Social empowerment

The process of gaining a sense of independence and
self-assurance and taking action both individually and collectively to alter
social interactions as well as the institutions and discourses that exclude and
keep poor people in poverty is known as social empowerment. Individual assets
(like land, housing, livestock, and savings) and capabilities of all
kinds—human (like good health and education), social (like social belonging, a
sense of identity, and leadership relationships—all have a significant impact
on how empowered poor people are and their capacity to hold others accountable
(self-esteem, self-confidence, the ability to imagine and aspire to a better
future). Collective human assets and capacities, such as voice, organization,
representation, and identity, are also significant.

Participation by low-income individuals in neighborhood
organizations and mechanisms for intercommunity cooperation can promote social
empowerment by enhancing their abilities, knowledge, and self-perception. Local
organizations, such as farming cooperatives or microfinance groups, serve as
self-help mechanisms for poor people to organize their economic activities.

It is also crucial to acknowledge that informal organizations
like religious institutions, traditional and customary institutions, and
informal community-based groups make up the majority of associational life at
the local level. These organizations have the biggest impact on the lives of
the underprivileged.

Vulnerable groups, including the extremely poor, women, and
marginalized communities, frequently lack the knowledge and self-assurance
necessary to participate in collective decision-making. Therefore, in order to
ensure that marginalized groups may participate, it may be crucial to support
procedures that are expressly aimed at them. It is argued that involvement in
neighborhood organizations can give low-income people more power to participate
in public politics and group action. Building one’s capacity to interact, both
individually and collectively, is a lengthy process, according to study.

Economic empowerment

It is believed that economic empowerment enables low-income
individuals to think beyond their immediate daily needs and to exercise greater
control over their resources and lifestyle decisions. For instance, it gives
households the freedom to decide for themselves whether to invest in their
children’s health and education or take financial risks in an effort to enhance
their income. There is some evidence that increasing economic emancipation can
increase the influence of disadvantaged groups in decision-making. Programs
like microfinance, for instance, have been demonstrated to increase women’s
power in the home and workplace. The evidence also implies that greater social
status or decision-making authority can frequently be “converted”
from economic power.

A significant portion of the extensive literature on
economic empowerment, which is a fundamental tactic in tackling gender inequality,
is devoted to the economic empowerment of women. More broadly, the conversation
about economic empowerment is centered on four themes:

a) highlighting the assets of the poor;

b) innovative social protection;

c) microfinance;

d) skills development.

Land and property rights

Uncovering underlying economic, social, and political
inequities is said to be facilitated by ensuring that everyone has access to
land and property, especially women. It has been demonstrated that addressing
land entitlements can boost revenue, increase productivity, increase credit
availability, and stimulate social and economic investments in real estate, as
well as in fields like education, health, and other businesses that generate
income. The empowerment of communities through land titling or sharing
ownership with private entities, mandatory consultations and benefit-sharing,
mandatory social impact assessments, cash or in-kind compensations, and legal
redress for property damage are key topics of discussion in contexts where the
management of natural resources may present issues.

Social protection

More and more, social protection is being examined in terms
of its capacity to fundamentally alter the chances and status of marginalized
groups. By assisting individuals in developing strategies to reconcile their
immediate needs with their investments in future livelihoods, social protection
services are thought to empower the poor. They make it possible for people to
invest in riskier but more lucrative activities like starting their own
business or keeping their kids in school. Social safety nets are especially
crucial for people who lack the resources to even make tiny savings. There is
evidence that social protection interventions have influenced investments in
children’s human capital and capacities, increased the productivity of
household livelihood efforts, contributed to a sense of inclusion and
citizenship, mobilized the underprivileged around entitlement claims, and had
an impact on the local economy.

Cash transfers are believed to help disadvantaged
individuals build their self-esteem, status, and sense of empowerment so they
can participate fully in their families and communities rather than being seen
as “burdens.” For instance, there is compelling evidence that financial
transfers can eliminate social disadvantage based on age. Social pensions have
been found to improve the status of elderly people without relatives in Namibia
and Lesotho who would otherwise be alone and excluded from community life.
Additionally, cash transfers are thought to be a particularly successful method
of empowering women and girls in the home. Cash transfers can improve
intra-household resource allocation by addressing gender disparities in access
to economic resources and putting money directly into the hands of women. This
will give women more negotiating leverage. However, it is suggested that
conditional cash transfers (CCTs), which demand that kids go to school and have
physicals, reinforce gender stereotypes that males are the breadwinners and
women are in charge of the home. Overall, there is still inconsistent
information regarding how cash transfer schemes affect empowerment.

Skills Training

Another way to support empowerment is through initiatives
that encourage marginalized groups (like young people or undocumented workers)
to acquire new skills and undergo training. People’s self-perceptions and
status are thought to change as a result of learning new things, which also
improves their employability and promotes active citizenship.

Microfinance

Financial services for persons without access to
conventional formal banking are referred to as microfinance. It comprises
services for money transfers, insurance, and microcredit (the provision of
loans). People have long been believed to be empowered by microfinance
initiatives to invest in their futures and escape poverty. The influence of
microcredit and microloans on the empowerment of the poor, however, is causing
increasing worry, and the focus on helping the “poorest of the poor”
may not be the best strategy.