People’s own aspirations, decisions and actions are the driving force behind sustainable improvements in their lives and livelihoods. Inequitable power relations exclude poor people from decision-making and prevent them from taking action. The Poverty Reduction Guidelines (OECD, 2001) elaborate a concept of poverty that is multidimensional and sees the lack of power as much a manifestation of poverty as low incomes, illiteracy and poor health. Empowerment of those living in poverty is, therefore, both a target and a critical driver of poverty reduction.

Inequity and power imbalances, adverse employment conditions and the lack of economic opportunities or control over assets are all manifestations of peoples’ disempowerment and contribute to their poverty. The empowerment of poor people secures their rights and drives pro-poor growth. However, empowerment must happen through people’s own actions and is enabled by a supportive environment which donors can help strengthen. Empowerment takes time, sustained engagement and the ability to balance short-term results with long term impacts. Aid instruments should be designed to facilitate empowerment and encourage its multi-dimensional effects. Within their projects and programmes, donors must deal with inequitable power relations and be aware of their own role within such relations. The Policy Guidance Note “Empowerment for pro-poor growth” which opens this collection of ten Good Practice Notes, considers the causal relationship between empowerment and pro-poor growth: how inequity and power imbalances lead to both market failures and political, social and legal inequities that prevent poor people from investing in raising their productivity and production to increase their incomes and increasing their own voice within their own society and community.

Inequity and power imbalances, adverse employment conditions and the lack of economic opportunities or control over assets are all manifestations of peoples’ disempowerment and contribute to their poverty. This Policy Guidance Note considers the causal relationship between empowerment and pro-poor growth. It identifies eight domains of empowerment within three spheres: the economic (markets, decent employment and productive assets); the political (political representation and collective action); and the social (human capabilities, critical awareness and inclusion) and describes what donors can do to support and strengthen empowerment in those domains. Suggestions for how donors should work for optimal effect include key messages for development co-operation.