One of the four common projects that Fr. Tomaž Mavrič has encouraged members of the Vincentian Family to participate in during this 400th Anniversary year is a project to end homelessness throughout the world, which includes caring for refugees, migrants, street people, displaced person, etc.
In a blog post from May 2016, Gloria M. Grandolini (with co-author, Ede Ijjasz-Vasquez) shares “3 reasons why ‘Housing for All’ can happen by 2030:
Three billion people will need new housing by 2030. Can we achieve this goal? Here are three reasons why we can.
1. The annual investment to new housing needed represents just 0.7% of global GDP
We will need 300 million new homes by 2030, or roughly 21 million new homes per year, according to UN Population’s data.
Building a new decent home with durable materials and necessary utility connections and services costs about US$25,000, which translates into US$525 billion per year.
A more concrete way to understand the scale of this investment is in terms of the GDP.
Global GDP was just over US$73 trillion in 2015, according to the IMF. This means that the world, as a whole, would need to invest annually around 0.7% of the GDP for house construction to meet the housing goal.
2. Falling poverty and rising incomes make housing more affordable
Poverty levels are a quarter of what they were in 1990 and account for 9.6% of the global population living below the poverty line.
Today, a household income of $10 a day could translate into a possible loan of as much as $15,000 (assuming 2 earners, 15 year loan at 5% with 40% of income used to service loan), which is certainly sufficient to construct a decent house. Where fiscal capacity allows, this could be supplemented with land allocations or targeted smart subsidies for the neediest, combined with solid financial inclusion programs.
3. India has set a 2022 Housing for All goal
India faces one of the toughest housing challenges, but is taking an uncompromising ambitious approach. The country set its own goal of achieving Housing for All by 2022.
The India Low Income Housing Finance project is challenging lenders to innovate. The World Bank Group is working with the government and the National Housing Bank to extend access to loans to people working in the informal sector, or those who don’t possess a formal property title but still have some form of property rights which can be used as collateral. Lenders are using new technology to better serve borrowers and developers are looking at new construction models to bring down costs. But ultimately, it’s the prospect of being able to serve a huge untapped market that is driving the private sector to innovate.
What works in India has tremendous potential to be effective in Bangladesh, Indonesia, Philippines and many countries in Africa where reconciling informal incomes with formal lending is still a struggle.
If the goal is possible, the question is how?
Having an efficient and inclusive financial system, a stable macro economy, access to long-term funding and strong land rights are all prerequisites to creating proper conditions for housing finance.
However, housing and infrastructure construction also requires a vast, long-term investment that governments can’t shoulder alone.
In addition to investing in construction, building materials and private housing development, the World Bank Group is helping countries address housing challenges by improving city planning, building regulations and access to land, investing in pro-poor infrastructure and slum upgrading, and strengthening residential rental markets.
The 7th Global Housing Finance conference, which got underway today, focuses on finding solutions to make housing more affordable, including mobilizing private sector financing to meet the housing needs.
While the global housing needs may be daunting, the #Housing4All goal is reachable if we work together and innovate.
Mark McGreevy, OBE, currently serves as Group Chief Executive at Depaul International, and is the founder of the Institute for Global Homelessness. He directs the Vincentian Family 400th Anniversary Homelessness Initiative. Read an interview with Mark and his work at Depaul International by clicking here
- Are you currently doing anything in your branch of the Vincentian Family to end homelessness?
- Does your branch of our family have anything planned going forward?
Source: The World Bank Website
Originally published at famvin.org.
Mark McGreevy, OBE, currently serves as Group Chief Executive at Depaul International, and is the founder of the Institute for Global Homelessness. He directs the Vincentian Family 400th Anniversary Homelessness Initiative.
An interview with Mark
How did you end up starting Depaul and what was your background before?
I started out as a teacher with a degree in theology at Westminster Choir School. At the same time I started to volunteer at The Passage, a homelessness service in Victoria , where I helped with serving food and clearing up afterwards. The whole experience made me realise I was perhaps more suited to working with homeless people rather than children and in 1988 I started as a project worker at a hostel run by the Cardinal Hume Centre. I stayed in this role for nearly 2 years until 1989, when Cardinal Hume created the Depaul Trust. I was asked to be part of the initial team to help set up the organisation.
What have been the biggest changes you’ve seen across the organisation over the past 25 years?
Back in 1990 homelessness charities were very different – they were largely run by volunteers. Volunteers were a mixed and eclectic group. Some came from religious orders, others were people who’d left business . There were no homelessness professionals as such, originally people came from lots of other different backgrounds. There was a real sense of mission as we began to work together, almost as a movement to improve the lot of the homeless. There has been a gradual professionalisation of the sector since its early days. Depaul has developed from being a London-based charity to being UK-wide and international. We continue to uphold the vision of St Vincent de Paul who, four hundred years ago, set out to help “the poorest of the poor”.
What has been your most memorable moment at Depaul?
The most memorable moment was in 1990 when Princess Diana came to open our first project. A lot of hard work went into turning an old convent building in Willesden into a hostel for young people in just 6 weeks. 25 young homeless people arrived and Princess Diana opened it with the paparazzi and TV crews attending from all over the world. It was a special occasion and the hostel, still open today, has accommodated hundreds of young people in need over the years.
What has been the most important professional achievement at Depaul?
Innovation – how we have looked at new ways to tackle old problems. Nightstop, a Depaul UK project, is an incredibly innovative way to help young people in need without institutionalising them. It offers them the chance to stay with a family when they have nowhere to go. We’ve changed the attitude of the sector and the government towards working with homeless people.
In Ireland, we challenged established perceptions and thinking by providing wet-shelters for dependent alcohol and drug users. Accepting the homeless with their addictions was ground-breaking when Depaul pioneered the first projects. It is now the accepted way of doing things.
What remain some of the biggest challenges for Depaul’s work?
Homelessness is growing globally. Across the world 1.3 billion people are living on the street or in unsuitable accommodation; 100 million have no accommodation at all. Urbanisation is increasing, 3.6 billion people live in cities and it’s estimated that by 2050 this will increase to 6.3 billion. Our challenge is in how we influence policy makers to deal with what will be a rise in homelessness globally. The next few decades will see the urbanisation of China, Latin America and Africa. Our challenge is in how we can share best practice globally.
To meet the problem of growing global homelessness head-on, Depaul in collaboration with DePaul University Chicago has set up the Institute of Global Homelessness. This resource brings together leading academics and is the first project of its kind to aim to develop a methodology to count global homelessness and provide a definition of homelessness.
Where do you think or hope Depaul will be in 25 years time?
I would like Depaul to be leading the debate on homelessness and for us to expand our services into other regions. We will continue to provide quality services that are responsive to needs on the ground.
After 25 years what keeps you motivated every day?
I’m lucky in that I get to travel around the world to see our projects on the ground but I see the real needs of individuals who have nothing, whose lives are in crisis and chaos and it brings it home how much we still need to achieve and change, for people who are homeless. I have just come back from Ukraine where there are an estimated 1 million internally displaced people because of the civil war. In Odessa we use a bus as a space where the homeless can come and get food and medical care. What is great is how staff give hope to people who have lost everything.
Mark on TED