The Road to the SDGs

PURPOSE X As one of the key mechanisms for the implementation of the P5P, IsDB’s economic empowerment approach will: – Act as a catalyst for supporting pro-poor markets — interventions are triggered with the identification of economic/ strategic partners (value-chain leaders) and create the right conditions for these entities to act as market developers for the benefit of the poor – Promote new developmental thinking, changing the way of thinking of beneficiaries from relying on aid to self- reliance – Take a comprehensive dimension by including capacity building and the development of the supportive regulatory and institutional structure – Build partnerships with the private sector and other development players for win-win relationships. X To achieve these aims, IsDB has set up a new economic empowerment function to mainstream economic empowerment in all its MCs. In particular, it promotes a paradigm shift from financial inclusion to economic inclusion. METHOD X Economic empowerment initiatives are developed through the creation of funds, programmes and institutions. IsDB will establish and manage economic empowerment funds initiated by itself or proposed by various stakeholders. It may provide equity or other modes of financing to economic empowerment institutions created by it or by other stakeholders. X Programmes will be developed to include a line of finance and capacity building in collaboration with internal or external stakeholders. X Building smart partnerships is a key pillar of the economic empowerment approach. Consequently, IsDB has actively engaged with several partners on different fronts to establish solid long-term relationships that will facilitate the rapid expansion of the pipeline of initiatives. These partnerships involve the signing of memorandums of understanding as a first step. ACHIEVEMENTS X To date, IsDB’s efforts have led to the following outcomes: – As part of the SPRP, the SERVE Programme was developed to provide immediate and targeted cash flow support to businesses that are E conomic empowerment is at the heart of the P5P and addresses some of the major challenges faced by IsDB’s MCs Institutionalising economic empowerment methodology IsDB’s economic empowerment approach aims to provide economic opportunities to the poor by providing financial and non- financial solutions to help them in their journey towards a better life [ 90 ] SDGs