Grants for Income Generation

Communities supported by World Bank
rural development projects often cite support for the
development of income-generating activities (IGAs) as a
critical need. This note identifies some of the core
problems encountered by Bank task teams that attempt to
respond to this need, outlines the issues involved, and
offers suggestions on some of the points that should be kept
in mind when designing grant programs for this purpose.
Specifically, this note looks at how grants can develop
economic and social infrastructure, how grants can be used
to acquire privately owned productive assets, and
suggestions on designing such types of grants. The paper
concludes with ideas on the role for grants for income
generation, and how such grant programs must be carefully
designed and monitored.