Pillar 2 focuses on diversifying the livelihoods of pastoralist communities to reduce their dependence on livestock and increase their resilience to economic shocks. By strengthening market systems and promoting enterprise development, PAREDI aims to improve household incomes and create economic opportunities for marginalized groups, including women and youth.

Objectives of Pillar 2:

• Promote the development of sustainable, alternative livelihoods for pastoralist communities.
• Strengthen livestock market systems to increase income for pastoralist households.
• Support the development of micro-enterprises and value chains that benefit women and youth.

Key Strategies:

1. Alternative Livelihood Development: PAREDI promotes a range of alternative livelihoods that are well-suited to the ASAL context. These include beekeeping, poultry farming, leather processing, and artisanal crafts. PAREDI provides training and technical support to pastoralist households to help them diversify their income sources while reducing pressure on rangelands.
2. Livestock Market Strengthening: Livestock remains a critical asset for pastoralist communities, and ensuring fair access to markets is key to improving incomes. PAREDI works to strengthen livestock value chains by improving access to market information, enhancing the quality of livestock products, and facilitating linkages with regional and national markets. PAREDI also advocates for the development of livestock markets in underserved areas.
3. Women and Youth Enterprise Development: Recognizing the untapped potential of women and youth in pastoralist communities, PAREDI supports the establishment of micro-enterprises that provide economic opportunities for these groups. Through training, access to microfinance, and market linkages, PAREDI helps women and youth start businesses in sectors such as handicrafts, agro-processing, and small-scale trade.
4. Improving Financial Inclusion: Many pastoralist communities have limited access to formal financial services, making it difficult for them to invest in productive activities. PAREDI works with financial institutions to develop tailored financial products for pastoralists, including savings groups, mobile banking services, and microcredit schemes. These initiatives help improve financial inclusion and enable pastoralists to access capital for business ventures.

Expected Outcomes:

• Increased household incomes and reduced poverty levels in pastoralist communities.
• Improved economic opportunities for women and youth.
• Strengthened livestock markets that provide better returns for pastoralist producers.