Initiative: Building Economic Resilience of Vulnerable Populations
The impact of the pandemic Covid 19 has hit all sections of the society with the vulnerable populations bearing the brunt more than others. There are efforts ongoing for relief and recovery. The next stage is on building the economic resilience of these vulnerable communities so that they can manage future shocks and setbacks. Building resilience is important and difficult in normal circumstances and even more so in the context of Covid 19.
The purpose of this impact canvas is bringing together a group of thought leaders and CAC partners who can help find ways to do it. The approach is through creating solution circles with multiple groups of diverse backgrounds and being open for new approaches. And leveraging existing knowledge and new levers for doing it.
While relief and recovery efforts to support vulnerable populations during the pandemic are ongoing, it is imperative that we also build the economic resilience of these communities so they can better manage future shocks and setbacks. This impact canvas has developed and deployed the CDAR approach to build resilience for populations that are disproportionately affected by the pandemic. According to the approach, the pathways designed to enhance resilience are conservation (cost cutting, risk reduction, etc.), diversification (of income and revenue streams), aggregation (helping the poor save and invest), and risk pooling (formal and informal insurance mechanisms).
Key outcomes expected are:
- Increased knowledge on available resilience building definitions, frameworks, models and ideas available for use through an inventory of practical approaches and tools.
- Deployable, scalable and tested resilience building models that integrate implementers, investors and public systems for the benefit of vulnerable communities
- Diversification of income sources, savings, mutual help and formal insurance for communities
- Increased fund accessibility with lower interest rates through the soft loans approach.