POVERTY HOUSING AND FINANCE:

UNDERSTANDING THE URBAN POOR

SARVAJANIK COLLEGE OF ENGINEERING

& TECHNOLOGY, SURAT

URBAN

HOUSING

Presented by: 1. . Manoj Patel Guided by: Prof. Himanshu Padhya

CONTENTS

1. Understanding of poverty housing 2. Challenges to face3. Definition of poverty housing4. Keys to solve poverty housing5. Development challenges6. Housing finance7. Importance of housing finance8. Urban poor9. Special problems of urban poor10. References

Poverty HousingNo standard definition of "poverty housing" is applied across the region

defined by UN International Covenant of Economic, Social and Cultural Rights

"The States parties to the present Covenant recognize the right of everyone to an adequate standard of living for himself and his family, including adequate food, clothing and housing, and to the continuous improvement of living conditions "

"a place to live in peace and dignity”

In Other Words

" Inextricably bound to the workplace, child raising, education, health care for the elderly and personal security, as well living conditions as a whole, including also emotional and psychological security for the family, particularly women and children "

housing requirements1. tenure security

2. Affordability

3. Adequacy

4. Accessibility

5. proximity to services

6. availability of infrastructure

7. cultural adequacy

Case study as In the majority of the developing countries of the

Pacific islands, a high proportion of people live in inadequate

housing, severely limiting prospects for economic and social

development.

Over 40 per cent of the population of these nations 4 million people

live in poverty housing in towns and cities, squatter settlements and

rural villages.

Never the less, they share many of the same challenges

1. small domestic markets and limited economic growth

2. increasing poverty and declining living standards

3. rapidly increasing populations and high rates of rural-to-

urban migration

4. growing squatter settlements in urban and peri-urban areas

5. poor infrastructure and housing regulatory mechanisms

6. land conflicts and ethnic tensions

7. extreme vulnerability to natural disasters.

While Pacific island nations receive substantial

development assistance, governments and communities

cannot keep pace with the increasing number of

households living in inadequate housing.

Keys to successfully addressing inadequate housing

1. Recognizing that squatter settlements are permanent and require basic infrastructure and social services

2. integrating housing with improvements in basic infrastructure, including access to safe drinking water, improved sanitation, solid waste management, electricity and all weather roads

3. balancing between rural and urban areas to help stem the flow of people to urban areas and the slow depopulation of rural communities

4. identifying safe and suitable land for housing for poor5. housing finance

The development challenges

1. limited economic growth and rapidly increasing populations

2. poverty and declining living standards

3. poor resource management

4. growing squatter settlements in urban and peri-urban areas

5. inadequate serviced land and poor housing regulatory

mechanisms

6. lack of political stability and weak governance structures

Pacific Island Poor Housing

SIMPLE SHACKS HOUSING

Faces Daily

Constructing & Repairing Houses

HOUSING FINANCE : Ways to help the poor pay for housing

For people of all income groups but especially for

the poor, housing is not a product, but a process.

It’s not something that is completed all at one time

according to a plan, but is developed in stages, as

a household needs and resources change.

Why housing financing so important

a. Housing is a fundamental human need and

right

b. Housing is expensive

c. It makes sense to borrow to buy the housing

we live in

d. But to do that means finding a willing lender

Scenario

You don’t have to study Asian cities very long to realize just how serious their housing problems are, and how many urban households simply cannot afford decent housing of any sort.

In most countries, large portions of the urban population cannot afford adequate housing, and are having to squeeze their household into a smaller and smaller unit, living far from work on the periphery of town, building their own house or renting a shack in a slum or squatter settlement.

To accommodate a wide range of housing needs and a growing population, a city needs to provide a steady supply of new housing

“Most urban poor simply cannot afford decent shelter and this is where housing finance becomes so important”

when a little housing finance and secure tenure are made available to people, the quality of housing, even at the bottom end of the economic ladder, can improve dramatically

Urban poor

“urban poverty nationally at 40 percent of the total urban population”

31% of the urban population is poor

79 percent of the rural migrants in Delhi live in squatter settlement

‘the urban poor are only an out-flow of the rural poor in to the urban area’

Special problems of urban poor people

• Urban migrants from the country side have been cut off from their community

• The social security systems, both formal and informal, which survive in the rural areas, are not nearly so developed in the urban areas

• The cost of living in urban areas is many times higher than in the rural areas

• The rural economy is still not fully monetized, while in urban areas, one has to pay for everything in money

• The physical environment in which the majority of the urban poor are forced to live is usually far more degraded, brutalized and violent

• Almost all the efforts for shelter and livelihood of urban poor people are illegalized, even criminalized in effect, their equal citizenship is constantly contested

• Most rural poor people have some land and cattle or other animals, which is their insurance against bad times. The urban poor have no such asset security, only their labour power

References1. www.habitat.org/aphabitate for humanityHabitat's vision: a world where everyone has a decent place to live.2. www.housing-the-urban-poor.netSustainable Urban Development Unit, Environment and Development Division UNESCAP, UN Building, Rajdamnern Nok Avenue, Bangkok 10200, Thailand3. http://finance.indiamart.com/india_business_information/population.htmlIndia Finance & Investment Guide provides quality information and inputs regarding investment opportunities in India.4. www.wilsoncenter.orgIndependent research, open dialogue & actionable ideasWe are not put into the world to sit still and know, we are put in it to act.

THANK

YOU