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.