Livelihood Strategies of Urban Poor in Kathmandu Metropolitan City: A

Case Study of Balaju Squatter settlement

Chhabi Ram Baral

Patan Multiple campus

Introduction

• Urban poverty is a growing phenomenon in the world

• Urban poverty is that poverty in which individuals are unable to fulfill their basic requirements and not having the minimum health care facilities and other basic services

• Likewise Katmandu the capital city of Nepal has experienced a number of changes during the last two decades. During the period squatting has became one of the major issues in capital city like other capital of the third world. This has result mainly due to rapid population growth particularly migration and uncontrolled urbanization (Subedi, 1998).

• In Nepalese context, squatter settlements are locally known as 'Sukhumbasi basti' and people who live in SukhumbasiBasti are called Sukhumbasi. The term Sukumbasi indicates the person of household who lacks land, home, employment and other reliable income generating resources

Research questions

Who are the squatters?

• Where are they from?

• What sort of socio-economic background do they have?

• Why did they leave their origin place?

• What strategies have they adopted to earn livelihood?

• What are their risks and how do they avoid them?

• What are the main causes of people becoming squatters?

Objectives of the study

• to find out the socio-economic characteristics of the squatters.

• to assess the livelihood assets of the squatters.

• to analyze the vulnerability and coping strategies of the squatters

• to suggest appropriate urban poverty reduction programs and policies.

Significance of the study

• it attempts to present the existing situation of squatters of the study area

• it depicts to present socio-economic status of the squatter people, the causes of becoming squatters, origin of squatters, health and sanitation condition livelihood assets and vulnerability

• It will also help to the policy maker and planner and also helpful for the development worker for further study in this theme.

Limitations of the study

• this study does not cover all of the poor people of KMC

• this study do not give more priorities to the rural poverty analysis

• finding of this study may not be representing other urban areas of the country

• Limited Time and limited funding also

Literature review

• Theoretical review and empirical review • Theoretical review- sustainable livelihood approaches• Empirical review studies reviewed here deals with the

land, poverty, education, skill, migration, occupation and so on in rural and urban areas. These are the contributing factors for the diversification of livelihoods

• Through the review of books and articles related to the objectives of this research, the itinerary during research is properly guided and these studies were received for betterment of the analytical capacity of researcher. And livelihood approach provides angle of view to understand people’s livelihood strategy and it offers the framework for analysis.

Research methodology• This study is mainly based on primary data. However, secondary data are also

utilized in this study. Primary data were collected from the field survey applyingvarious techniques which are described later. Secondary data were collected fromvarious published and unpublished documents. Basically, qualitative informationcollected from various sources. Various tools such as key informant interview,observation, household survey, and focus group discussion were also conducted inthe study area. Primarily both qualitative and quantitative information werecollected through interview and discussion with squatters.

• Structured questionnaire were used for the household survey. The main purposeof the household survey was to obtain information about socio-economic statusand demographic characteristics of the squatters. Among 118 household of thesquatter settlement 52 household were taken for the survey. Households havebeen selected as a stratified method to represent the entire households ofdifferent caste/ethnic groups. Then purposive method was used considering theheterogeneous character. Mostly household heads were selected as respondentwhen the household head was absent; the senior member of household wasselected as a respondent. (305 males and 286 females=591)

• The information gathered from diverse sources and methods were subsequentlyedited, processed and analyzed. As data are both qualitative and quantitative innature, separate methods and techniques were applied to analyze data so thosemeaningful conclusions are reached.

Rationale of the selection of study area

*It is impossible to select a large area for primary data collection as it needs much time and money.

*This settlement is in proximity to city centre.

*This settlement is more vulnerable than other settlements because there is no land for further expansion. It lies quite near the bank of Vishnumati River.

*The people and their habitation have been affected to the socio-economic, environmental and political sector.

Push factorsCauses of becoming

squater

Affected Household Percent

Famine 24 46.2

Loss of Property 6 11.5

Lack of Physical Facilities 6 11.5

Unemployment 5 9.6

Family Conflict 5 9.6

Natural Calimaties 2 3.9

Lack of Relative 2 3.9

Others: (political conflict,

difficult to work)

2 3.9

Total 52 100.0

Pull factor Main Reason for Coming

to Balaju

No. of Household Percent

Availability of work 23 44.2

Nearness to the market 12 23.1

Availability of public land 7 13.5

Familiar with the settlement 4 7.7

Difficult to pay room rent 3 5.8

For physical facility 2 3.8

Not response 1 1.9

Total 52 100.0

Livelihood assets –human capital-skill, education ,health

Main

occupation

Male Female Total

No. % No. % No. %

Unskilled

labour

17 11.6 14 9.5 31 21.1

Service 13 8.8 7 4.8 20 13.6

Wool spinning - - 8 5.4 8 5.4

Livestock

Farming

12 8.2 7 4.8 19 12.9

Driving 13 8.8 - - 13 8.8

Tailoring 1 0.7 7 4.8 8 5.4

Mason 6 4.1 - - 6 4.1

Small Business

(Grocery Shop)

9 6.1 11 7.5 20 13.6

Foreign Labour 11 7.5 1 0.7 12 8.2

Black smith 3 2.0 - - 3 2.0

Butcher 2 1.4 1 0.7 3 2.0

Painting 2 1.4 - - 2 1.4

Contracter 2 1.4 - - 2 1.4

Total 91 62 56 38 147 100

Natural capital –land and common property, access

to natural resources(water forest grazing)

Landholding Size No. of Households Percentage

1-2 (Anna) 24 46.2

3-4 (Anna) 25 48.1

5 and above 3 5.8

Total 52 100

Financial capital-Income (NRs.)monthly No. of H.H. Percent

4000 or less 7 13.5

4001-8000 23 44.2

8001-12000 16 30.8

12001-16000 3 5.8

16001-20000 1 1.9

20000 and above 2 3.9

Total 52 100.0

Expenditure (NRs.) No. of H.Hs Percent

4000 or less 12 23.7

4001-8000 30 57.7

8001-12000 7 13.5

12001-16000 2 3.9

16000 and above 1 1.9

Total 52 100.0

Physical capital• all surveyed households have found their own house in the

study area.

• Personal house but 75 percent built toilet

• 53.8 percent households throw their garbage into the river

• 71.15 percent of the dwelling units have electrical connection however twenty five percent supply the electricity for their neighbors who have their electricity supply.

• 90 Ninety percent households have the means of entertainment like T.V. Radio

• 3 public taps provided by the water supply corporation for the settlement

Social capital• It was found that there are two social organizations in Balaju.

One is settlement improvement committee (Tole SudarSamiti) which is associated with Nepal Abaybastit BastiSanrachhan Samaj (Society for Unsystematic settlementConservation).

• Besides this, other organization and associations were alsofound in the study area and can be considered as their socialcapital. They are youth club, child care centre, and womenassociation. Youth boys and girls are associated with club.Youth club helps the people to give a variety of knowledge tothe squatter people. Some saving groups of women areinvolved in this group and they have started saving and creditprogram. Lumanti helps to function and run programme ofthe saving groups.

• Squatter people of Balaju are also involved in different socialworks such as demonstration of the right of squatters. Butsocial interaction is weakly developed in the study area.

Vulnerability and coping strategies • The risks of unemployment, loss of income and indebtedness-

depends to a great extent on working children. At that time from a young age onwards, boys were sent out in the street to realize meager incomes, for instance by working as servants in shops or through pottering. Taking loan from saving and credit

• The risk of food insecurity- common coping strategy is the tendency

to skip one meal a day, establishing friendly relations with shopkeepers and receiving support from them

• The risk of deteriorating health- obtaining loans for treatment,

reducing the labour force to provide constant care for household members in need and trying to mobilise social relations for support are certainly the most important coping strategies.

• The risk of social disintegration- other NGOs and GOs are working

for the establishment of their social interaction through different local institutions, i.e. youth network, women network

Program and policies for urban poverty reduction (programs)

• Kathmandu Valley Physical Development Concept (1984)- it focus(1) to improve the municipal services and facilities and to develop areas in a more integrated way by providing them these facilities, and (2) to improve physical environment through the provision of necessary develop land use.

• Training in Area Upgrading and Slum Rehabilitation in Kathmandu (TASK) (1989)-TASK project were develop training manuals and training programme, implemented of the appropriate plans to meet needs of urban poor, demonstration of the urban upgrading programme.

• Kathmandu Valley Urban Development Plans and Programmes (1990)-HMG/Nepal and ADB jointly under took this study. This study delivered various strategies plans and operational strategies regarding to the land use, environment, infrastructure and institutional development. The study does not have prioritisedurban poverty and squatter issues.

• Kathmandu Valley Urban Development Policy Study (1990) -HMG/Nepal, UNDP, World Bank and USAID jointly undertook this project, which delivered a national level urban development strategies and policies. Many strategies and guidelines are recommended for the Kathmandu valley without sound strategies for urban poverty reduction and the squatter settlements.

Policies • Government policies-Poverty reduction is a prime objective of the

each fifth year plans of Nepal. Even it was only one objective of the Ninth Fifth Year Plans (1997-2002). Nevertheless, the level of poverty remained almost same. Tenth plan (2002-2007) has committed to reduce poverty particularly in the urban area. The plan commits to reduce urban poverty through the development of infrastructures and housing facilities.

• KMC’s policies-Both Mayor and CDS have ambitious vision for Kathmandu. City Development Strategies (CDS) has clear goal to develop clear policy on squatter settlement. It is positive step in the sense that the urban poverty and squatter settlements is perceived as an emerging core issue in the metropolitan development committed to the provision of granting tenure security and temporary security to stay for squatter before finding other alternatives

• Major organizations involved in the urban development and the squatter settlement in KMC-------------------------contd

Institutions/

organizations

Nature of participation Implication to squatter

settlement

Central Government

National Planning Commission

(NPC)

National level policy

formulation

10th plan (2002-2007) felt the

need of policies and strategies

for the improvement of the

squatter settlements

Ministry of Local Development

(MLD)

Monitoring and evaluation of

the governance issue through

Local Self-Governance Act

1999.

Housing and Urban Department

to look urban through

management, environment and

urban divisions

No specific objectives and has

direct linked and the

implication

Ministry of Physical Planning

and Work (MPPW)

Set up Urban Development

Committee and Town

Development Committee

Involved preparation and

implementation of the National

plan of action for Habitat II in

1996

No specific objectives and has

direct linked and the

implication

Donor Support

ADB Formulation urban policies

Involvement in the urban

infrastructure development

No specific and has direct linked

UDLE/GTZ Urban Planning (integrated action

planning)

Financial Management

Urban Hygiene and Environmental

Action Programmes

Municipal Organization

Development and Administration

Financial assistant for the

improvement slum community in

Lonhla (Patan) via Lumanti

UNDP Institutional Strengthening

Public-private partnerships

Rural-urban partnerships

Mostly out of Kathmandu

No impact to the squatter in KMC

Local Government

KMC CDS

KVMP

Felt the need of action and priority issue

No policies and working mechanism

Implementation?? (Uncertain)

NGOs

Lumanti Improve quality of life of the urban

poor

Secures shelter for the urban poor

Solidarity of urban poor

Participation in the slum/squatter

upgrading/improving programme in

KMC, Lalitpur and Thimi of

Kathmandu valley

Overall assessments of the participation of the different stakeholders and their interests and capacities

Stakeholders Interests/strategies Capacities

KMC Increase supply of affordable housing

plots meeting the demand of various

income group including low income

group

Control and prevention of new squatter

and management

Preparation for clear-cut squatter policy

Vision of KMC

Political will

Poor finance

Lumanti

(NGO)

Improve the living environment of the

squatter and the slum communities

Coordination and advocate role

Weak resource base

Local Communities Improvement of the neighbourhood

environment

Preservation of the historical monuments

and the signatures at the river side

Improve the infrastructure

Increase security

Cooperation and coordination

Participation and suggestion

Central Government Develop urban development policies

within where squatter issues should be

addressed

Financial help,

Framework provide

Donor agencies Delivered the quality urban development

policy

Direct involvement

Politician Vote bank

Improve environment

Political support

Squatter Equity

Tenure security

Access to services and facilities

Participation

Provide cheap labour force

Conclusions • Squatter settlement of Balaju was established before 1981. But it is one of the

unmanaged and unimproved settlements regarding the physical condition. It is in a veryvulnerable condition and has high risk of flooding and erosion

• the housing condition is poor. Their houses are made of the raw bricks and old zinkplates. Houses and lives are vulnerable even from wind, rain storms and fire because itcan damage everything in the settlement. They feel less secured since they are at timesthreatened by municipality.

• This settlement is not well managed. It is absolutely lacks different infrastructure andsocial services. For example, if lacks drinking water, public health, facilities and security.It is because people have low income and hand mouth problem.

• people constructed a toilet at the corner of the room. Some of them use riverside whilea few have constructed toilets in the open riverbank. Regarding the state of socialservices and facilities, health and sanitation, drain management, electricity, education,these squatters have been suffering from adverse effects.

• Due to poor economic condition neither people have strong and wide social networkingnor are they confident of being organized, nor have they attachment with other place inBalaju

• This settlement is composed of different caste/ethnic groups such as Chhetri,Mongoloid, Newars and Dalits (Damai, Kami). However, people of Mongolion origin are

dominant ethnic group of this settlements contd……

• The social network was important for them to come to the settlement 57.7 percent knew about Balaju from their friends. 34.7 percent knew from other sources such as relatives, local leaders, and middlemen.

• Lumanti helps them to do small business. Those having skills find it rather easy to earn their living. Tailoring, driving and painting are examples. They would have problem during off-season. Some have relatively stable earning sources. They include those running small scale business like tea stall, poultry farm, pig rising.

• The bank of Vishnumati river has open drain and polluted air worsens the health and sanitation situation. This also causes spread of bad smell beyond the settlement. Worst of all are the roaming ducks and swine in those open drains which has seriously affected the sanitation and public health situation of the settlement.

Recommendation • Seminars and workshops: Both central government and KMC’s role

towards urban poor and squatter issue found passive. Therefore, central government should conduct seminars and workshops in national level and KMC should organize such activities in the community level for raise consciousness.

• Collaboration is must for resolving problem. Therefore, Kathmandu Metropolitan City should encourage to the University for conducting occasional research regarding to the housing affordability and their income level, causes and possible consequences of squatting population in future. KMC will know the extent of the issue, effectiveness of the squatter policies and programmes, possible causes and consequences etc from these studies.

• First, KMC should define urban poor, squatter, slum and vulnerability groups in the Kathmandu.

• At present, KMC has not clear squatter policy. CDS is an initial broad strategic framework. Therefore, it is recommended that Kathmandu Metropolitan City should develop clear urban poverty reduction policies.

• Formulation of a Task Force: A task force has been strongly recommended in order to identify problem, need and priorities. The task force has to the draft policies and programmes. With the certain method from KMC, local NGOs, CBOs, donor agencies, university and expert of the concern area.

• The final policy will be defined after the consultation with other institutions andstakeholders for example, the university, NGOs, CBOs, donor agencies and the localcommunity [particularly squatter] as well. Such policies should encourage to thelocal NGOs CBOs to work with poor squatter communities.

• Institutional set-up: Squatter issue is increasing rapidly in Kathmandu. But KMCdoes not have a responsible department[s] to see the issue. Therefore, it isrecommended that the KMC should have a separate department to see problem.Such department will keep an up to date data and records of the squattingpopulation, performance evaluation of the policy and programmes, further needand priority assessment.

• Integrated Development Framework: An Integrated Development Framework hasalso been recommended in this study. The framework must address to the threeissues, for example, land, housing and infrastructure development. The frameworkshould also covers to the income generation activities, saving and credit schemes,training and encourage to the micro and small enterprises development, low costhousing and improve housing condition through encourage to the self-help groupsand cooperation, and access to the credit.

• Revolving fund should be established through the cooperation of the centralgovernment, KMC, donor agencies and the community as well. Such fund will usefor income generation activities of the squatters and loan for housing

Lastly It should be kept in mind that it may bepossible that all the benefits of differentdevelopment programs are enjoyed by thosewho are actually not a squatter i.e. who is notlandless. Therefore, the positive steps shouldbe taken in the welfare of the real squattersand land should be conferred to those whoare really a landless and homeless.

Thank you