US commits USD 1.9 mn to India to support informal sector workers, micro enterprises
New Delhi: The US has committed USD 1.9 million to support vulnerable populations like informal sector workers whose livelihoods have been disrupted due to COVID-19.
The financial assistance from US Agency for International Development (USAID), extended generously by the American people to partners in India, will support efforts to rebuild local economies and improve the livelihoods of Indians who have been hit hardest by this pandemic, US Ambassador to India Kenneth I Juster said.
Highlighting the need to provide financial assistance to the people affected by the disruption caused by COVID-19, Juster said the global pandemic has severely affected those who are vulnerable and less fortunate, thereby increasing the economic challenges these groups face.
USAID funds will support the Revive alliance, founded by the Samhita-Collective Good Foundation and co-funded by the Michael and Susan Dell Foundation, Omidyar Network India, and the Ford Foundation, to address challenges caused by unemployment and income gaps faced by workers in the informal economy, the US embassy said in a statement.
Revive will launch a USD 6.85 million blended finance facility in its first phase to provide accessible and affordable capital in the form of returnable grants or loans to self-employed workers and at-risk nano and micro enterprises to either sustain their work or find alternative business opportunities, it said.
The facility is expected to reach between 60,000-100,000 workers and enterprises and will give preference to youth and women. Revive will also undertake upskilling activities for laid-off youth and informal labourers, the statement said.
Samhita-Collective Good Foundation will initiate shared-value partnerships with a range of stakeholders, including business chambers, non-banking financial companies, private enterprises, and others. USAID support will further deepen Revive’s work by augmenting its secretariat strengthening strategic partnerships and offering technical assistance to partners, it added.