Start Financing Facility
The future financial infrastructure for the Start Network
About
The Start Financing Facility will be the financial infrastructure for the network, able to deploy donor money at scale, in timely, predictable and efficient ways to frontline NGOs around the world. The long-term goal is for the SFF to incorporate existing Start Network funding mechanisms as well as new instruments, to provide a continuum of funding that will enable our members to better protect communities at risk.
The need for the facility arose from the Start Evolves process which outlined a future vision for the Start Network as a disbursed structure of interconnected national and regional hubs. The Start Financing Facility will support the creation of locally appropriate, innovative disaster risk finance instruments by these hubs, whilst connecting these into a wider structure that allows for risk-sharing arrangements and efficiencies through financial strategies (such as risk pooling, risk layering and liquidity mechanisms).
Where are we now
Current Start Network funding portfolio
Migration Emergency Response Fund
The Start Network’s Migration Emergency Response Fund (MERF) allows organisations to provide a rapid response to changes in needs along the migration route.
Start Fund
The Start Fund provides rapid financing to underfunded small to medium scale crises, spikes in chronic humanitarian crises, and to act in anticipation of impending crises, filling a critical gap in humanitarian financing.
Start Fund Bangladesh
The Start Fund Bangladesh is a £10 million rapid emergency response fund created by the Start Network in 2017 with support from UK aid from the British people.
Start Fund Anticipation
Start Fund Anticipation enables NGOs to prepare when they see a crisis coming and respond early to mitigate the predicted impacts. It is the first NGO funding mechanism to be available for anticipatory interventions.
FORECAST BASED FINANCING: MADAGASCAR
Allowing Start Network members to model and predict drought, access funding, and act early in Madagascar.
ARC Replica Programme
African Risk Capacity (ARC) is an organisation mandated by the African Union to help African Union Member States proactively manage natural disaster risk.
THE DROUGHT FINANCING FACILITY
The Drought Financing Facility is envisaged as a network of national facilities that will support frontline responders to access early, predictable funds to deliver activities to protect vulnerable communities at risk.
Where are we going
The Start Financing Facility will:
- Offer a single process for donors to fund a range of national or thematic Start Network funds/financing
- Channel funding as directly as possible to frontline humanitarian responders, in line with our localisation targets
- Provide a continuum of funding for different kinds of crises; to respond to risk of different severity and likelihood
- Make the best use of efficiencies offered by scale and geographic diversity, for example by pooling risks across different contexts
- Enable the emergence of locally appropriate financial instruments by NGOs by providing the facility/framework within which instruments can be piloted and taken to scale
- Ensure allocation of funding based on needs, in line with humanitarian principles
Tell us what you think
The Start Financing Facility design will be a bottom-up process, combining perspectives of the users of the facility (including NGOs and donors), with global technical expertise, including from the World Bank. This will not only ensure appropriate deployment of the right technical expertise but also secure buy-in from the key stakeholders of the SFF, helping to increase the chances of success of the design.
As the first stage of this consultation, we would like to invite you/your organisation to be part of this process by filling out the following survey https://startnetwork.typeform.com/to/UasGJw
News