From informality to impact: the untapped potential of scaling urban resilience innovation in informality

This study examines approximately 130 urban resilience solutions implemented by for-profit and not-for-profit organizations in cities across the Global South, with a focus on informal contexts such as informal settlements, economies, and labor. Through a comprehensive literature review, in-depth qualitative interviews with funders and implementers, and a large-scale survey, the research aims to review the current landscape of urban resilience solutions in informal settings; identify key opportunities and challenges for scaling these solutions and provide recommendations for enabling policy and investment approaches to support the growth of the resilience solutions market for both for-profit and not-for-profit entities.

Key recommendations are as follow:

• Enhance solution maturity: promote the advancement of urban resilience solutions by for-profit and non-profit organizations from early development and testing phases to more mature stages.
• Strengthen stakeholder and funder coordination: improve coordination between stakeholders and funders. Adopt hybrid financial instruments and business models to support the development of solutions throughout their entire lifecycle.
• Achieve broader transformative outcomes: invest in urban resilience solutions in informal contexts to not only enhance climate resilience but also to promote sustainable development, improve health and well-being, achieve gender equality, increase employment opportunities, provide access to green jobs, and enhance urban biodiversity.