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> Posted by Ben Mandell, International Programs Manager, Water.org
Access to safe drinking water and hygienic sanitation are true necessities for healthy families. Yet, access rates for water and sanitation remain stubbornly low in most low-income countries. The negative health implications can be dire and include diarrheal disease which can result in premature mortality and childhood malnutrition and stunting. From an economic perspective, “The health consequences of poor sanitation are substantial and contribute to over US$50 billion in GDP loss annually,” according to a new India focused learning note jointly developed by Water.org and the World Bank Water and Sanitation Program (WSP).
In the learning note, Water.org and WSP, both active globally in working to expand access to water and sanitation, collaborate to share their research and findings on how household lending can help drive improved water and sanitation uptake as well as provide economic and social benefits to local financial organizations.
Water.org, through its WaterCredit program, provides capacity-building grants and technical assistance to create, pilot, and scale water and sanitation financing. Currently, WaterCredit provides funding to microfinance providers and NGOs to support the creation of programs and these partners then leverage funding from banks and capital markets to disburse loans to people in need. Accordingly, “Water.org has provided US$11.3 million in subsidies to financial institutions and NGO partners worldwide, which in turn have disbursed over US$120 million in loans reaching 2.4 million people.”
> Posted by Center Staff
#108189994 / gettyimages.com
Globally, about 1.2 billion people live in extreme poverty, surviving on less than $1.25 a day. This is a huge number of people, roughly four times the population of the United States. Yet it is a smaller percentage of the world’s population than ever before – 17 percent of people living in developing countries lived in extreme poverty in 2011, compared to 43 percent in 1990. But we cannot be satisfied until extreme poverty disappears. The World Bank has put forth the goal of reducing the proportion of people living in extreme poverty to 3 percent or less of the world’s population by 2030.
Live Below the Line, which begins one month from today, is an opportunity to support the eradication of extreme poverty and gain some valuable perspective on what it’s like to live with such meager means. The global movement challenges individuals to live on a food budget of $1.50 a day for five days: April 27 – May 1. The set-up is simple. During the time leading up to Live Below the Line week, you pick one of 20 organizations targeting poverty elimination, then spread the word among your circles and gather fundraising support for your chosen organization. During the five days of living below the line, you and your team get a sense for the hardships that so many individuals around the world endure. To make the challenge more practical, the $1.50 budget only includes food and drink – not transport, health, or housing expenses.
> Posted by Madeleine Dy, International Programs Manager, Water.org
More than 100 leaders from the water, sanitation, and finance sectors came together October 21-22, 2014 for the second East Africa WaterCredit Forum in Nairobi to share progress made and to brainstorm lasting solutions to the water and sanitation crisis affecting East Africa. In Kenya, for example, access to safe water supplies is 59 percent and access to improved sanitation is 32 percent.
Water.org, in partnership with The MasterCard Foundation, convened the Forum, part of Water.org’s five-year collaboration with the Foundation to bring safe water and sanitation to economically challenged communities in East Africa through the WaterCredit approach. Since 2010, the WaterCredit initiative in Kenya and Uganda has empowered almost 115,000 people to obtain financing from seven financial institutions (FIs) for long‐term, sustainable water and sanitation solutions.
> Posted by Jenn Beard, Global Learning Manager, Water.org
Nearly 800 million people lack access to safe water, and 2.5 billion people lack access to improved sanitation. As many NGOs and microfinance institutions are now discovering, the way forward will include lending to individuals for their water and sanitation (WASH) needs. WASH microfinance is making it possible for the poor to take control in instances where access is difficult. However, most providers in the position to meet this financing opportunity are not yet offering these services. One thing standing in the way is the tools to get institutions started.
The business case for financial institutions to add WASH financial products to their portfolios is significant. A study sponsored by the Bill and Melinda Gates Foundation estimated global demand for microfinance for water and sanitation at over US$12 billion between 2004 and 2015. After all, the poor are already spending money in these areas—both directly (purchasing water from vendors/kiosks or paying to use a community toilet) and indirectly (higher healthcare costs and/or lost time and wages while looking for or collecting water). Microfinance providers have highly relevant goals, experience, processes, and outreach activities to play a key role in increasing access to WASH facilities. As financial institutions broaden their services beyond business lending and develop products to more fully address their clients’ diverse financial service needs, WASH financing emerges as a clear opportunity.
> Posted by Danielle Piskadlo, Senior Program Specialist, CFI
Biogas toilet made possible through WaterCredit
An estimated 2.6 billion people in the world lack access to basic sanitation. This reality is a root cause of much sickness and disease throughout the developing world. Like many things, water and sanitation problems disproportionately affect women and children. According to data from WHO/UNICEF, women globally spend an estimated 200 million hours each day collecting water, a child dies every 20 seconds from a water-related illness, and girls often do not attend school during menstruation, or drop out at puberty, due to the lack of clean and private sanitation facilities.
I had never thought much about how toilets might relate to microfinance but lately water, sanitation, and toilets seem to be all I read about.
I was vaguely aware of the efforts of WaterCredit.org to put microfinance tools to work in the water and sanitation sector by connecting MFIs with communities in need of clean water and toilets. I also knew a little bit about Peepoople, the makers of Peepoo, a personal, single-use, self-sanitizing, fully biodegradable toilet that after use, turns into fertilizer that can improve livelihoods and increase food security. This product is not only improving health and livelihood but has also created a series of work opportunities, both formal and informal. Read the rest of this entry »
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