector financial institutions and governments.


Tackling today's societal challenges, from Covid-19 recovery and climate change to improving public health and adjusting to demographic changes, requires steering investments and innovation towards achieving concrete public purpose goals. This needs not just any type of finance but patient, long-term, and transformative public finance. It also demands strategic design and coordination of public policies and capable financial bureaucracies to steer finance towards meeting policy goals.  

IIPP is working closely with public banks, multilaterals, investment funds, central banks, sovereign wealth funds and public financial authorities from around the world to transform their activities based on new theoretical and evidence-based insights into public purpose, financing of innovation and mission-oriented finance. IIPP has advised on the establishment of Scottish Investment Bank and published a number of policy reports exploring mission-oriented finance with case studies from various public financial institutions.

IIPP’s work on patient finance, public banking and governance looks at how diverse types of public financial institutions – from municipal to multilateral public banks – are helping to overcome economic, social, technological and ecological challenges; how different design features of public financial institutions affect their ability to operate successfully; where the multiple opportunities for new forms of public finance for public purpose exist around the world; what form financing policies can take and how these new policies and institutions affect and transform financial governance ‘toolbox’.

Policy implications

IIPP is working closely with public banks, multilaterals, investment funds, central banks, sovereign wealth funds and public financial authorities from around the world to transform their activities based on new theoretical and evidence-based insights into public purpose, financing of innovation and mission-oriented finance.


Development Finance Institutions in Europe (DeFInE)

The Green Giant: New Industrial Strategy for Norway


Journal articles
  • Marois, T. (2021) A Dynamic Theory of Public Banks (and Why it Matters)Review of Political Economy. Online March 2021. (working paper version)
  • Mikheeva, O. (2021) Financial governance of strategic investments: development banks and state-led investment function. Innovation and Development, special issue Financing Innovation for Development in the Global South, forthcoming.
  • McDonald, David A and Marois, T. and Spronk, S. (2021) 'Public Banks + Public Water = SDG 6?'. Water Alternatives, (14) 1, pp 117-134.
  • Deleidi, M., Mazzucato, M., & Semieniuk, G. (2020). “Neither crowding in nor out: Public direct investment   mobilising private investment into renewable electricity projects”. Energy Policy, 111195. https://doi.org/10.1016/j.enpol.2019.111195 (working paper version)
  • Laplane, A. and Mazzucato, M. (2020), “Socializing the risks and rewards of public investments: Economic, policy, and legal issues.” Research Policy. https://doi.org/10.1016/j.repolx.2020.100008
  • Lamperti, F., Mazzucato, M., Roventini, A., & Semieniuk, G. (2019). “The green transition: public policy, finance and the role of the State”. Vierteljahrshefte zur Wirtschaftsforschung/Quarterly Journal of Economic Research88(2), 73-88. https://doi.org/10.3790/vjh.88.2.73
  • Ho, S. and Marois, T. (2019) 'China’s Asset Management Companies as State Spatial–Temporal Strategy'. The China Quarterly, 239: 728-751. https://doi.org/10.1017/S0305741019000018
  • Mikheeva, O. and Tõnurist, P. (2019). 'Co-Creation for the Reduction of Uncertainty in Financial Governance: The Case of Monetary Authority of Singapore.’ Administrative Culture, 19 (2), 60-80.
  • Mikheeva, O. (2019). Financing of Innovation: National Development Banks in Newly Industrialized Countries of East Asia. Journal of Post Keynesian Economics, 42 (4), 590-619.
  • Juuse, E., Raudla, R., Cepilovs, A. and Mikheeva, O. (2019). 'The Europeanization of Financial Regulation and Supervision On the Baltic-Nordic Axis: National Bureaucracies’ Perspective’. Journal of Baltic Studies, https://doi.org/10.1080/01629778.2019.1678495 
  • Mazzucato, M. and Semieniuk, G (2018) “Financing renewable energy: who is financing what and why it matters”, Technological Forecasting and Social Change127, 8-22. http://www.sciencedirect.com/science/article/pii/S0040162517306820 (WP version  https://www.ucl.ac.uk/bartlett/public-purpose/sites/public-purpose/files/iipp-wp-2018-04.pdf)
  • Campiglio, E., Dafermos, Y., Monnin, P., Ryan-Collins, J., Schotten, G., & Tanaka, M. (2018) 'Climate change challenges for central banks and financial regulators', Nature Climate Change, 8 (6), pp. 462-468.
  • Grilli, L., Mazzucato, M. Meoli, M. and Scellato, G. (2017), “Sowing the seeds of the future: Policies for financing tomorrow’s innovations”, Introduction to Special Issue in Technological Forecasting and Social Change. https://doi.org/10.1016/j.techfore.2017.10.021
  • Mazzucato, M. and Semieniuk, G. (2017) “Public financing of innovation: new questions”, Oxford Review of Economic Policy, Volume 33 (1): 24–48. https://academic.oup.com/oxrep/article/33/1/24/2972707  
  • Ryan-Collins, J. (2017) 'Breaking the taboo: a history of monetary financing in Canada, 1930-1975', The British Journal of Sociology, 68 (4), pp. 643-669
  • Mazzucato, M. and Penna, C. (2016) “Beyond market failures: the market creating and shaping roles of state investment banks”, Journal of Economic Policy Reform, 19(4): 305-326, https://www.tandfonline.com/doi/pdf/10.1080/17487870.2016.1216416
  • Marois, T. and Güngen, A.R. (2016) ‘Credibility and Class in the Evolution of Turkey’s Public Banks’, Journal of Peasant Studies, 43(6): 1285 1309. https://doi.org/10.1080/03066150.2016.1176023
  • Burlamaqui, L., and Kattel, R. (2016). Development as leapfrogging, not convergence, not catch-up: Towards Schumpeterian theories of finance and development. Review of Political Economy28(2), pp. 270-288.
  • Burlamaqui, L. and Kattel, R. (2016). Assessing divergent development trajectories: Schumpeterian competition, finance and financial governance. Revista Brasileira de Inovação, 15(1), pp.9-32
  • Mazzucato, M. (2013), “Financing innovation: creative destruction vs. destructive creation,” in special issue of Industrial and Corporate Change, M. Mazzucato (ed.), 22(4): 851-867.
Working papers
Policy Reports and Briefs
  • Marois, T. (2021) Public Banks: Decarbonisation, Definancialisation, and Democratisation. Cambridge University Press.

  • Kattel, R., Drechsler, W. and Karo, E. (2021) Innovation bureaucracies: Let’s Make the State Entrepreneurial. Forthcoming in Yale University Press.

  • McDonald, D.A., Marois, T., and Barrowclough, D.V. (eds.) (2020) Public Banks and Covid-19: Combatting the Pandemic with Public Finance. Municipal Services Project (Kingston), UNCTAD (Geneva), and Eurodad (Brussels). https://publicbankscovid19.org/index.php/publications

  • Mazzucato, M. and Penna, C. Eds (2015) Mission-Oriented Finance for Innovation: New Ideas for Investment-Led Growth, Rowman & Littlefield, Book, ISBN 978-1-78348-495-9 http://www.policy-network.net/publications/4860/Mission-Oriented-Finance...

Book chapters
  • Mikheeva, O. and Juuse, E. (2021). ‘Development Finance in the Baltic States and the Process of Europeanisation.’ In Matthias Thiemann, Daniel Mertens and Peter Volberding (eds.) The Reinvention of Development Banking in the European Union: Industrial Policy in the Single Market and the Emergence of a Field, pp. 253-282. Oxford University Press.
  • Bone Dodds, G. & Pollard, J. (2020), Islamic Finance: diversity within difference. In: Gibson-graham, J.K & Dombroski, K eds. The Handbook of Diverse Economies. Cheltenham UK: Edward Elgar, pp. 346-353, https://www.e-elgar.com/shop/gbp/the-handbook-of-diverse-economies-97817...
  • Hemerijck, A., Mazzucato, M. and Reviglio, E. (2020) “Social Investment and Infrastructure” in C. Saraceno A European Public Investment Outlook, Chapter 7. Eds Cerniglia, F. and Saraceno, F, Open Book Publishers, Cambridge, UK. https://doi.org/10.11647/OBP.0222
  • Marois, T. (2020) ‘The KfW And Covid-19: Coordinating Public Finance Responses At Home And Abroad’. In: McDonald, David A. and Marois, Thomas and Barrowclough, Diana, (eds.), Public Banks And Covid-19: Combatting The Pandemic With Public Finance. Municipal Services Project/Eurodad/UNCTAD, pp 149-170.
  • Mazzucato, M. and Wray, L.R. (2016) “(Re) introducing Finance into Evolutionary Economics: Keynes, Schumpeter, Minsky and Financial Fragility” in Schumpeter’s Capitalism, Socialism and Democracy: A Twenty First Century Update, Eds. Burlamaqui, L. and Kattel, R. Routledge Studies in History of Economics, Oxford, UK, (WP version http://www.levyinstitute.org/pubs/wp_837.pdf
  • Mazzucato, M. (2016) “Innovation, the State and Patient Capital”, in Rethinking Capitalism Economics and Policy for Sustainable and Inclusive Growth, Chapter 6. Eds Jacobs, M. and Mazzucato, M, Wiley-Blackwell, London, UK 

View all IIPP publications

News and events