Consultative Group to Assist the Poor (2006), Good Practice Guidelines for Funders of Microfinance, Meta-analysis of evaluations, CGAP, The World Bank

2.4 APPROACHES TO ENHANCE LIVELIHOODS, EQUITY AND INCLUSION

2.4.3. Social protection

Recommendation: 14) Note when developing project design that targeted social protection (including safety nets) may offer extremely vulnerable people better alternatives than support for micro-credit. A broad analysis of experience targeting destitute and extremely vulnerable people indicates that social safety net programs and investments in infrastructure and production technology may offer better alternatives than microcredit.

Reference: Consultative Group to Assist the Poor (2006), Good Practice Guidelines for Funders of Microfinance, Meta-analysis of evaluations, CGAP, The World Bank, Washington DC.

Evidence sample: the analysis indicated that targeted social safety net programs and investments in infrastructure and production technology offer destitute and extremely vulnerable people better alternatives than microcredit (e.g., food security programs, wage employment in small and medium enterprises). 

Targeted social safety net programs and investments in infrastructure and production technology offer destitute and extremely vulnerable people better alternatives than microcredit, That is safety net in food security programs, wage employment in small and medium enterprises).