Household Economic Strengthening: Concepts & Principles

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Presentation on fundamental concepts and principles of household economic strengthening for orphans and vulnerable children delivered by Jason Wolfe of USAID's Microenterprise Development office at the 2009 PEPFAR OVC Leadership Forum in Maputo, Mozambique.

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Household Economic Strengthening Concepts & Principles Jason Wolfe USAID/EGAT “ AIDS does not kill suddenly, but it comes and takes a lot of money away with it.” —Microfinance client, Uganda

WHAT IS ECONOMIC STRENGTHENING? ,[object Object],Ability to cope with shocks ,[object Object],[object Object],[object Object],[object Object]

HOUSEHOLD ASSETS Source: www.livelihoods.org Human Social Natural Physical Financial

HOUSEHOLD ECONOMIC MODEL ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Credit Providers Social Networks Inputs & Expenditures Income & Other Additions Source: M. Chen & E. Dunn, “Household Economic Portfolios”, AIMS, 1996

STRATEGIES FOR COPING WITH SHOCKS ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Source: E. Dunn, N. Kalaitzandonakes, C. Valdiva, “Risks and the Impacts of Microenterprise Services”, AIMS, 1996

MARKET SYSTEMS ,[object Object],[object Object],[object Object],[object Object],[object Object],Source: O. Kula, J. Downing, M. Field, “Globalization and the Small Firm”, AMAP, 2006 Global Enabling Environment National Enabling Environment Financial (cross cutting) Input Suppliers Sector specific providers Cross-cutting providers Producers Wholesalers Exporters National Retailers Processors/Traders Global Retailers

ECONOMIC STRENGTHENING PATHWAY Recover assets and stabilize household consumption Build self-insurance mechanisms and protect key assets Smooth household income and promote asset growth Smooth household consumption and manage household cashflow Expand household income and consumption Decreasing economic vulnerability

TARGETING & ENTRY POINTS ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

PROGRAM STRATEGIES ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

FACILITATION TACTICS & PRACTICES ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

PRINCIPLES ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

ADDITIONAL RESOURCES ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Asanteni Sana! Jason Wolfe, Enterprise Development Advisor USAID Microenterprise Development office jwolfe@usaid.gov | [email_address]

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Household Economic Strengthening: Concepts & Principles

1. Household Economic Strengthening Concepts & Principles Jason Wolfe USAID/EGAT “ AIDS does not kill suddenly, but it comes and takes a lot of money away with it.” —Microfinance client, Uganda

3. HOUSEHOLD ASSETS Source: www.livelihoods.org Human Social Natural Physical Financial

7. ECONOMIC STRENGTHENING PATHWAY Recover assets and stabilize household consumption Build self-insurance mechanisms and protect key assets Smooth household income and promote asset growth Smooth household consumption and manage household cashflow Expand household income and consumption Decreasing economic vulnerability

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13. Asanteni Sana! Jason Wolfe, Enterprise Development Advisor USAID Microenterprise Development office jwolfe@usaid.gov | [email_address]

Household Economic Strengthening: Concepts & Principles

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