About Scaling Up Slum Improvement - Engaging Slum Dwellers and the Private Sector
Day / Time Wednesday, June 21st / 16:30 - 18:30
Event Description
This event will provide an opportunity for dialogue among all participants in an open forum. The forum will debate how to move toward the Millennium Development Goal on slum improvement by scaling up slum improvement programs to a level commensurate with the rapid growth of slum populations. This event will consider the theory of enabling slum dwellers to improve their housing circumstances on a financially sustainable basis in order to achieve large-scale results. The forum will examine ways to micro-finance housing and private sector financing for municipal infrastructure and improve housing conditions for slum dwellers on a self-sustaining basis. Specific country examples will include India, South Africa, and Mexico.
Session Language
English
Arabic
Speakers
David Painter & Lauren Moser (Moderators),
Michael Mutter, Sr. Upgrading Advisor, UN Habitat
Jawaid Akhtar, Managing Director, KUIDFC; Olivia van Rooyen, Exec. Director, Kuyasa Fund
Fernando Gama, Sr. V.P., Evensen Dodge International, & Sheela Patel, Director, SPARC
Olivia van Rooyen, Executive Director, Kuyasa
Host Organization
TCG International, LLC (TCGI)
Host Organization Description
TCGI is an international consultancy specializing in innovative development finance. Headquartered in Washington, DC with a subsidiary office in Chennai, India, TCGI is one of the leading firms working on the structuring of locally financed municipal infrastructure in the developing world. TCGI has assisted more than 40 developing cities to finance water, wastewater, and solid waste projects. Our practice focuses on advising cities on how to improve their creditworthiness and develop commercially viable projects that can attract private participation in their financing. For the World Urban Forum, TCGI is collaborating with ShoreBank International Ltd., the consulting arm of ShoreBank Corporation, dedicated to working with financial institutions globally to create greater access to capital for underserved clients and to generating economic wealth within target markets. In the last 15 years, SBI has assisted over 50 microfinance and commercial banking institutions disburse over $310 million in small business and housing loans across 15 countries. SBI is managing the Global Financial Innovations Partnership with USAID, created to link slum dwellers with commercial sources of finance so that they may improve their lives.
Website
Report
Title of Event:
Date and time of the session: |
About Scaling Up Slum Improvement: Engaging Slum Dwellers and the Private Sector to Finance a Better Future Organized by TCG International, LLC in collaboration with ShoreBank International Wednesday June 21, 2006 16:30 – 18:30 |
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2. What were the core issues identified in your event as they relate to the theme and sub-themes of WUFIII? There is an emerging consensus that: A) there will never be enough funding from national governments and international development agencies to carry out slum upgrading at the enormous scale that is necessary; B) city and national governments can use their own funds to mobilize much larger amounts of private investment for basic infrastructure and housing improvement in slum communities; and C) the financing mechanisms of municipal bonds and micro-finance for housing have already proved successful for mobilizing investment in slum communities from both financial institutions and slum dwellers themselves. |
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3. What were the main points raised by panellists and participants in relation to these different issues? What new ideas have been generated as a result of the discussion? First, it is essential engage slum dwellers openly and honestly in planning both the physical slum improvements and the financing for the improvements since they will have to bare as much of the cost as they can. Second, city governments and micro-finance institutions need to strengthen their financial positions (and get themselves credit rated by local rating agencies) so that they can convince local private lenders to invest in slum improvement by lending them substantial funding to be repaid on relatively long terms. Third, national governments and international development agencies should provide incentives for cities and micro-finance institutions to become creditworthy and credit rated through the use of challenge grants and partial credit guaranties in local currency. |
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4. What process steps have been identified in your event that could help turn ideas into operational reality? While process steps were not discussed at length, it was clear that national governments need to take a leading role in establishing a framework of policies (ranging from planning to housing to finance) that encourage the use of municipal bonds and micro-finance to mobilize financing for slum improvement. The policy frameworks being used in South Africa, Mexico, and India (all different and none perfect) are important efforts to be understood, adapted, and replicated more widely. |
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