Knowledge

A severe food crisis currently threatens southern Sudan. In East Africa, where millions of people already are dependent on food aid, a sharp rise in the cost of staple crops looms. These are just the latest sources of concern in a turbulent period that began two years ago when food shortages hit many countries in Africa and Asia due to a worldwide spike in prices. Higher food prices meant that poor people, already struggling to meet basic human needs, were pushed deeper into poverty. On its heels came the global financial crisis, which also hit the poorest the hardest. Agriculture is the main employer, job creator and export in most developing countries. Historically, agriculture has driven economic performance in many countries, generating growth that has been shown to be at least twice as effective in reducing poverty as growth in other sectors. Investment in agricultural and rural development is therefore vital to food security and sustainable economic development.

IFAD’s goal is that rural women and men in developing countries are empowered to achieve higher incomes and improved food security at the household level. In this way it will contribute to the achievement of Millennium Development Goal #1: “The eradication of extreme poverty”. (IFAD, Strategic Framework 2007-2010)

Since IFAD began operations in 1978, it has supported, as part of its mandate to reduce poverty, many rural development programmes in which indigenous peoples have played an important role as stakeholders. 

Recent years have witnessed a renewed interest in public and private-sector investment in agriculture. Concerns about longer-term food and energy security and expectations of increasing returns from agriculture underpin much recent agricultural investment. Some have welcomed this trend as a bearer of new livelihood opportunities in lower- and middle-income countries. Others have raised concerns about the possible social impacts, including loss of local rights to land, water and other natural resources; threats to local food security; and, more generally, the risk that large-scale investments may marginalise family farmers. The recent debates about “land grabbing” – the media characterisation of large-scale farmland acquisitions in lower- and middle-income countries – illustrate these trends and positions. 

The objective of IFAD Decision Tools for Rural Finance is to provide decision-making support for the IFAD country programme managers (CPMs), consultants, project staff and technical advisers who develop and implement rural finance projects. Built on the IFAD Rural Finance Policy (RFP) (IFAD 2009), as well as other good practice guides, this knowledge management tool is designed to help identify and answer the questions that arise in each rural finance project, provide background on key issues, define common terms, highlight risks and opportunities, and provide references for further investigation. 

Risk is inherent in agriculture. Farmers face a variety of market and production risks that make their incomes unstable and unpredictable from year to year.

There are 1.4 billion extremely poor people in the world, living on less than US$1.25 a day. About 1 billion of these men, women and children live in the rural areas of developing countries.
Nearly 2 billion rural people live on less than US$2 a day. Most are smallholder farmers and their families, who depend on agriculture for their livelihoods. Today, they must cope with rapid and unprecedented changes. Climate change, a growing world population, and volatile food and energy prices are pushing more people into extreme poverty and hunger. For the first time in human history, the number of hungry people has passed 1 billion. On top of this, tens of millions more people are expected to go hungry by 2020 as a result of climate change.
 

This Thematic Paper is part of a Toolkit for Project Design (Livestock Thematic Papers: Tools for Project Design) which reflects IFAD’s commitment to developing a sustainable livestock sector in which poor farmers and herders might have higher incomes, and better access to assets, services, technologies and markets.

The paper indents to be a practical tool for development practitioners, project designers and policymakers to define appropriate livestock development interventions. It also provides recommendations on critical issues for rural development and also possible responses and actions to encourage the socio-economic empowerment of poor livestock keepers.

This paper presents the outcomes of the Special Session of the 2010 Farmers’ Forum, Promoting Women’s Leadership in Farmers’ Organizations and Rural Producers’ Organizations,  that was convened on 12 and 13 February in conjunction with the Thirty-third Session of IFAD’s Governing Council. The session was co-organized by IFAD and the non-governmental organization Women Organizing for Change in Agriculture and Natural Resources (WOCAN).
In plenary session and working groups, over 60 participants – including 35 women farmer representatives, members of the Farmers’ Forum Steering Committee, observers from NGOs and FAO, and many IFAD staff – had a rich discussion that generated important recommendations. 

IFAD will follow up on those recommendations not only as a matter of equity, given women’s enormous contribution to agriculture, but also because a stronger women’s voice and leadership in agriculture are essential to making smallholder agriculture more productive and sustainable.

Desertification is the process of land degradation that affects dryland areas and is caused by poverty, unsustainable land management and climate change. Drylands lose their productive capacity in a spiral of destruction that twins increased land degradation with increased poverty and food insecurity. Drought and desertification threaten the livelihoods of more than 1.2 billion people in 110 countries. 

The problem is particularly acute in sub-Saharan Africa and Southern Asia Desertification is the process of land degradation that affects dryland areas and is caused by poverty, unsustainable land management and climate change. Drylands lose their productive capacity in a spiral of destruction that twins increased land degradation with increased poverty and food insecurity. Drought and desertification threaten the livelihoods of more than 1.2 billion people in 110 countries. The problem is particularly acute in sub-Saharan Africa and Southern Asia.  

In addition to caring for their families, women across the developing world spend considerable proportions of their time and energy using and preserving land for the production of food and fuel and to generate income for their families and communities.

These activities include crop production, growing fruits and vegetables, raising small livestock, tending trees, processing products for food and markets, and managing and collecting water and fuel. Women are usually responsible for the plots in which food crops are grown, while men are responsible for the plots on which cash crops are grown. The latter account for a major part of the threat of soil nutrient depletion and desertification.

The Investigation Section of the Office of Audit and Oversight (OA/IS) has a mandate to investigate alleged irregular practices, namely (i) fraud and corruption, in relation to entities, contractors and non-staff individuals applying for or participating in an IFAD-financed project or headquartersrelated contract; and (ii) staff misconduct, pursuant to the adoption by the Executive Board in December 2005 of the IFAD Policy on Preventing Fraud and Corruption in its Activities and Operations (EB 2005/85/R.5/Rev.1). Implementation of this policy, along with the establishment of a Sanctions Committee, has aligned IFAD with best practices in this area of other United Nations agencies and the main multilateral financial institutions.

Twenty-seven new allegations were received in 2009, compared with 30 in 2008. Fifty-nine per cent were external, mostly involving bidding irregularities and procurement-related fraud. Emphasis has been placed on promoting awareness of the anticorruption policy at every stage of the project cycle, thus putting the anticorruption message in the foreground. 

 Since 1982, IFAD has supported seven projects in Syria with loans totalling US$126.2 million for projects with a total value of US$474 million. The organization has also provided a number of grants, including technical assistance grants to support women’s empowerment.

IFAD works in partnership with the government, other donors, NGOs, local institutions and civil society organizations. It finances initiatives which enable poor rural people in Syria’s agricultural settlement areas to improve their incomes and living conditions.

IFAD is working towards achieving the Millennium Development Goals and its interventions endeavour to reduce poverty and promote gender equality and environmental sustainability.

​This report is based on the results of a study commissioned by IFAD and carried out by Manuel Orozco of the Inter-American Dialogue. 

Factsheet illustrating how IFAD is exploring more innovative ways of working with remittances.

The project will reverse the decline in productivity of Eritrea’s soil resources;
restore vegetative cover and habitat diversity in areas of degraded rangelands,
forests and woodlands; and increase biodiversity within crop, livestock and
forest production landscapes.

The GEF-funded Agricultural and Rural Rehabilitation and Development
Initiative, which will complement the ongoing IFAD-financed Agricultural and
Rural Rehabilitation and Development Initiative Project (ARRDI), will similarly
focus on southern Niger’s Maradi region – home to 20 per cent of the nation’s
population – targeting poor and extremely poor communities vulnerable to
environmental risk, with special emphasis on women and youth.

Ethiopia is one of the world’s poorest countries, with an annual per capita income of only US$174. Nearly half of the population lives under the poverty line, and more than 12 million people are
chronically or periodically food insecure. Agriculture generates approximately 50 per cent of the GDP and 90 per cent of export earnings. Despite its importance, agricultural performance has improved little over the past 50 years and food security has deteriorated. Low agricultural productivity and chronic food insecurity are direct results of the ongoing degradation of natural resources in the
Ethiopian highlands.

This Decision Tools document is  the final outcome of five years of studies, debates and workshop discussions. These Tools will prove useful to Governments, development practitioners and field technical staff that are financing, designing or implementing CDD projects for rural poverty reduction.

Recent price volatility on international markets is putting pressure on global food security. For the 2 billion people who live and work on small farms in developing countries, life has become more precarious. But with the right investments, policies and development programmes in place, smallholder farmers have a huge potential to increase food production, improving their lives and contributing to greater food security for all.

Learn about IFAD's work and results in the 2008 Annual Report. This includes stories about the rural people we invest in, and covers our advocacy to keep the needs of rural communities at the top of the international development agenda. The Report also provides the facts and figures we regularly share with our Member States and partners.

Mobile signal coverage is expanding fast. More and more people own and use mobile phones and some are finding innovative ways to use them to enhance their earning potential. In the Republic of Tanzania, Internet connectivity is evolving rapidly, but few people in rural areas have access to the technology. The use of mobile phones and text messages, or SMS, is still far more widespread than e-mail. Yet the speed of change is dramatic. Communication technologies that allow wireless access within a 30-km radius are being extended throughout Tanzania and tests are verifying the feasibility of using GPRS modems in remote districts.

“It was important that we adapt quickly, looking for ways to ensure that everybody benefits
from these changes,” says Clive Lightfoot, technical advisor of the First Mile Project. “We want
to make certain that groups of people are not left behind and that the revolution is also
directed towards reducing rural poverty.”

The Arab countries account for more than 5 per cent of the world’s population, but less than 1 per cent of global water resources. And as a consequence of the phenomena associated with climate change, the region is facing an even greater water shortage.

For 30 years now, IFAD and its partners in the region have worked to develop effective, replicable solutions to help poor rural communities manage their scarce water resources. More than half of IFAD’s programmes and projects in the region include a focus on water. 

IFAD has approved six loans to the Bolivarian Republic of Venezuela for an approximate total of US$80.0 million. The organization also approved two technical assistance grants in 1991 and 1998 for the Regional Training Programme in Rural Development, implemented by the Foundation for Training and Applied Research in Agrarian Reform (CIARA), which is part of the Ministry of Agriculture and Land.

IFAD’s mandate to reduce poverty by improving the living conditions and incomes of poor rural people faces vigorous challenges and opportunities. IFAD works in partnership with the government and other donors, financing programmes and projects that target the poorest of the poor, particularly small farmers, landless people, indigenous peoples and ethnic minorities, and rural women in general. CIARA, one of IFAD’s principal partners in recent rural development projects, plays an important role as administrator of decentralized development programmes for the country's Ministry of
Popular Power for Agriculture and Land.

Over the past 12 months, large-scale acquisitions of farmland in Africa, Latin America, Central Asia and Southeast Asia have made headlines in a flurry of
media reports across the world. Lands that only a short time ago seemed of little outside interest are now being sought by international investors to the tune of
hundreds of thousands of hectares. And while a failed attempt to lease 1.3 million ha in Madagascar has attracted much media attention, deals
reported in the international press constitute the tip of the iceberg. This is rightly a hot issue because land is so central to identity, livelihoods and food security.

IFAD is currently engaged in over 230 loan operations in 85 countries. About two thirds of that portfolio is related to community-based natural resource management.

Poor rural people and their institutions are at the core of this approach. Water is critical to these men and women pastoralists, fishers, farmers, young and old, part- or full-time, urban or rural, indigenous, tribal or otherwise often marginalized people. It is the key entry point for improving their livelihoods.

Climate change represents an additional challenge to rural people in SSA – and a further reason for investment in water control. Smallholder farmers, pastoralists and artisanal fishers are among the most vulnerable to this threat. 

While projections of changes in annual rainfall vary across Africa, these groups will experience the negative effects of increased temperature and
extreme events. For them, enhanced control of water will become critical in building resilience to increased climate variability.

Guidance notes for institutional analysis in rural development programmes provides a synthesis of the training materials developed as part of the Institutional Analysis (IA) methodology. They propose that we rethink how we conceptualize and promote institutional change, particularly for pro-poor service delivery. 

They provide a framework and the analytical tools for designing programmes and projects that feature implementation modalities based on some of the core principles of good governance, focusing on “pro-poor governance” and systemic sustainability at the micro and meso levels.

Women constitute two-thirds of the 1.2 billion poor people in the world. The great majority live in rural areas of sub-Saharan Africa and South Asia, regions that are also home to most of the world’s ‘water poor’ – those with limited access to reliable, safe supplies of water for productive and domestic uses. The role women play in reducing food insecurity and poverty – through their knowledge of multiple uses of water, crop production, local biodiversity, soils and local water resources – is recognized internationally. However, despite this, they are often still excluded from decision-making processes in new water management approaches and other natural resource allocation projects and initiatives. Globalization, changing market dynamics and climate change are altering the rural context for most poor rural people, resulting in increased vulnerability to natural hazards and economic uncertainties, above all for women. 

Poverty poses a constant threat to economic growth, trade reform, private sector development, knowledge, governance and gender equality.
Poverty among the 22 members of the League of Arab States (LAS) is primarily a rural phenomenon. A quarter of the region’s population, or about 80 million people, live below national poverty lines. Between 60 and 70 percent of these poor people live in rural areas.

One of the most pressing challenges in the region is the high rate of unemployment, particularly among young people. Official unemployment rates average 13 per cent, and in some countries the jobless rate among young people is twice as high.