The tsunami of December 26th 2004 was – in terms of lives and property lost – the most devastating of natural disasters in Sri Lanka’s living memory.
The generosity with which the international community responded was overwhelming, their empathy and compassion were confirmed by massive waves of assistance that flowed in. A strong sense of Southern solidarity was evidenced by the reaction and support extended by the Southern nations to this tragedy. These developing nations contributed a sum of US$ 3.51 million through the UNDP’s Special Unit for South – South Co-operation, of which US$ 550,000 was allocated to Sri Lanka in two tranches. Four other nations affected by the tsunami, i.e. the Maldives, Indonesia, Thailand and India, also benefited from the SSGF program. The twin objectives of the grant were Livelihood Development and Construction of Small Infrastructure.
In Sri Lanka, the role played by the National Steering Committee in sifting through several project proposals, to identify the most deserving cases, was of tremendous value. Our implementing partners, the Non-Governmental Organizations (NGOs), did a commendable job. Together we’ve learnt many lessons and understood how the communities could be better served. These observations have been highlighted in this report.
The SSGF funds were channelled through UNDP’s Global Environment Facility/ Small Grants Programme. GEF/ SGP was chosen to implement this plan in partnership with UNOPS. GEF/ SGP had been working with communities at the grassroots level for several years, in the protection of the environment. The experience thus gained and the contacts made with the communities was more than useful to reach out to the affected coastal communities, restore their lost livelihoods and address their basic infrastructure needs such as water, sanitary facilities and kitchens in their homes. The GEF/ SGP know-how ensured effective delivery mechanisms. Our time-tested methods used in the selection and monitoring processes of NGOs have resulted in the funds being appropriately deployed.
In the run-up to preparing this report, the authors visited the eight coastal districts and met with the beneficiaries of the thirty projects undertaken. We observed that SSGF has spurred the resilience of the tsunami-affected people. An estimated 4,768 beneficiaries have bounced back from the event.
In some areas along the coastline, broken and deserted houses are still visible, a grim reminder of that fateful morning when the sea encroached onto the land. But even more in evidence are happy faces, stories of courage and expressions of hope. This is the story of the buoyancy of the Sri Lankan people. Perhaps this story might have had a completely different ending but for the generosity of the people of Algeria, China, Brazil, Benin, Samoa, Trinidad & Tobago, Comoros, Tuvalu, Jamaica, Egypt and Venezuela.
Tuesday, September 4, 2007
South - South Grants Facility
Community Based Organisations (CBOs) and Non-Governmental Organisations (NGOs) have now come to be accepted as key providers of innovative local-level solutions to development challenges. Donor countries find it feasible to contribute to these organisations through recognised development agencies such as UNDP that have mechanisms in place to deploy resources systematically and, more importantly, to monitor progress.
The South – South Grants Facility (SSGF) was established in 2005, by UNDP’s Special Unit for South – South Cooperation. The SSGF’s raison de etre is to enable Southern countries to co-operatively make resources available in support of specific community development initiatives.
The facility’s stated intent is to support some of the most difficult issues in development, such as disaster management. Grants have been recognised as an important means of financing micro-level local action that complements broader national disaster recovery efforts. The establishment of the SSGF, therefore, was intended to facilitate the implementation of grants programmes that are tailored to local needs.
From the substantial contributions mobilised, SSGF Phase I provided grants to four countries, i.e. Sri Lanka, Indonesia, the Maldives and Thailand, for community work that addressed livelihood recovery and infrastructure development. India was included in Phase II.
The Sri Lankan component of the tsunami recovery programme was launched on September 16th 2005. Named ‘Livelihood Development’ and ‘One Village at a Time’, the micro-initiatives were implemented by NGOs and civil society groups. The livelihood development component was intended to benefit people whose means of earning an income had been completely or partially lost due to the tsunami. The intended target was the most vulnerable section of society, particularly women. They were to be assisted in the development of home-based business.
‘One Village at a Time’ built on the perspective that the tsunami was not merely a tragic event but also an opportunity. The involvement of affected communities in the task of rebuilding their infrastructure and facilities, it was felt, could help accelerate the development process.
Under Phase I, funding amounting to US$ 350,000 was released to NGOs and CBOs in December 2005 for thirteen projects lasting one year. After reviewing Phase I, it was decided - in 2006 - to extend the SSGF for another year. In Phase II, US$ 200,000 was released in January 2007 for seventeen projects. NGOs whose performances were found to be good during the first phase and submitted new proposals were funded by SSGF’s Phase II programme as well. Although individual projects are relatively small - ranging from US$ 4,000 to US$ 25,000, they have played a significant role in rebuilding infrastructure and restoring the livelihoods of communities.
The resources mobilised have been expended or committed. It is appropriate, at this juncture, to document the activities supported by the programme, share relevant experiences and key lessons.
The South – South Grants Facility (SSGF) was established in 2005, by UNDP’s Special Unit for South – South Cooperation. The SSGF’s raison de etre is to enable Southern countries to co-operatively make resources available in support of specific community development initiatives.
The facility’s stated intent is to support some of the most difficult issues in development, such as disaster management. Grants have been recognised as an important means of financing micro-level local action that complements broader national disaster recovery efforts. The establishment of the SSGF, therefore, was intended to facilitate the implementation of grants programmes that are tailored to local needs.
From the substantial contributions mobilised, SSGF Phase I provided grants to four countries, i.e. Sri Lanka, Indonesia, the Maldives and Thailand, for community work that addressed livelihood recovery and infrastructure development. India was included in Phase II.
The Sri Lankan component of the tsunami recovery programme was launched on September 16th 2005. Named ‘Livelihood Development’ and ‘One Village at a Time’, the micro-initiatives were implemented by NGOs and civil society groups. The livelihood development component was intended to benefit people whose means of earning an income had been completely or partially lost due to the tsunami. The intended target was the most vulnerable section of society, particularly women. They were to be assisted in the development of home-based business.
‘One Village at a Time’ built on the perspective that the tsunami was not merely a tragic event but also an opportunity. The involvement of affected communities in the task of rebuilding their infrastructure and facilities, it was felt, could help accelerate the development process.
Under Phase I, funding amounting to US$ 350,000 was released to NGOs and CBOs in December 2005 for thirteen projects lasting one year. After reviewing Phase I, it was decided - in 2006 - to extend the SSGF for another year. In Phase II, US$ 200,000 was released in January 2007 for seventeen projects. NGOs whose performances were found to be good during the first phase and submitted new proposals were funded by SSGF’s Phase II programme as well. Although individual projects are relatively small - ranging from US$ 4,000 to US$ 25,000, they have played a significant role in rebuilding infrastructure and restoring the livelihoods of communities.
The resources mobilised have been expended or committed. It is appropriate, at this juncture, to document the activities supported by the programme, share relevant experiences and key lessons.
Implementation: Why GEF/ SGP?
The main focus of GEF/ SGP is protection of the environment; the agency works with NGOs and CBOs on environmental issues under the GEF thematic areas. Typically, GEF/SGP is not mandated to undertake projects that focus on development of livelihoods unless such projects are linked to environment conservation. GEF/ SGP was not associated with the provision of relief until the tsunami.
The tsunami’s impact on Sri Lanka’s infrastructure and its people’s livelihoods was unimaginable. The presence of buildings close to the coast, and the lack of appropriate planning standards, worsened the damage and destruction to property. This, in turn, generated an enormous volume of waste and debris. Groundwater wells were contaminated by seawater, wastewater and sewage, rendering them useless. Besides affecting access to drinking water, this situation also affected agricultural land, with soil salinity rendering agricultural fields unsuitable for farming.
The tsunami left a large number of people homeless, displacing adults and children. Some of the victims were members of NGOs working with GEF/ SGP in coastal regions. In the immediate aftermath of the tragedy, seven affected NGOs banded together to seek assistance.
Within days, GEF/ SGP initiated work to raise funds to assist affected communities. The project titled ‘Coastal Rehabilitation’ was sent to Central Programme Management Team (CPMT) of GEF/ SGP in New York, with a request for funding. The proposal was favourably considered because of the special circumstances of an extreme event affecting the country and was approved in mid-2005. With these funds, GEF/SGP initiated tsunami assistance work in the affected coastal areas.
In the meantime, UNDP’s Special Unit for South – South Cooperation had mobilised resources for tsunami assistance from countries of the southern hemisphere, seeking to assist affected people of other southern countries. The Special Unit needed a mechanism to reach targeted communities. GEF/ SGP was contacted by UNOPS because of its commendable record of reaching grassroots communities and also because they had expressed interest in doing tsunami assistance and development work.
A tripartite Memorandum of Understanding was signed between UNDP’s Special Unit for South – South Cooperation, GEF Small Grants Programme and United Nations Office for Project Services (UNOPS). This is how the GEF/ SGP became the mechanism for implementation of the SSGF funding in Indonesia, Sri Lanka, Maldives and Thailand and later in India.
The tsunami’s impact on Sri Lanka’s infrastructure and its people’s livelihoods was unimaginable. The presence of buildings close to the coast, and the lack of appropriate planning standards, worsened the damage and destruction to property. This, in turn, generated an enormous volume of waste and debris. Groundwater wells were contaminated by seawater, wastewater and sewage, rendering them useless. Besides affecting access to drinking water, this situation also affected agricultural land, with soil salinity rendering agricultural fields unsuitable for farming.
The tsunami left a large number of people homeless, displacing adults and children. Some of the victims were members of NGOs working with GEF/ SGP in coastal regions. In the immediate aftermath of the tragedy, seven affected NGOs banded together to seek assistance.
Within days, GEF/ SGP initiated work to raise funds to assist affected communities. The project titled ‘Coastal Rehabilitation’ was sent to Central Programme Management Team (CPMT) of GEF/ SGP in New York, with a request for funding. The proposal was favourably considered because of the special circumstances of an extreme event affecting the country and was approved in mid-2005. With these funds, GEF/SGP initiated tsunami assistance work in the affected coastal areas.
In the meantime, UNDP’s Special Unit for South – South Cooperation had mobilised resources for tsunami assistance from countries of the southern hemisphere, seeking to assist affected people of other southern countries. The Special Unit needed a mechanism to reach targeted communities. GEF/ SGP was contacted by UNOPS because of its commendable record of reaching grassroots communities and also because they had expressed interest in doing tsunami assistance and development work.
A tripartite Memorandum of Understanding was signed between UNDP’s Special Unit for South – South Cooperation, GEF Small Grants Programme and United Nations Office for Project Services (UNOPS). This is how the GEF/ SGP became the mechanism for implementation of the SSGF funding in Indonesia, Sri Lanka, Maldives and Thailand and later in India.
Independent Selection Process
To allocate funds for tsunami rehabilitation, GEF/ SGP followed its standard procedure for grant funding. Advertisements in Sinhala, Tamil and English were placed in five local newspapers, inviting NGOs and others interested in working in tsunami-affected areas to submit proposals.
At a meeting conducted at the Ceylon Continental Hotel in Colombo on September 16th 2005, GEF/ SGP formally launched the tsunami assistance programme with the participation of government agencies, embassy staff and UNDP. The audience consisted primarily of NGOs, media and other relevant agencies. Many of the NGOs submitted proposals in due course.
GEF/ SGP ensures transparency in selection of grantees. The National Steering Committee (NSC) scrutinizes all requests and its members also visit the proposed project sites. The NSC is a pivotal body in UNDP’s programmes. This twelve-member committee consists of officers from the Ministry of Environment, NGOs, academicians, scientific advisors and the private sector. Collectively, the NSC is the ultimate deciding authority.
The SSGF was different in that funding was available for small infrastructure development or livelihood development of the worst affected persons or groups. It received proposals like roofing for a small building and flooring for a classroom. That was all that certain communities needed for the moment but these were very important to them. In order to cope with the plethora of proposals that were generated, the NSC used the marking system used in approving grants for the GEF/ SGP but adapting it to the SSGF requirements.
When one considers that the funds had to be released in three tranches, the exercise threatened to become cumbersome administratively. To avoid that eventuality, GEF clustered smaller projects, designating one NGO to be responsible for fund disbursement according to schedule and reporting procedures. A mechanism was found whereby Memoranda of Understanding were signed within each cluster for this.
In Phase I, the NSC selected/ approved a list of 32 NGOs to undertake various projects on livelihood and small infrastructure. As stated earlier, NGOs were banded together based on similarity of work and geographical proximity to form thirteen clusters. In each cluster, one NGO was appointed as the Lead NGO. GEF/ SGP believed that this clustering would a result in a situation of mutual responsibility, wherein the NGOs could also monitor each other’s work.
In Phase II however, the clustering concept was put aside and funding allotted to projects implemented by seventeen individual NGOs.
At a meeting conducted at the Ceylon Continental Hotel in Colombo on September 16th 2005, GEF/ SGP formally launched the tsunami assistance programme with the participation of government agencies, embassy staff and UNDP. The audience consisted primarily of NGOs, media and other relevant agencies. Many of the NGOs submitted proposals in due course.
GEF/ SGP ensures transparency in selection of grantees. The National Steering Committee (NSC) scrutinizes all requests and its members also visit the proposed project sites. The NSC is a pivotal body in UNDP’s programmes. This twelve-member committee consists of officers from the Ministry of Environment, NGOs, academicians, scientific advisors and the private sector. Collectively, the NSC is the ultimate deciding authority.
The SSGF was different in that funding was available for small infrastructure development or livelihood development of the worst affected persons or groups. It received proposals like roofing for a small building and flooring for a classroom. That was all that certain communities needed for the moment but these were very important to them. In order to cope with the plethora of proposals that were generated, the NSC used the marking system used in approving grants for the GEF/ SGP but adapting it to the SSGF requirements.
When one considers that the funds had to be released in three tranches, the exercise threatened to become cumbersome administratively. To avoid that eventuality, GEF clustered smaller projects, designating one NGO to be responsible for fund disbursement according to schedule and reporting procedures. A mechanism was found whereby Memoranda of Understanding were signed within each cluster for this.
In Phase I, the NSC selected/ approved a list of 32 NGOs to undertake various projects on livelihood and small infrastructure. As stated earlier, NGOs were banded together based on similarity of work and geographical proximity to form thirteen clusters. In each cluster, one NGO was appointed as the Lead NGO. GEF/ SGP believed that this clustering would a result in a situation of mutual responsibility, wherein the NGOs could also monitor each other’s work.
In Phase II however, the clustering concept was put aside and funding allotted to projects implemented by seventeen individual NGOs.
Ensuring Equitable Distribution
In the days following the tsunami, staff members of GEF/ SGP fanned out to visit some of the affected areas to observe the extent of devastation to lives and property. Their intent was to assess the urgent and immediate needs of the affected people.
Nearly sixty applications for funding were received from NGOs at the UNDP office and copies thereof were sent to each of the NSC members. Proposals written in the local languages, Sinhala or Tamil, were accepted in keeping with GEF/ SGP practice. This ensures that funding is made accessible to all.
The GEF/ SGP National Steering Committee performed the same role for SSGF and followed the similar selection procedure that is normally adopted for the appraisal of GEF/ SGP proposals. During the two weeks following the receipt of proposals, members evaluated each project independently.
The major parameters considered were:
· Innovation – Creativity of project concept
· Provision for Community participation in design, implementation and evaluation
· Sustainability – Capacity to sustain the project beyond the funded period.
The minor criteria considered were:
· Realistic budget - Costs for stated activities should neither be under- nor over-estimated
· Social equity – Focus on women and marginalised groups and practices
· Other issues – Relevant factors that are not addressed elsewhere
Having scrutinised each project proposal in the interim, members shared their feedback and concerns at an NSC meeting.
Not all of the proposals could be approved; approval needed to be based on the quantum of funding available. Therefore, the selection process first weeded out projects based on conformity to SSGF guidelines and feasibility. Where unrealistic budgets were apparent, such proposals were rejected on grounds of infeasibility.
Thereafter, the members’ scores were tabulated, with each one’s score getting an equal weightage. Interestingly, when members gave marks, a pattern was perceptible - the differences were often marginal. While some project proposals qualified automatically, there was a lot of heated discussion at times when it came to rejecting a borderline proposal. At times a few good proposals from capable NGOs had to be turned down due to paucity of funding; hence, rejection did not necessarily reflect lack of merit.
The NSC members visited almost all project sites before proposals were given the collective stamp of approval.
Most NGOs working with UNDP had good track records. They took on work in areas that they had not previously operated in because the process of rehabilitation had to be commenced expeditiously.
When projects were approved, it was important that UNDP have the monitoring capacity to ensure proper deployment. In the absence of this capacity, there was the likelihood that the money could have been diverted for purposes other than those for which it was meant. Hence, if there was no NGO willing to work in certain badly affected areas, such areas did not receive SSGF funding – because there was no delivery mechanism.
SSGF funding reached the people who deserved it, although it was not consciously allocated to districts in proportion to the extent of devastation. Every affected person deserved support, irrespective of whether he/ she hailed from the badly devastated area such as Kalmunai in the East or marginally affected Moratuwa along the West coast. If an individual’s house got washed away, it did not matter to which district he belonged. The primary objective of any recovery programme is to restore the livelihoods; restoration and development of Infrastructure are concurrent or supporting activities.
The tsunami recovery programme involved several livelihood development initiatives that involved the improvement of the lives of women. The gender issue was thus consciously addressed. The improvement of domestic infrastructure was addressed by building kitchens and toilets in existing houses that did not possess the facility earlier. The centres of population as a whole benefited from infrastructure such as playgrounds, multi purpose community halls, repairs to school buildings and roads, and also community wells and water-tanks.
Individual grants to NGOs ranged from US$ 4,000 to 25,000. These resources helped two categories of people:
· Those who were economically productive previously but lost resources, who already had the right mental make-up
· Those who were previously inactive but were provided with the impetus and opportunity to redeem themselves
Prof. Nalini Ratnasiri, the Chairperson of the NSC says, “I have learnt a lot about my country from the people I met. These people have been battered by the tsunami, conflict and poverty. Yet, when I visit them, I never cease to be amazed at the resilience, hospitality and innovativeness of the Sri Lankan people.”
Nearly sixty applications for funding were received from NGOs at the UNDP office and copies thereof were sent to each of the NSC members. Proposals written in the local languages, Sinhala or Tamil, were accepted in keeping with GEF/ SGP practice. This ensures that funding is made accessible to all.
The GEF/ SGP National Steering Committee performed the same role for SSGF and followed the similar selection procedure that is normally adopted for the appraisal of GEF/ SGP proposals. During the two weeks following the receipt of proposals, members evaluated each project independently.
The major parameters considered were:
· Innovation – Creativity of project concept
· Provision for Community participation in design, implementation and evaluation
· Sustainability – Capacity to sustain the project beyond the funded period.
The minor criteria considered were:
· Realistic budget - Costs for stated activities should neither be under- nor over-estimated
· Social equity – Focus on women and marginalised groups and practices
· Other issues – Relevant factors that are not addressed elsewhere
Having scrutinised each project proposal in the interim, members shared their feedback and concerns at an NSC meeting.
Not all of the proposals could be approved; approval needed to be based on the quantum of funding available. Therefore, the selection process first weeded out projects based on conformity to SSGF guidelines and feasibility. Where unrealistic budgets were apparent, such proposals were rejected on grounds of infeasibility.
Thereafter, the members’ scores were tabulated, with each one’s score getting an equal weightage. Interestingly, when members gave marks, a pattern was perceptible - the differences were often marginal. While some project proposals qualified automatically, there was a lot of heated discussion at times when it came to rejecting a borderline proposal. At times a few good proposals from capable NGOs had to be turned down due to paucity of funding; hence, rejection did not necessarily reflect lack of merit.
The NSC members visited almost all project sites before proposals were given the collective stamp of approval.
Most NGOs working with UNDP had good track records. They took on work in areas that they had not previously operated in because the process of rehabilitation had to be commenced expeditiously.
When projects were approved, it was important that UNDP have the monitoring capacity to ensure proper deployment. In the absence of this capacity, there was the likelihood that the money could have been diverted for purposes other than those for which it was meant. Hence, if there was no NGO willing to work in certain badly affected areas, such areas did not receive SSGF funding – because there was no delivery mechanism.
SSGF funding reached the people who deserved it, although it was not consciously allocated to districts in proportion to the extent of devastation. Every affected person deserved support, irrespective of whether he/ she hailed from the badly devastated area such as Kalmunai in the East or marginally affected Moratuwa along the West coast. If an individual’s house got washed away, it did not matter to which district he belonged. The primary objective of any recovery programme is to restore the livelihoods; restoration and development of Infrastructure are concurrent or supporting activities.
The tsunami recovery programme involved several livelihood development initiatives that involved the improvement of the lives of women. The gender issue was thus consciously addressed. The improvement of domestic infrastructure was addressed by building kitchens and toilets in existing houses that did not possess the facility earlier. The centres of population as a whole benefited from infrastructure such as playgrounds, multi purpose community halls, repairs to school buildings and roads, and also community wells and water-tanks.
Individual grants to NGOs ranged from US$ 4,000 to 25,000. These resources helped two categories of people:
· Those who were economically productive previously but lost resources, who already had the right mental make-up
· Those who were previously inactive but were provided with the impetus and opportunity to redeem themselves
Prof. Nalini Ratnasiri, the Chairperson of the NSC says, “I have learnt a lot about my country from the people I met. These people have been battered by the tsunami, conflict and poverty. Yet, when I visit them, I never cease to be amazed at the resilience, hospitality and innovativeness of the Sri Lankan people.”
Livelihood Development
Sri Lanka was the second worst affected country in the region, suffering extensive losses. It has been estimated that more than 35,000 people died in the tsunami, over 15,000 were injured and in excess of 5,000 were reported missing. Nearly a million people were displaced from their homes. About 150,000 people lost their main source of income as a result and the unemployment rate more than doubled from 9% to 20% in the affected districts of Sri Lanka.
Some fishing communities had been decimated; their boats, their sole means of making a living, had been destroyed. Small hotels and restaurants that cater to domestic and foreign tourism had been damaged or completely destroyed along the coast. Farmers' livelihoods were threatened by the loss of crops, agricultural inputs and implements. Salt contamination of farming fields and damage to irrigation systems contributed to paint a bleak picture of the future.
Two significant national income-earning sectors - fisheries and tourism - were badly affected, a fact that would have negative implications for the wider population. In an initial assessment, the IMF said, “The fishing industry has been devastated, agricultural production may be affected and tourism will suffer, especially in the short term… The broader macro-economic impact will clearly be substantial.”
In response to a Flash Appeal, several aid agencies came forward and provided grants in cash and kind. While these provided immediate relief, there were some undesirable consequences, with the local population showing signs of becoming dependent on these handouts.
A Chinese proverb says, “Give a man a fish and he will eat for a day. Teach him how to fish and he will eat for a lifetime.” It was clearly necessary to help people regain their livelihoods. Therefore, in order to help people recover from the disaster, SSGF’s ‘Livelihood Development’ initiative focussed on the following project areas:
· Rebuilding the capacity of communities to enhance their economic productiveness and their participation in economic and social life
· Creating employment that would either be sustainable or enhance sustainable pre-existing livelihoods
· Assisting entrepreneurs, particularly women in small businesses, who wished to resume producing and selling their products
· Promoting women’s welfare with a special focus on the improvement of their participation in economic development
By helping entrepreneurs to restore their livelihoods, the SSGF programme gave them the means to provide for themselves, their families and their communities. Specific programmes encouraged women’s participation in economic development, enhancing their sense of empowerment, self-esteem and status within the community.
Most of SSGF’s beneficiaries had lost their means of livelihood when the surging waters washed their materials and equipment away. However, some were indirectly impacted. For example, a couple that used to run a grocery store realised that their unfortunate customers were unable to repay the credit they had availed. They joined a samithi (CBO) to avail of SSGF funding that enabled them to replenish inventory.
Many women opted for livelihoods like tailoring and embroidery of women’s and children’s garments. These have been restored with sewing machines that were acquired with SSGF funding. In keeping with the traditional role of rural women, others cooked food items - ranging from lunch packets to savouries - with equipment procured through the programme. Some even ventured to set up small stores, from which household essentials like groceries, milk and bread are sold. Home gardens were a popular occupation in some districts.
Men had a variety of means of earning a livelihood that revolve around fishing and agriculture. The Department of Agriculture played its part by teaching agriculturalists how to desalinate their land, which they did with small grants from the SSGF. Many farmers thought it prudent to switch to alternate crops that are economically more viable.
Carpentry and pottery also feature as popular professions in certain affected districts. Some opted for activities like de-husking of coconuts and breeding of ornamental fish.
In the ultimate analysis, the timely support provided by SSGF has resulted in a revival of the industrious nature of these people. For the beneficiaries, it’s back to business as usual. The adverse macro-economic impact had been contained and – to an extent - reversed. During 2006, Sri Lanka’s economy performed better than in previous years, with GDP growing at 7.4%. Significantly, unemployment during the first quarter of 2007 was – at 6.2% - at its lowest level ever.
Some fishing communities had been decimated; their boats, their sole means of making a living, had been destroyed. Small hotels and restaurants that cater to domestic and foreign tourism had been damaged or completely destroyed along the coast. Farmers' livelihoods were threatened by the loss of crops, agricultural inputs and implements. Salt contamination of farming fields and damage to irrigation systems contributed to paint a bleak picture of the future.
Two significant national income-earning sectors - fisheries and tourism - were badly affected, a fact that would have negative implications for the wider population. In an initial assessment, the IMF said, “The fishing industry has been devastated, agricultural production may be affected and tourism will suffer, especially in the short term… The broader macro-economic impact will clearly be substantial.”
In response to a Flash Appeal, several aid agencies came forward and provided grants in cash and kind. While these provided immediate relief, there were some undesirable consequences, with the local population showing signs of becoming dependent on these handouts.
A Chinese proverb says, “Give a man a fish and he will eat for a day. Teach him how to fish and he will eat for a lifetime.” It was clearly necessary to help people regain their livelihoods. Therefore, in order to help people recover from the disaster, SSGF’s ‘Livelihood Development’ initiative focussed on the following project areas:
· Rebuilding the capacity of communities to enhance their economic productiveness and their participation in economic and social life
· Creating employment that would either be sustainable or enhance sustainable pre-existing livelihoods
· Assisting entrepreneurs, particularly women in small businesses, who wished to resume producing and selling their products
· Promoting women’s welfare with a special focus on the improvement of their participation in economic development
By helping entrepreneurs to restore their livelihoods, the SSGF programme gave them the means to provide for themselves, their families and their communities. Specific programmes encouraged women’s participation in economic development, enhancing their sense of empowerment, self-esteem and status within the community.
Most of SSGF’s beneficiaries had lost their means of livelihood when the surging waters washed their materials and equipment away. However, some were indirectly impacted. For example, a couple that used to run a grocery store realised that their unfortunate customers were unable to repay the credit they had availed. They joined a samithi (CBO) to avail of SSGF funding that enabled them to replenish inventory.
Many women opted for livelihoods like tailoring and embroidery of women’s and children’s garments. These have been restored with sewing machines that were acquired with SSGF funding. In keeping with the traditional role of rural women, others cooked food items - ranging from lunch packets to savouries - with equipment procured through the programme. Some even ventured to set up small stores, from which household essentials like groceries, milk and bread are sold. Home gardens were a popular occupation in some districts.
Men had a variety of means of earning a livelihood that revolve around fishing and agriculture. The Department of Agriculture played its part by teaching agriculturalists how to desalinate their land, which they did with small grants from the SSGF. Many farmers thought it prudent to switch to alternate crops that are economically more viable.
Carpentry and pottery also feature as popular professions in certain affected districts. Some opted for activities like de-husking of coconuts and breeding of ornamental fish.
In the ultimate analysis, the timely support provided by SSGF has resulted in a revival of the industrious nature of these people. For the beneficiaries, it’s back to business as usual. The adverse macro-economic impact had been contained and – to an extent - reversed. During 2006, Sri Lanka’s economy performed better than in previous years, with GDP growing at 7.4%. Significantly, unemployment during the first quarter of 2007 was – at 6.2% - at its lowest level ever.
One Village at a Time
The least developed areas in the country were the ones most affected by the tsunami. Nevertheless, the consequential asset loss was estimated to be around US$ 1,000 million - or 5% of the country’s GDP. This included loss to private property, transport infrastructure, fisheries harbours, hotels, schools, hospitals, water and electricity supplies and telecommunications.
More than 70,000 houses have been reported as completely destroyed, with a further 30,000 damaged. Most of the community infrastructure (such as wells and drainage) was also destroyed. Without access to clean water and sanitation, the health and life of affected communities were threatened.
The damage and destruction to affected communities’ infrastructure services - including market centres and links - hampered relief efforts. Altogether, 178 schools, 57 local government complexes and 52 places of worship were either destroyed or severely damaged. Four universities and 13 vocational training institutes were also damaged. An unspecified number of libraries located in the affected areas were also destroyed. The damage to facilities such as community centres, schools and libraries had the potential to destroy the social fabric of affected areas. Villages need these places of interaction to sustain community relationships; therefore, these facilities were needed to be rebuilt in order to restore these relationships. In the immediate aftermath of the tsunami, the Government established a Centre for National Operations to coordinate the relief operation and provide a point of interface between the Government, the NGOs and the UN. At the district level, the Government Agents (GA) was coordinating all assistance.
SSGF’s ‘One Village at a Time’ Project focused on:
· Rebuilding community infrastructure such as schools and community spaces
· Creating employment that is sustainable or enhances sustainable livelihoods
· Assisting the recovery of villages in an integrated manner
· Promoting communities’ welfare with a special focus on the improvement of their participation in economic development
Specific small infrastructural facilities that have been funded by the SSGF grant include:
· Construction of drinking water projects
· Construction of agricultural wells
· Providing housing materials for villagers
· Construction of community centres and conference halls
· Constructing of roads
· Constructing and rebuilding of dharmashalas, schools and class rooms
· Building libraries and reading centres, providing books and other material
· Building playgrounds for children
· Renovating dilapidated walls and roofs
· Building toilets for householdsCleaning beaches and restoring vegetation
More than 70,000 houses have been reported as completely destroyed, with a further 30,000 damaged. Most of the community infrastructure (such as wells and drainage) was also destroyed. Without access to clean water and sanitation, the health and life of affected communities were threatened.
The damage and destruction to affected communities’ infrastructure services - including market centres and links - hampered relief efforts. Altogether, 178 schools, 57 local government complexes and 52 places of worship were either destroyed or severely damaged. Four universities and 13 vocational training institutes were also damaged. An unspecified number of libraries located in the affected areas were also destroyed. The damage to facilities such as community centres, schools and libraries had the potential to destroy the social fabric of affected areas. Villages need these places of interaction to sustain community relationships; therefore, these facilities were needed to be rebuilt in order to restore these relationships. In the immediate aftermath of the tsunami, the Government established a Centre for National Operations to coordinate the relief operation and provide a point of interface between the Government, the NGOs and the UN. At the district level, the Government Agents (GA) was coordinating all assistance.
SSGF’s ‘One Village at a Time’ Project focused on:
· Rebuilding community infrastructure such as schools and community spaces
· Creating employment that is sustainable or enhances sustainable livelihoods
· Assisting the recovery of villages in an integrated manner
· Promoting communities’ welfare with a special focus on the improvement of their participation in economic development
Specific small infrastructural facilities that have been funded by the SSGF grant include:
· Construction of drinking water projects
· Construction of agricultural wells
· Providing housing materials for villagers
· Construction of community centres and conference halls
· Constructing of roads
· Constructing and rebuilding of dharmashalas, schools and class rooms
· Building libraries and reading centres, providing books and other material
· Building playgrounds for children
· Renovating dilapidated walls and roofs
· Building toilets for householdsCleaning beaches and restoring vegetation
Projects for Drinking Water
With groundwater having been contaminated, there was an urgent need for the continuous supply of drinking water. SSGF contributed to this effort by funding water projects in villages in affected coastal districts.
A typical case is the water project that is progressing fast at Kuruppukanda in Godagama. The 21-member CBO was provided with Rs 650,000 (US$ 6,370)* to dig a 24-foot deep well, from which water will be pumped using a 2-HP pump to an overhead 10,000-litre PVC tank. The CBO has decided on PVC because, based on research that they carried out, it was discovered that cement tanks spring leaks after some time.
The programme will make water accessible to thirty houses that comprise a post-tsunami settlement, which has been dependent on bowsers until now. Three public water taps also feature in the plans and have been incorporated in the funding.
Thereafter, members of the CBO have decided to lay pipelines to each house and share that cost between themselves. The cost of electricity for pumping water will also be borne by the CBO out of the members’ contributions – without depending on grants.
___________________________________________________________________________________
* All conversions have been effected at the exchange rate prevailing on December 30th 2005: US$ 1 = SL Rs 102.09
A typical case is the water project that is progressing fast at Kuruppukanda in Godagama. The 21-member CBO was provided with Rs 650,000 (US$ 6,370)* to dig a 24-foot deep well, from which water will be pumped using a 2-HP pump to an overhead 10,000-litre PVC tank. The CBO has decided on PVC because, based on research that they carried out, it was discovered that cement tanks spring leaks after some time.
The programme will make water accessible to thirty houses that comprise a post-tsunami settlement, which has been dependent on bowsers until now. Three public water taps also feature in the plans and have been incorporated in the funding.
Thereafter, members of the CBO have decided to lay pipelines to each house and share that cost between themselves. The cost of electricity for pumping water will also be borne by the CBO out of the members’ contributions – without depending on grants.
___________________________________________________________________________________
* All conversions have been effected at the exchange rate prevailing on December 30th 2005: US$ 1 = SL Rs 102.09
Low-cost Kitchens with Ventilation
In another significant initiative, SSGF funds have been deployed to construct external kitchens.
It had been observed that women were prone to respiratory diseases because of cooking smoke that circulated inside the house due to poor ventilation. To remedy this situation, an NGO designed low-cost kitchens with chimneys for tsunami-affected houses. These are customised to suit the height of the primary user of that household and cost Rs 38,000 (US$ 370) apiece. As a value added service, the NGO also provides advice on how to optimise the limited space in the kitchen, including positioning of cooking ingredients.
Explaining the concept, the NGO says, “The residents of this locality do not seem to have paid attention to air pollution when the house was being built. In less affluent households, residents suffer from various respiratory ailments due to trapped kitchen smoke.”
“We devised a 2-burner clay cooker that is fuel-efficient and emits much less smoke. With assistance from UN’s South - South Grants Facility, we have built kitchens quipped with chimneys or escape vents. We build the kitchens with brick instead of wood, to avoid the element of risk. Several aid agencies have done the same, replicating this design.”
It had been observed that women were prone to respiratory diseases because of cooking smoke that circulated inside the house due to poor ventilation. To remedy this situation, an NGO designed low-cost kitchens with chimneys for tsunami-affected houses. These are customised to suit the height of the primary user of that household and cost Rs 38,000 (US$ 370) apiece. As a value added service, the NGO also provides advice on how to optimise the limited space in the kitchen, including positioning of cooking ingredients.
Explaining the concept, the NGO says, “The residents of this locality do not seem to have paid attention to air pollution when the house was being built. In less affluent households, residents suffer from various respiratory ailments due to trapped kitchen smoke.”
“We devised a 2-burner clay cooker that is fuel-efficient and emits much less smoke. With assistance from UN’s South - South Grants Facility, we have built kitchens quipped with chimneys or escape vents. We build the kitchens with brick instead of wood, to avoid the element of risk. Several aid agencies have done the same, replicating this design.”
Home Furniture Supplier to Arpico
Carpentry was probably in his genes. As a child, Milantha Dias used to potter around in the workshop adjoining his home at Poralawella in Moratuwa, started by his father. Fascinated by the sights and sounds of the trade, Milantha decided to pursue the same profession. He enrolled for a three-year full-time course in Special Woodwork at the Apprenticeship Training Institute (a Joint Sri Lankan – German project in Moratuwa).
Even before the tsunami wreaked its havoc, Milantha was on the verge of completing the course. The deadly waters damaged his father’s workshop and equipment, but failed to dampen Milantha’s entrepreneurial spirit. Milantha was happy and relieved when he fortuitously established contact with an NGO called Laksetha.
Milantha was determined to make the most of this new lease of life. To fund his requirement of working capital, Milantha joined a CBO formed by Laksetha with a membership of one hundred individuals. The CBO had Rs 700,000 (US$ 6,860) in its revolving fund, of which Milantha applied for – and obtained - an interest-free loan of Rs 65,000 (US$ 640).
Although he undertakes to fabricate all types of furniture, Milantha specialises in ornate bedroom furniture. A leading chain of department stores is his main customer. He supplies furniture to this company on a regular basis. His sales turnover averages Rs 130,000 (US$ 1,275) per month and Milantha targets a 40% margin. “When you manufacture quality products at a reasonable price,” he says, “word gets around – and business has picked up.” Consequently, Milantha has been regular in repaying his loan instalments - Rs 1,000 (US$ 9.80) every week.
Milantha has hired two assistants to help him cope with the increased workload. Unlike many others in the carpentry trade, he is safety-conscious too – probably due to the specialised training that he has undergone. He insists that his assistants wear their goggles to protect their eyes from flying wood splinters; dust filters ensure that they do not inhale the fine dust particles.
Assistant Chinthaka Fernando carves up a plank with a Black & Decker jigsaw; this piece will probably find its way into a Colombo household, as a bedstead. Displaying his Special Woodwork certificate with a look of justifiable pride on his young countenance, Milantha looks on. He would not have made it this far had it not been for the SSGF.
Even before the tsunami wreaked its havoc, Milantha was on the verge of completing the course. The deadly waters damaged his father’s workshop and equipment, but failed to dampen Milantha’s entrepreneurial spirit. Milantha was happy and relieved when he fortuitously established contact with an NGO called Laksetha.
Milantha was determined to make the most of this new lease of life. To fund his requirement of working capital, Milantha joined a CBO formed by Laksetha with a membership of one hundred individuals. The CBO had Rs 700,000 (US$ 6,860) in its revolving fund, of which Milantha applied for – and obtained - an interest-free loan of Rs 65,000 (US$ 640).
Although he undertakes to fabricate all types of furniture, Milantha specialises in ornate bedroom furniture. A leading chain of department stores is his main customer. He supplies furniture to this company on a regular basis. His sales turnover averages Rs 130,000 (US$ 1,275) per month and Milantha targets a 40% margin. “When you manufacture quality products at a reasonable price,” he says, “word gets around – and business has picked up.” Consequently, Milantha has been regular in repaying his loan instalments - Rs 1,000 (US$ 9.80) every week.
Milantha has hired two assistants to help him cope with the increased workload. Unlike many others in the carpentry trade, he is safety-conscious too – probably due to the specialised training that he has undergone. He insists that his assistants wear their goggles to protect their eyes from flying wood splinters; dust filters ensure that they do not inhale the fine dust particles.
Assistant Chinthaka Fernando carves up a plank with a Black & Decker jigsaw; this piece will probably find its way into a Colombo household, as a bedstead. Displaying his Special Woodwork certificate with a look of justifiable pride on his young countenance, Milantha looks on. He would not have made it this far had it not been for the SSGF.
Turtle Conservator Protects People Too
“On the deserted Rekawa beach, we watched by torchlight as an endangered 200-kg Green Turtle laid its eggs. We had trudged through miles of soft sand to observe this miracle of nature. With bated breath, we counted 106 ping-pong ball-sized eggs that would hatch in seven weeks. The nest protectors of Turtle Conservation Project had done it again!”
- Eyewitness account
The stated objective of Turtle Conservation Project (TCP) is to devise and facilitate the implementation of sustainable marine turtle conservation strategies. When Co-ordinator Thushan Kapurusinghe arrived in Rekawa in 1993, the locals were poaching turtles and their eggs. Urbanisation and development of tourist resorts along the coast had already depleted nesting grounds of the turtles and pushed these prehistoric reptiles to the brink of extinction.
Since 1996, Kapurusinghe has been working with local communities, nudging them towards alternate livelihoods, converting turtle poachers to turtle protectors! He explains, “Especially in the third world, coastal people depend on the sea and its resources for their survival. We don’t believe that punishment is the solution; if you put a poacher in jail, his son will take over… We are trying to provide alternate sources of livelihood that will reduce environmental pressure.”
For eight years, the TCP toiled and brought about a transformation that had not seemed possible in the beginning. “You can’t protect turtles by treating them as a separate species,” says Kapurusinghe. So, he set about protecting the entire ecosystem – replanting mangroves and other beach vegetation, and restoring sand dunes in Kosgoda.
Things were progressing well until that fateful day in December 2004, when everything went wrong. Three nest protectors lost their lives in the tsunami, their houses washed off, beach huts were swept away and project activities were badly affected.
On a broader scale, many people of Kosgoda and Rekawa lost lives, livelihoods and property. These were poor but diligent people who belonged to a community that was engaged in self-supporting activities to make ends meet. Fishing was the predominant profession, but many were adept at making items like batik, lace or coir. They lost much of their machinery and materials in the tsunami.
With SSGF funding support, TCP was able to restore turtle protection activities. From a societal standpoint, TCP also undertook to develop livelihood and infrastructure, both in Kosgoda and Rekawa, to put these communities back on their feet again.
Their project proposed to develop urgently needed basic facilities like water supply, toilets, and roads to improve the living conditions of the people. Through TCP, SSGF supported the construction of ten public toilets, the completion of roofs of five half-built houses, the repair of a road and the construction of shelters at two bus stops. Running water supply was assured through the construction of tube wells. A makeshift library at the TCP office is patronized by the children of Rekawa; its shelves were lined with books in Sinhala and English. A community centre is now under construction where the children’s library is to be housed permanently.
Many popular vocations in the villages - like coir production, lagoon fishing, masonry, brick making and confectionaries – were supported by the TCP. Livelihood development activities included ornamental fish breeding, batik designing, and tailoring. With an eye on the future, employability of the village youth was improved by conducting classes in English and computing.
The stated objective of Turtle Conservation Project (TCP) is to devise and facilitate the implementation of sustainable marine turtle conservation strategies. When Co-ordinator Thushan Kapurusinghe arrived in Rekawa in 1993, the locals were poaching turtles and their eggs. Urbanisation and development of tourist resorts along the coast had already depleted nesting grounds of the turtles and pushed these prehistoric reptiles to the brink of extinction.
Since 1996, Kapurusinghe has been working with local communities, nudging them towards alternate livelihoods, converting turtle poachers to turtle protectors! He explains, “Especially in the third world, coastal people depend on the sea and its resources for their survival. We don’t believe that punishment is the solution; if you put a poacher in jail, his son will take over… We are trying to provide alternate sources of livelihood that will reduce environmental pressure.”
For eight years, the TCP toiled and brought about a transformation that had not seemed possible in the beginning. “You can’t protect turtles by treating them as a separate species,” says Kapurusinghe. So, he set about protecting the entire ecosystem – replanting mangroves and other beach vegetation, and restoring sand dunes in Kosgoda.
Things were progressing well until that fateful day in December 2004, when everything went wrong. Three nest protectors lost their lives in the tsunami, their houses washed off, beach huts were swept away and project activities were badly affected.
On a broader scale, many people of Kosgoda and Rekawa lost lives, livelihoods and property. These were poor but diligent people who belonged to a community that was engaged in self-supporting activities to make ends meet. Fishing was the predominant profession, but many were adept at making items like batik, lace or coir. They lost much of their machinery and materials in the tsunami.
With SSGF funding support, TCP was able to restore turtle protection activities. From a societal standpoint, TCP also undertook to develop livelihood and infrastructure, both in Kosgoda and Rekawa, to put these communities back on their feet again.
Their project proposed to develop urgently needed basic facilities like water supply, toilets, and roads to improve the living conditions of the people. Through TCP, SSGF supported the construction of ten public toilets, the completion of roofs of five half-built houses, the repair of a road and the construction of shelters at two bus stops. Running water supply was assured through the construction of tube wells. A makeshift library at the TCP office is patronized by the children of Rekawa; its shelves were lined with books in Sinhala and English. A community centre is now under construction where the children’s library is to be housed permanently.
Many popular vocations in the villages - like coir production, lagoon fishing, masonry, brick making and confectionaries – were supported by the TCP. Livelihood development activities included ornamental fish breeding, batik designing, and tailoring. With an eye on the future, employability of the village youth was improved by conducting classes in English and computing.
The literal translation of the word ‘rekawa’, from which the village derives its name, means protection. It refers to the protective enclosure that was erected when King Dutugemunu (167-137 BC) wanted to catch elephants. For the people of Rekawa village, however, it could well mean the protection provided by the TCP.
Batik Designer and Entrepreneur
At the Tangalle pola (market), tourists – both foreign and local – crowd around the colourful handicraft stalls. Garments and locally produced goods are available at a fraction of the retail prices that the urban shopping centres command. An Englishwoman bargains and buys a beautiful turquoise-blue batik sarong – an exclusive Jayanadee creation - for Rs 450 (US$ 4.40).
R P Jayanadee is a 23-year-old girl who designs and manufactures batik garments, but her story is still unfolding… Her father was a fisherman who died when she was just five years old. The family eked out its precarious existence by hiring out their most prized possession – a motorised boat. That was lost in the tsunami. They got a new engine and fishing nets, but few fishermen need to hire these without a boat. It was time for a change of profession.
When Jayanadee heard that Turtle Conservation Project (TCP, an NGO) was conducting training on batik making, she was interested. She roped in her sister Karunavatee and a friend – Piyaseeli, who had lost her house in the tsunami – to attend training with her. Trainers from Kosgoda, specialists in the art of making batik, taught them the skill.
“We attended classes once or twice a week, depending on the tutor’s availability,” Jayanadee recounts. She was simultaneously doing her GCE Advanced Level and completed her exams successfully. She followed that up with a basic computer course.
The NGO supplied a sewing machine, a table and ten yards of fabric to each trainee. Wax, dyes, cans, kerosene and other consumable materials were also provided free. Subsequently, the NGO provided another 20 yards of fabric - or the cash equivalent, if the trainee did not immediately need the fabric.
Blessed with an artistic temperament, Jayanadee manages the design element. “I do all the drawings myself, freehand, without stencils,” she says proudly. Karunavatee and Piyaseeli get actively involved in the batik manufacturing process. The sisters’ mother finishes the tailoring of garments. A cousin who runs a shop in Moneragala provides them with another avenue to sell their colourful wares.
The loss of their motorised boat could have left this family high and dry. However, the batik training has given them an alternate profession and their living standards have improved. But there is much more that needs to be done.
The family needs a large cauldron for boiling the material that would enable them to increase output. They are aware of the benefits of increasing scale without having had the opportunity to attend classes on economics. “It is uneconomical to make just two pieces at a time,” they insist. Even as they use their gloved hands to demonstrate the batik-making process, the family expresses the need for tongs and better implements. Current reality is not proving to dampen their ambition one bit. Karunavatee elaborates, “We have all the skills to convert raw material into finished product. We just need to expand, increase productivity and go to the customer; we are not getting the right price now.”
Jayanadee comes across as a young and confident professional; she dreams of starting a big factory. “Of course I hope to get married some day,” she says, “But I want to develop this industry first. I want to train and employ the people of my village in batik-making.”
R P Jayanadee is a 23-year-old girl who designs and manufactures batik garments, but her story is still unfolding… Her father was a fisherman who died when she was just five years old. The family eked out its precarious existence by hiring out their most prized possession – a motorised boat. That was lost in the tsunami. They got a new engine and fishing nets, but few fishermen need to hire these without a boat. It was time for a change of profession.
When Jayanadee heard that Turtle Conservation Project (TCP, an NGO) was conducting training on batik making, she was interested. She roped in her sister Karunavatee and a friend – Piyaseeli, who had lost her house in the tsunami – to attend training with her. Trainers from Kosgoda, specialists in the art of making batik, taught them the skill.
“We attended classes once or twice a week, depending on the tutor’s availability,” Jayanadee recounts. She was simultaneously doing her GCE Advanced Level and completed her exams successfully. She followed that up with a basic computer course.
The NGO supplied a sewing machine, a table and ten yards of fabric to each trainee. Wax, dyes, cans, kerosene and other consumable materials were also provided free. Subsequently, the NGO provided another 20 yards of fabric - or the cash equivalent, if the trainee did not immediately need the fabric.
Blessed with an artistic temperament, Jayanadee manages the design element. “I do all the drawings myself, freehand, without stencils,” she says proudly. Karunavatee and Piyaseeli get actively involved in the batik manufacturing process. The sisters’ mother finishes the tailoring of garments. A cousin who runs a shop in Moneragala provides them with another avenue to sell their colourful wares.
The loss of their motorised boat could have left this family high and dry. However, the batik training has given them an alternate profession and their living standards have improved. But there is much more that needs to be done.
The family needs a large cauldron for boiling the material that would enable them to increase output. They are aware of the benefits of increasing scale without having had the opportunity to attend classes on economics. “It is uneconomical to make just two pieces at a time,” they insist. Even as they use their gloved hands to demonstrate the batik-making process, the family expresses the need for tongs and better implements. Current reality is not proving to dampen their ambition one bit. Karunavatee elaborates, “We have all the skills to convert raw material into finished product. We just need to expand, increase productivity and go to the customer; we are not getting the right price now.”
Jayanadee comes across as a young and confident professional; she dreams of starting a big factory. “Of course I hope to get married some day,” she says, “But I want to develop this industry first. I want to train and employ the people of my village in batik-making.”
Some Beneficiaries Speak Out
Malani Karunadasa, resident of Rekawa (Hambantota):
My husband is a fisherman. He does not own a boat; he and his mates hire boats when they go out to sea. Earlier my husband used to collect and sell turtle eggs for a living. But ever since the TCP began operations, he works with them as a turtle nest protector. He works five or six days a week (night shifts) at the beach.
We have three children, all of whom have finished schooling.
We lost our house and all its contents to the tsunami.
I have received training in batik designing by the TCP. The additional income we make on sale of garments with batik motifs helps our family
We earn enough to look after the basic day-to-day needs of our family.
T N Ariyasena, Carpenter:
I am a carpenter and live here in Rekawa. Prior to the tsunami, I used to work at a tourist hotel. That was destroyed during the tsunami. I escaped certain death because I had come home for the holidays. However, all my carpentry tools were lost in the disaster.
This electrically-operated, multi-purpose carpentry unit costs around Rs 39,500 (US$ 387). TCP gave me Rs 50,000 (US$ 490) and I also used my own money to buy some other equipment. I pay the TCP back in small instalments.
There are new machines now for intricate woodwork such as carving. I would like to own such machines in the future.
Earlier I had to work very hard to earn Rs 1,000 (US$ 9.80) per day. But, with this machine, I can easily earn Rs 2,000 (US$ 19.60), if there is enough work. This grant has helped me to improve my standard of living.
Thushani Marahinwewa, Class XIII student:
I am an Arts student at the Thangalu Balika Mahavidyalaya. I plan to become a teacher in the future.
I have learnt Microsoft Word, Excel, Access and PowerPoint at the TCP Computer Training Centre.
As a child I used to come here to the TCP book library. I am happy that the TCP is doing a lot of good work for our village.
My husband is a fisherman. He does not own a boat; he and his mates hire boats when they go out to sea. Earlier my husband used to collect and sell turtle eggs for a living. But ever since the TCP began operations, he works with them as a turtle nest protector. He works five or six days a week (night shifts) at the beach.
We have three children, all of whom have finished schooling.
We lost our house and all its contents to the tsunami.
I have received training in batik designing by the TCP. The additional income we make on sale of garments with batik motifs helps our family
We earn enough to look after the basic day-to-day needs of our family.
T N Ariyasena, Carpenter:
I am a carpenter and live here in Rekawa. Prior to the tsunami, I used to work at a tourist hotel. That was destroyed during the tsunami. I escaped certain death because I had come home for the holidays. However, all my carpentry tools were lost in the disaster.
This electrically-operated, multi-purpose carpentry unit costs around Rs 39,500 (US$ 387). TCP gave me Rs 50,000 (US$ 490) and I also used my own money to buy some other equipment. I pay the TCP back in small instalments.
There are new machines now for intricate woodwork such as carving. I would like to own such machines in the future.
Earlier I had to work very hard to earn Rs 1,000 (US$ 9.80) per day. But, with this machine, I can easily earn Rs 2,000 (US$ 19.60), if there is enough work. This grant has helped me to improve my standard of living.
Thushani Marahinwewa, Class XIII student:
I am an Arts student at the Thangalu Balika Mahavidyalaya. I plan to become a teacher in the future.
I have learnt Microsoft Word, Excel, Access and PowerPoint at the TCP Computer Training Centre.
As a child I used to come here to the TCP book library. I am happy that the TCP is doing a lot of good work for our village.
Tales from the Eastern Districts
Polmuddai (Population: 15,000) is a quaint coastal settlement located 55 kilometres from Trincomalee, in the East of Sri Lanka. The area has been the scene of recent battles between the militants and Sri Lankan forces. Accessibility by road is circuitous and it takes two ferry rides before one reaches the settlement from Trincomalee. The journey takes over three hours due to the treacherous roads with scores of checkpoints.
The population of Polmuddai is predominantly Muslim (90%), with the remainder being an almost equal sprinkling of Tamils and Sinhalese.
A A Cader is the leader of Rural Development Society (a CBO in Polmuddai that focuses primarily on the rehabilitation of women). He is also the vice-principal of a local school and a member of the Pradeshya Sabha (the local governing body). The CBO has been given US$ 15,000 as a grant from SSGF.
With this funding, the CBO has dug wells in two villages. Besides, women have been trained in tailoring and equipped with sewing machines. Fishing nets, with which the male members of the CBO trawl for prawns in the lagoon, have also been made available.
Sixteen-year old Fathima Rinoza, one of the tailoring beneficiaries, was taught the basics of tailoring at home and been provided with a sewing machine. She lost her father before the tsunami and has to support her two younger sisters and a differently-abled brother. This responsibility compelled her to discontinue studies at the secondary level itself. She specialises in stitching attire that is sought after by members of her community - abayas and salwar kameezes. She cuts the fabric herself and charges Rs 100 (US$ 0.98) for tailoring an outfit, which typically takes her one day.
Sulaiha Umma is a 63-year-old woman whose family lost its house and property in the tsunami. When the tsunami stuck, her husband was casting his net for fish. The shock traumatised him so much that he became seriously ill and died.
Despite receiving Rs 5,000 (US$ 49) as an SSGF grant, Sulaiha spent most of it on food, because she had no other means to survive. When she had just Rs 1,000 (US$ 9.80) left, she met some ladies who make coconut oil – and, using that money as an initial investment, bought a few coconuts. That was the commencement of a cottage industry for her.
Sulaiha cuts coconut kernel and dries it in the sun. Thereafter, she takes the ferry to the neighbouring village, where she personally supervises the grinding to ensure that her coconut oil is free of adulteration. Finally, she returns to her village, where she boils the oil and sells each bottle of pure coconut oil for Rs 130 (US$ 1.27). Demand is good, but business fortunes vary based on the availability of coconuts. Sulaiha’s ambition is to start a shop selling coconut oil and other provisions, for which she needs Rs 50,000 (US$ 490).
Kinniya, a small peninsula accessible by ferry, is located fifteen kilometres South-West of Trincomalee. The small town, which was badly affected by the tsunami, has a 100,000-strong population consisting predominantly of Muslims (97%).
A K F Rishana, who is in her early twenties, mobilized a team of ten seamstresses who already knew some tailoring. Each of them received an SSGF grant of Rs 10,000 (US$ 98) through an NGO called ASAD (Association for Social Activities Development) Foundation. The money was used to buy six sewing machines and necessary materials like fabric, buttons and bows. This CBO has enough work within the community of women around them itself; there is no need to prospect for work. The girls are conservative, contented with tailoring the abaya and hijab, and have no intention of diversifying into fashion garments.
Talking of her experience, Rishana says, “Although I knew a little tailoring, I did not think of it as a profession. But when we lost everything, it was time for me to start contributing to the family’s coffers. We formed this CBO because the team concept is better than doing it as an individual. I am grateful to SSGF and the ASAD Foundation who gave us training, machines and textiles. I am proud to have received management training in accounting and marketing techniques, which has helped us to do this business.”
The population of Polmuddai is predominantly Muslim (90%), with the remainder being an almost equal sprinkling of Tamils and Sinhalese.
A A Cader is the leader of Rural Development Society (a CBO in Polmuddai that focuses primarily on the rehabilitation of women). He is also the vice-principal of a local school and a member of the Pradeshya Sabha (the local governing body). The CBO has been given US$ 15,000 as a grant from SSGF.
With this funding, the CBO has dug wells in two villages. Besides, women have been trained in tailoring and equipped with sewing machines. Fishing nets, with which the male members of the CBO trawl for prawns in the lagoon, have also been made available.
Sixteen-year old Fathima Rinoza, one of the tailoring beneficiaries, was taught the basics of tailoring at home and been provided with a sewing machine. She lost her father before the tsunami and has to support her two younger sisters and a differently-abled brother. This responsibility compelled her to discontinue studies at the secondary level itself. She specialises in stitching attire that is sought after by members of her community - abayas and salwar kameezes. She cuts the fabric herself and charges Rs 100 (US$ 0.98) for tailoring an outfit, which typically takes her one day.
Sulaiha Umma is a 63-year-old woman whose family lost its house and property in the tsunami. When the tsunami stuck, her husband was casting his net for fish. The shock traumatised him so much that he became seriously ill and died.
Despite receiving Rs 5,000 (US$ 49) as an SSGF grant, Sulaiha spent most of it on food, because she had no other means to survive. When she had just Rs 1,000 (US$ 9.80) left, she met some ladies who make coconut oil – and, using that money as an initial investment, bought a few coconuts. That was the commencement of a cottage industry for her.
Sulaiha cuts coconut kernel and dries it in the sun. Thereafter, she takes the ferry to the neighbouring village, where she personally supervises the grinding to ensure that her coconut oil is free of adulteration. Finally, she returns to her village, where she boils the oil and sells each bottle of pure coconut oil for Rs 130 (US$ 1.27). Demand is good, but business fortunes vary based on the availability of coconuts. Sulaiha’s ambition is to start a shop selling coconut oil and other provisions, for which she needs Rs 50,000 (US$ 490).
Kinniya, a small peninsula accessible by ferry, is located fifteen kilometres South-West of Trincomalee. The small town, which was badly affected by the tsunami, has a 100,000-strong population consisting predominantly of Muslims (97%).
A K F Rishana, who is in her early twenties, mobilized a team of ten seamstresses who already knew some tailoring. Each of them received an SSGF grant of Rs 10,000 (US$ 98) through an NGO called ASAD (Association for Social Activities Development) Foundation. The money was used to buy six sewing machines and necessary materials like fabric, buttons and bows. This CBO has enough work within the community of women around them itself; there is no need to prospect for work. The girls are conservative, contented with tailoring the abaya and hijab, and have no intention of diversifying into fashion garments.
Talking of her experience, Rishana says, “Although I knew a little tailoring, I did not think of it as a profession. But when we lost everything, it was time for me to start contributing to the family’s coffers. We formed this CBO because the team concept is better than doing it as an individual. I am grateful to SSGF and the ASAD Foundation who gave us training, machines and textiles. I am proud to have received management training in accounting and marketing techniques, which has helped us to do this business.”
The Brick Cartel Gets Going
K M Dharmasena directs the activities of the Palmadulla-based NGO called Foundation for Rural Community Development (FRCD). Before applying for SSGF funds, he involved the local authorities in Ambalantota to identify the needs of the affected rural community. This bottom-up approach ensured that the funds were infused into avenues where it would be yield optimal benefit. “We assisted people by arranging specialised training in tailoring (twelve beneficiaries), alternate cropping for farmers, brick-making and coir products (ten each),” says Dharmasena. “Then we helped them to set up their own community organizations and trained them to manage their finances.”
The efficacy of this training is demonstrated by the fact that all ‘revolving funds’ granted to FRCD’s CBOs boast a 100% repayment record. The CBO for alternate crops has even opened a savings account, the accumulations of which are intended to buy a plot of land on which to construct a community centre.
Like many others, the brick-making CBO has a constitution and bank account; it has a corpus of Rs 150,000 (US$ 1,470) for revolving loans. A committee meeting of the organisation reviews applications of potential recipients and decides on their creditworthiness. When granted a loan, the recipient has to sign an agreement with the CBO and nominate two guarantors. (Thus far, the committee has had no reason to invoke the guarantees, because recipients have been paying back promptly). They are aware that they are not entitled to a fresh loan until they have repaid the previous one.
Rasika Withanage, FRCD Secretary, says, “We fund them and move out; CBO members run the business thereafter. We merely play the role of auditor by checking their books occasionally… You’d be surprised at what can be accomplished when you empower people.”
U K Nandasena, a brick-maker who lost all his property in the tsunami, belongs to a five-man CBO that not only handles loans but also decides on product pricing. United by a common cause, the members have prevented a price war by forming a virtual cartel that sells bricks measuring 12” x 6” x 3” at Rs 9 (US$ 0.09) each. The laying of these bricks, which are larger than the traditional variety, involves less labour. Builders come to the production point to buy bricks. Each brick-maker sells bricks worth Rs 35,000 (US$ 340) to Rs 45,000 (US$ 440) every month and makes a profit of Rs 17,500 (US$ 170) to Rs 25,000 (US$ 245). This is significantly higher than the country’s annual per capita income of US$ 1,355.
Another CBO member, N Jayalath, re-commenced his trade with an initial grant of Rs 3,500 (US$ 34) and a loan of 3,000 (US$ 29), which enabled him to buy some raw material. Jayalath says, “Soon after the tsunami, there was a great demand for our bricks because they are stronger than cement blocks.” His dream is to own a clay-mixer that would increase productivity by over 150%. He hopes that his community will, using its revolving fund, buy such a machine that could benefit all the brick-makers in the village.
The efficacy of this training is demonstrated by the fact that all ‘revolving funds’ granted to FRCD’s CBOs boast a 100% repayment record. The CBO for alternate crops has even opened a savings account, the accumulations of which are intended to buy a plot of land on which to construct a community centre.
Like many others, the brick-making CBO has a constitution and bank account; it has a corpus of Rs 150,000 (US$ 1,470) for revolving loans. A committee meeting of the organisation reviews applications of potential recipients and decides on their creditworthiness. When granted a loan, the recipient has to sign an agreement with the CBO and nominate two guarantors. (Thus far, the committee has had no reason to invoke the guarantees, because recipients have been paying back promptly). They are aware that they are not entitled to a fresh loan until they have repaid the previous one.
Rasika Withanage, FRCD Secretary, says, “We fund them and move out; CBO members run the business thereafter. We merely play the role of auditor by checking their books occasionally… You’d be surprised at what can be accomplished when you empower people.”
U K Nandasena, a brick-maker who lost all his property in the tsunami, belongs to a five-man CBO that not only handles loans but also decides on product pricing. United by a common cause, the members have prevented a price war by forming a virtual cartel that sells bricks measuring 12” x 6” x 3” at Rs 9 (US$ 0.09) each. The laying of these bricks, which are larger than the traditional variety, involves less labour. Builders come to the production point to buy bricks. Each brick-maker sells bricks worth Rs 35,000 (US$ 340) to Rs 45,000 (US$ 440) every month and makes a profit of Rs 17,500 (US$ 170) to Rs 25,000 (US$ 245). This is significantly higher than the country’s annual per capita income of US$ 1,355.
Another CBO member, N Jayalath, re-commenced his trade with an initial grant of Rs 3,500 (US$ 34) and a loan of 3,000 (US$ 29), which enabled him to buy some raw material. Jayalath says, “Soon after the tsunami, there was a great demand for our bricks because they are stronger than cement blocks.” His dream is to own a clay-mixer that would increase productivity by over 150%. He hopes that his community will, using its revolving fund, buy such a machine that could benefit all the brick-makers in the village.
How Does Your Garden Grow?
When people get accustomed to a particular lifestyle, they develop attitudes that are near impossible to change.Damayanthi Godamulla of the Kegalle-based NGO called Community Development Centre, wanted to train the people of this tsunami-affected seaside village a new and worthwhile pastime: home gardening. The odds were overwhelming odds: Her assistant, Rasika Hewawitharana, who works with the beneficiaries, says it was an immense challenge to change attitudes among the affected people because they were fisher-folk. They were unfamiliar with the intricacies of home gardening. “Their lives were focussed on the sea,” he says, “They didn’t know anything except fishing.”
The settlement being located close to the sea, the ground soil contained too much salinity and was unsuitable for cultivation. But the NGO, undaunted by the challenge, arranged for suitable soil to be transported from three or four kilometres away. Each lorry load (around 1,000 Kgs) costs upto Rs 20,000 (US$ 196).
The next constraint was that of limited land space; there was just not enough land available in their sparse gardens. But Hewawitharana was determined to overcome this handicap too. So, in conjunction with the local community, he set about increasing the cultivable area. Did they buy or rent more land? No, nothing so mundane; besides, they couldn’t afford that luxury... Inspired by a system of cultivation that is widely prevalent in Nepal, they set about increasing cultivable surface area. Think innovative… The surface area of a mountain is greater than the base on which it stands. So, they created little hillocks in their gardens to increase land available for cultivation. These home gardens are now a profusion of mukunuwena, spinach, radish, kankum, leafy vegetables and ginger.
Not content with resting on its laurels, the NGO has planned a second phase, in which more soil will be bought in. To enhance yield, organic fertiliser will be introduced and a compost unit will be installed in every home garden. As one family told us, “We are confident that what we plant here is pure and clean. We eat chemical-free vegetables. Besides, it increases our livelihood and supplements our income from fishing.”
These families have been accustomed to cooking their meals over wood fires in makeshift sheds. SSGF has funded constructing and equipping 100 indoor kitchens, complete with furniture, racks, pots and pans. Sixty such kitchens are already in progress and, when completed, each would have cost Rs 15,000 to 20,000 (US$ 147 to 196).
The people of this community are happy with the outcome. The smiling faces that one sees are evidence enough.
A Little Innovation Goes a Long Way
An entrepreneurial spirit and a little bit of ingenuity have helped Anusha Kumudini overcome the difficulties she faced after tsunami waters flooded her home. Anusha lives in a humble house down a narrow winding road in Kahawa. In her garden, coconut palms and banana trees sway in the morning breeze; it could have been any garden in a village in the south of Sri Lanka.
In a corner of the garden, a man turns the handle that activates a clattering spinning wheel fabricated with wood and the rim of a bicycle wheel. This wheel helps Anusha, her sister and aunt to convert coir into rope, the family’s traditional profession. An innovative feature about Anusha’s spinning wheel is that it has three spindle hooks, whereas the standard model has two. The machine was modified to allow her aunt to contribute to the family’s efforts at earning a livelihood; by doing so, Anusha has effectively increased productivity by 50%.
Anusha buys raw coir at Rs 20 (US$ 0.20) per kilogram and sells rope at Rs 40 (US$ 0.40) per kilogram to manufacturers of rugs, gunny bags and jute products. She speaks with admiration of the samithi (CBO) to which she belongs. The CBO received SSGF funding and has a little over Rs 400,000 (US$ 3,920) in its revolving fund, which is accessible to its 47 members.
Anusha used most of her loan of Rs 25,000 (US$ 245) from the CBO as initial capital to buy rope made by other people and resell it at a profit to manufacturers. She used Rs 1,500 (US$ 15) to buy the spinning wheel and repays Rs 1,300 (US$ 13) every month.
“I am very impressed with the samithi,” Anusha says, “Especially because they lend at 1% per month (reducing balance), which is the lowest in these parts.” Other CBOs she knows of lend at 2% per month and deduct Rs 375 (US$ 3.70) upfront from the loan amount, she explains. The CBO also conducts very efficient meetings - only once a month, lasting one hour, which is great because it does not cut into her time that is spent converting coir into rope.
In a corner of the garden, a man turns the handle that activates a clattering spinning wheel fabricated with wood and the rim of a bicycle wheel. This wheel helps Anusha, her sister and aunt to convert coir into rope, the family’s traditional profession. An innovative feature about Anusha’s spinning wheel is that it has three spindle hooks, whereas the standard model has two. The machine was modified to allow her aunt to contribute to the family’s efforts at earning a livelihood; by doing so, Anusha has effectively increased productivity by 50%.
Anusha buys raw coir at Rs 20 (US$ 0.20) per kilogram and sells rope at Rs 40 (US$ 0.40) per kilogram to manufacturers of rugs, gunny bags and jute products. She speaks with admiration of the samithi (CBO) to which she belongs. The CBO received SSGF funding and has a little over Rs 400,000 (US$ 3,920) in its revolving fund, which is accessible to its 47 members.
Anusha used most of her loan of Rs 25,000 (US$ 245) from the CBO as initial capital to buy rope made by other people and resell it at a profit to manufacturers. She used Rs 1,500 (US$ 15) to buy the spinning wheel and repays Rs 1,300 (US$ 13) every month.
“I am very impressed with the samithi,” Anusha says, “Especially because they lend at 1% per month (reducing balance), which is the lowest in these parts.” Other CBOs she knows of lend at 2% per month and deduct Rs 375 (US$ 3.70) upfront from the loan amount, she explains. The CBO also conducts very efficient meetings - only once a month, lasting one hour, which is great because it does not cut into her time that is spent converting coir into rope.
The Wheel of Fortune
On the veranda of his humble abode in Puwakdandawa - a coastal village in Tangalle that is reputed for its pottery, K P Jayasena smacks a mound of clay into shape. When he loads the clay onto his potter’s wheel and manually spins the wheel, he seems able to coax the clay to do his bidding. Almost magically, the malleable material is transformed into intricate objects of art and utility.
Every Sunday, the village people take their produce to the Tangalle pola or market place. A wide variety of earthenware items are available at the pola - from simple clay pots and pans to ornate vases and intricate terracotta artefacts. In addition to on-the-spot sales, the potters frequently get orders from holiday resorts in the vicinity, which use the vases and artefacts in their décor. Ornamental pottery and garden lampshades are particularly popular with the beach resorts because they enhance aesthetic appeal at a low cost.
It was on one such Sunday in December 2004 that fate played its cruel hand; the entire marketplace was washed away, along with the wares on display…
Sunethra Marasinghe, President of the NGO Human and Environmental Development Foundation of Sri Lanka (HEDF), initiated activities in the village to assist the villagers in livelihood development. The pottery workers of Puwakdandawa were helped to form themselves into a community organisation, a CBO. When the NGO received its first tranche of SSGF funding for the tsunami-affected, Rs 120,000 (US$ 1,175) was disbursed to this Tangalle-based CBO consisting of 35 potters. The CBO started a revolving fund and distributed loans of Rs 5,000 (US$ 49) each to 22 recipients. These loans helped the community of village potters to limp back to business. Other foreign aid agencies and local government authorities also chipped in for some of the activities.
The members are only just realising the benefits of collective work: One CBO member owns a tractor, because of which he handles transport of the potters and their goods to and from the polas. The group has devised a simple savings system, wherein each member contributes Rs 50 (US$ 0.49) every month towards creating a corpus of funds that is available as instant loans. An interest of 5% is levied per month on borrowings. This is considered reasonable. Previously, local moneylenders and middlemen used to charge them usurious interest rates of upto 20% per month. With the formation of this CBO, there is only one group of people that is unhappy – the local moneylenders!
Working as a community, these villagers say, “We have moved beyond our traditional pottery trade. Best of all, we are not at the mercy of the middlemen anymore.” The wheel of fortune has turned full circle for them… and they owe their improved livelihoods to SSGF.
Every Sunday, the village people take their produce to the Tangalle pola or market place. A wide variety of earthenware items are available at the pola - from simple clay pots and pans to ornate vases and intricate terracotta artefacts. In addition to on-the-spot sales, the potters frequently get orders from holiday resorts in the vicinity, which use the vases and artefacts in their décor. Ornamental pottery and garden lampshades are particularly popular with the beach resorts because they enhance aesthetic appeal at a low cost.
It was on one such Sunday in December 2004 that fate played its cruel hand; the entire marketplace was washed away, along with the wares on display…
Sunethra Marasinghe, President of the NGO Human and Environmental Development Foundation of Sri Lanka (HEDF), initiated activities in the village to assist the villagers in livelihood development. The pottery workers of Puwakdandawa were helped to form themselves into a community organisation, a CBO. When the NGO received its first tranche of SSGF funding for the tsunami-affected, Rs 120,000 (US$ 1,175) was disbursed to this Tangalle-based CBO consisting of 35 potters. The CBO started a revolving fund and distributed loans of Rs 5,000 (US$ 49) each to 22 recipients. These loans helped the community of village potters to limp back to business. Other foreign aid agencies and local government authorities also chipped in for some of the activities.
The members are only just realising the benefits of collective work: One CBO member owns a tractor, because of which he handles transport of the potters and their goods to and from the polas. The group has devised a simple savings system, wherein each member contributes Rs 50 (US$ 0.49) every month towards creating a corpus of funds that is available as instant loans. An interest of 5% is levied per month on borrowings. This is considered reasonable. Previously, local moneylenders and middlemen used to charge them usurious interest rates of upto 20% per month. With the formation of this CBO, there is only one group of people that is unhappy – the local moneylenders!
Working as a community, these villagers say, “We have moved beyond our traditional pottery trade. Best of all, we are not at the mercy of the middlemen anymore.” The wheel of fortune has turned full circle for them… and they owe their improved livelihoods to SSGF.
Soft Loans and Softer Cushions
Manel Silva manages an NGO called NETMIN (NETwork of Micro-credit INitiatives), where she makes serviettes, cushions and a variety of intricately embroidered table- and bed linen. Through its activities, NETMIN benefits the members of 78 families in North Thalpitiya.
Having worked with the Rural Development Agency even before the tsunami, Manel was no stranger to social service. Her 25-year experience included a stint during which she administered the Janasavia Fund (now called the ‘National Trust Fund’). “Post-tsunami, lots of agencies were giving loans for livelihood,” Manel recollects, “People took those loans but did not use them productively.”
Determined to buck that trend, Manel submitted an ambitious Rs 2.2-million (US$ 21,550) project proposal for livelihood. A scaled-down version of the proposal was finally approved and Manel was granted Rs 400,000 (US$ 3,920). She quickly set about mobilising interested families into nine groups and used the money to start a revolving fund.
Today, Manel has given loans in excess of the amount granted to her, raising the difference from her own resources and other agencies. An interest rate of 11.5% per annum is levied on borrowings, on reducing balance basis. This is a nominal charge - even less than commercial banks’ prime lending rate - ostensibly to teach beneficiaries the time value of money. The reducing balance method reinforces that message by ensuring that borrowers get a ‘rebate’ when they pay early.
At NETMIN’s premises, Manel runs a tapestry and embroidery venture where she supervises the embroidery of pretty cushions and colourful serviettes. These find their way into homes of the rich and famous, through upmarket retail stores and fashion boutiques. A less high-profile activity involves attaching sequins to T-shirts, thereby enhancing their aesthetic appeal and resale value.
Not only has Manel provided loans to 27 recipients, she has also given them the opportunity to work with NETMIN and avail of her entrepreneurial skills. She now employs ninety people, but does not believe in retaining her employees permanently. “I derive greater satisfaction by empowering communities and individuals – and then letting them go,” she says.
Indrani Fernando, who works with NETMIN, also operates a CBO; she talks with obvious pride about an order for linen bags that has secured recently. Besides, Indrani took a two-year loan of Rs 20,000 (US$ 196) from the CBO in December 2005. She lends this amount to acquaintances for tenures ranging from one month to five months at an interest of 5% per month, profiting from the interest spread. Six persons have co-guaranteed the loan she has availed.
NETMIN has also given loans to individuals who wanted to start small businesses. Dhammika Pereira, whose husband is a driver, runs a rice mill and a grocery store. She has availed of a loan of Rs 15,000 (US$ 147) to acquire an electrically operated machine. Dhammika’s family is co-operative, pitching in in whatever way they can: Her mother tends the store whenever Dhammika goes to grind rice flour. Her sister has provided garden space where Dhammika plants vegetables that are sold from the store.
Having worked with the Rural Development Agency even before the tsunami, Manel was no stranger to social service. Her 25-year experience included a stint during which she administered the Janasavia Fund (now called the ‘National Trust Fund’). “Post-tsunami, lots of agencies were giving loans for livelihood,” Manel recollects, “People took those loans but did not use them productively.”
Determined to buck that trend, Manel submitted an ambitious Rs 2.2-million (US$ 21,550) project proposal for livelihood. A scaled-down version of the proposal was finally approved and Manel was granted Rs 400,000 (US$ 3,920). She quickly set about mobilising interested families into nine groups and used the money to start a revolving fund.
Today, Manel has given loans in excess of the amount granted to her, raising the difference from her own resources and other agencies. An interest rate of 11.5% per annum is levied on borrowings, on reducing balance basis. This is a nominal charge - even less than commercial banks’ prime lending rate - ostensibly to teach beneficiaries the time value of money. The reducing balance method reinforces that message by ensuring that borrowers get a ‘rebate’ when they pay early.
At NETMIN’s premises, Manel runs a tapestry and embroidery venture where she supervises the embroidery of pretty cushions and colourful serviettes. These find their way into homes of the rich and famous, through upmarket retail stores and fashion boutiques. A less high-profile activity involves attaching sequins to T-shirts, thereby enhancing their aesthetic appeal and resale value.
Not only has Manel provided loans to 27 recipients, she has also given them the opportunity to work with NETMIN and avail of her entrepreneurial skills. She now employs ninety people, but does not believe in retaining her employees permanently. “I derive greater satisfaction by empowering communities and individuals – and then letting them go,” she says.
Indrani Fernando, who works with NETMIN, also operates a CBO; she talks with obvious pride about an order for linen bags that has secured recently. Besides, Indrani took a two-year loan of Rs 20,000 (US$ 196) from the CBO in December 2005. She lends this amount to acquaintances for tenures ranging from one month to five months at an interest of 5% per month, profiting from the interest spread. Six persons have co-guaranteed the loan she has availed.
NETMIN has also given loans to individuals who wanted to start small businesses. Dhammika Pereira, whose husband is a driver, runs a rice mill and a grocery store. She has availed of a loan of Rs 15,000 (US$ 147) to acquire an electrically operated machine. Dhammika’s family is co-operative, pitching in in whatever way they can: Her mother tends the store whenever Dhammika goes to grind rice flour. Her sister has provided garden space where Dhammika plants vegetables that are sold from the store.
Restoring a Fractured Psyche
The devastation to life and property was of unimaginable proportions. But Neshad Mandalawatte the Chairman of an NGO named DEIHERM looked beyond the corpses and physical debris, and the sight was even more worrying. The psyche of the people had been shattered. The united front of village co-ordination committees had been broken. People were pushing and shoving, competing against their neighbours to enrich themselves. Even people who were not affected sought assistance from various aid agencies.
Men and women were standing around, waiting for grants and handouts, unwilling to help themselves. The ‘money for nothing’ mindset prevailed and, with several aid agencies willing to oblige, it was impossible to get people back to work... until Mandalawatte decided to take charge of the situation.
“This has to stop,” he decided, “Our people cannot be reduced to beggars.” To effect this attitudinal change was difficult as long as the aid agencies were still around, doling out their largesse. Mandalawatte told the people, “Soon these aid-givers will leave and you would need a system whereby you can help yourselves… Would you like to form your own CBO?” Sustainability was his theme: “Would you like a situation where you can live continuously instead of being dependent? Or would you prefer to have a meal today and go hungry tomorrow?”
Forty-nine people who expressed willingness to work with DEIHERM were invited to a seminar at the Management Development Training Centre at Wakwella in Galle. There, they were taught the rudiments of rural management. Subjects included Reporting systems, Accounting, Financial control systems, Leadership training and Community mobilisation methods. This training equipped the individuals, but team spirit still needed to be inculcated. This was done by creating common cause, involving every participant in shramadhana, clearing debris and planting shrubs along the beachfront. Gradually, they forged a cohesive team, ready to manage community finances. Along with other interested community members, Mandalawatte formed seven 25-member CBOs. Then, he promptly transferred Rs 25,000 (US$ 245) into each CBO’s bank account.
For the purpose of availing loans from the corpus, each CBO was divided into sub-groups consisting of five members each. When a person takes a loan, the remaining four members of the sub-group have to jointly and severally guarantee repayment. A CBO Forum – with one responsible person from each CBO – needs to sanction larger loans (greater than Rs 100,000 or US$ 980).
About six months later, when the members had got into the savings habit, DEIHERM evaluated each CBO’s performance. DEIHERM offered incentives to CBOs that performed well by increasing their allocations.
Now, the CBOs independently sign contracts for infrastructure and similar projects with suppliers of material and services. Thanks to an NGO who decided to step in and revive their shattered psyche.
Yet, there is a continuing role for the NGO. DEIHERM assists CBOs who sell lunch packets to get approval from Public Health Inspectors. It also liaises with relevant authorities to obtain agricultural advisory services for the farmers.
Men and women were standing around, waiting for grants and handouts, unwilling to help themselves. The ‘money for nothing’ mindset prevailed and, with several aid agencies willing to oblige, it was impossible to get people back to work... until Mandalawatte decided to take charge of the situation.
“This has to stop,” he decided, “Our people cannot be reduced to beggars.” To effect this attitudinal change was difficult as long as the aid agencies were still around, doling out their largesse. Mandalawatte told the people, “Soon these aid-givers will leave and you would need a system whereby you can help yourselves… Would you like to form your own CBO?” Sustainability was his theme: “Would you like a situation where you can live continuously instead of being dependent? Or would you prefer to have a meal today and go hungry tomorrow?”
Forty-nine people who expressed willingness to work with DEIHERM were invited to a seminar at the Management Development Training Centre at Wakwella in Galle. There, they were taught the rudiments of rural management. Subjects included Reporting systems, Accounting, Financial control systems, Leadership training and Community mobilisation methods. This training equipped the individuals, but team spirit still needed to be inculcated. This was done by creating common cause, involving every participant in shramadhana, clearing debris and planting shrubs along the beachfront. Gradually, they forged a cohesive team, ready to manage community finances. Along with other interested community members, Mandalawatte formed seven 25-member CBOs. Then, he promptly transferred Rs 25,000 (US$ 245) into each CBO’s bank account.
For the purpose of availing loans from the corpus, each CBO was divided into sub-groups consisting of five members each. When a person takes a loan, the remaining four members of the sub-group have to jointly and severally guarantee repayment. A CBO Forum – with one responsible person from each CBO – needs to sanction larger loans (greater than Rs 100,000 or US$ 980).
About six months later, when the members had got into the savings habit, DEIHERM evaluated each CBO’s performance. DEIHERM offered incentives to CBOs that performed well by increasing their allocations.
Now, the CBOs independently sign contracts for infrastructure and similar projects with suppliers of material and services. Thanks to an NGO who decided to step in and revive their shattered psyche.
Yet, there is a continuing role for the NGO. DEIHERM assists CBOs who sell lunch packets to get approval from Public Health Inspectors. It also liaises with relevant authorities to obtain agricultural advisory services for the farmers.
Saturday, August 25, 2007
Opportunities for Improvement
The implementation of SSGF’s recovery programme has been an unqualified success. Nevertheless, this report would be incomplete without an assessment of possible improvement opportunities:
In Phase I, 32 NGOs were banded together to form thirteen clusters – each under the administrative leadership of a ‘Lead NGO’. It was expected that this would reduce administrative effort and develop co-ordination at the grassroots – and it did. Some clusters worked with a high degree of cohesion, completed activities on schedule, and submitted their reports to GEF/ SGP concurrently. This could have been emulated as a best practice...
However, there were a few clusters that did not perform as anticipated. In future, it might be desirable to have some preparatory sessions that facilitate NGOs with different operating styles working together.
NGOs’ activity plans often include an element of micro-credit that is given to CBOs to meet their working capital needs. For these ‘revolving funds’ to truly serve their purpose, they must be effectively controlled by the CBO after its members have been trained in basic accounting and financial management.
Performance on this aspect has been mixed. Most progressive NGOs have conducted training programmes and devolved controllership of funds to the beneficiaries. There are a few, however, who retain control of funds and even levy interest. This vitiates the understanding that the revolving funds – in form and substance – belongs to the CBOs.
In any disaster situation, it is essential that assistance is available at the place and time when it is needed most. Delays render such recovery mechanisms sub-optimal or - in more severe cases – of little use. For example, in GEF/ SGP, there could be an instance where an agriculturalist needs to deploy resources before the monsoons set in. A delay in releasing funds could prevent this. There is a need for administrative systems to gear up to face the challenge of rapid deployment, particularly when it relates to disaster recovery. Ways and means of expediting associated processes need to be examined.
The aspect that has the potential to yield the greatest benefit to grantees is the development of a stronger marketing orientation. The establishment of collective marketing organisations could significantly improve many beneficiaries’ net earnings.
· There are some small producers who are content to operate at the local level.
· Others make high-quality products but lack the sophistication necessary to access more profitable markets. For long-term sustainability, entrepreneurs need training to devise better distribution strategy.
· A third category of ambitious producers has made this transition and now supply to premium departmental stores. With guidance, such producers have the potential to market their products internationally.
Every single beneficiary appreciates the support received thus far. Many have identified specific improvement plans that would further enhance their lives. To achieve their ambitions, they require further assistance.
The words of Shakespeare provide an appropriate concluding thought:“There is a tide in the affairs of men, which taken at the flood, leads on to fortune. Omitted, all the voyage of their life is bound in shallows… On such a full sea are we now afloat. And we must take the current when it serves, or lose our ventures.”
In Phase I, 32 NGOs were banded together to form thirteen clusters – each under the administrative leadership of a ‘Lead NGO’. It was expected that this would reduce administrative effort and develop co-ordination at the grassroots – and it did. Some clusters worked with a high degree of cohesion, completed activities on schedule, and submitted their reports to GEF/ SGP concurrently. This could have been emulated as a best practice...
However, there were a few clusters that did not perform as anticipated. In future, it might be desirable to have some preparatory sessions that facilitate NGOs with different operating styles working together.
NGOs’ activity plans often include an element of micro-credit that is given to CBOs to meet their working capital needs. For these ‘revolving funds’ to truly serve their purpose, they must be effectively controlled by the CBO after its members have been trained in basic accounting and financial management.
Performance on this aspect has been mixed. Most progressive NGOs have conducted training programmes and devolved controllership of funds to the beneficiaries. There are a few, however, who retain control of funds and even levy interest. This vitiates the understanding that the revolving funds – in form and substance – belongs to the CBOs.
In any disaster situation, it is essential that assistance is available at the place and time when it is needed most. Delays render such recovery mechanisms sub-optimal or - in more severe cases – of little use. For example, in GEF/ SGP, there could be an instance where an agriculturalist needs to deploy resources before the monsoons set in. A delay in releasing funds could prevent this. There is a need for administrative systems to gear up to face the challenge of rapid deployment, particularly when it relates to disaster recovery. Ways and means of expediting associated processes need to be examined.
The aspect that has the potential to yield the greatest benefit to grantees is the development of a stronger marketing orientation. The establishment of collective marketing organisations could significantly improve many beneficiaries’ net earnings.
· There are some small producers who are content to operate at the local level.
· Others make high-quality products but lack the sophistication necessary to access more profitable markets. For long-term sustainability, entrepreneurs need training to devise better distribution strategy.
· A third category of ambitious producers has made this transition and now supply to premium departmental stores. With guidance, such producers have the potential to market their products internationally.
Every single beneficiary appreciates the support received thus far. Many have identified specific improvement plans that would further enhance their lives. To achieve their ambitions, they require further assistance.
The words of Shakespeare provide an appropriate concluding thought:“There is a tide in the affairs of men, which taken at the flood, leads on to fortune. Omitted, all the voyage of their life is bound in shallows… On such a full sea are we now afloat. And we must take the current when it serves, or lose our ventures.”
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