Rural institutions and rural poverty

Developing responsive institutions, those located in rural areas and those that affect the rural poor, is a crucial question for economic policy-making as governments try to accelerate rural development and poverty reduction in economies that are increasingly market-based.

Institutions in this context mean economic, social and political organizations, together with the rules that govern their interaction. The institutional framework mediates the access of the poor to assets, financial and other services, technologies and markets, and it determines the extent to which poor groups benefit from the production generated by these assets and services. Public institutions and their rules of the game also determine resource allocation and impose regulatory frameworks that have great impact on the lives of the poor.

The development of organizations that empower the poor, and the rules and policies that secure sustainable access for the poor to assets such as land and water, to technology, finance and other services and to efficient markets, and allow the poor to participate in decision-making is central to more rapid rural development and poverty reduction.

Strengthening the capacity of the rural poor and their organisations

Capacity Strengthening

Community-Driven Development