Innovative instruments for humanitarian financing

Traditionally, the provision of humanitarian assistance has relied on grant mechanisms, i.e., a transfer made in cash, goods or services for which no repayment is required. However, in an age where humanitarian needs and funding requirements are increasing due to crises that are crossing the billion-dollar mark, humanitarians need to get creative about funding, using loans, grants, bonds and insurance mechanisms. This shift also requires donors to be more flexible in the way they finance responses, including giving longer-term funding. And it requires aid agencies to be as efficient and transparent as possible about how they spend their money.

Sustainable Development Goals:

Zero Hunger

Sustainable Cities and Communities

Climate Action