Rebuilding project-affected livelihoods using the Graduation Approach

• The Graduation Approach is a strategy for alleviating extreme poverty. • The Graduation Approach has potential to restore livelihoods affected by projects. • By using the Graduation approach, projects will align with international standards. • It uses household-tailored support, coaching, and focuses on vulnerable populations. • Four pillars: social protection; livelihoods; financial inclusion; empowerment. We consider the potential of the Graduation Approach to restore livelihoods affected by project-induced displacement and resettlement in an extractive industries context. The Graduation Approach, developed by the Bangladesh Rural Advancement Committee (BRAC), is a strategy for alleviating poverty. A household ‘graduates’ from one level of intervention to the next after reaching goals for: social protection; livelihoods promotion; financial inclusion; and social empowerment. Key features of the Graduation Approach include: tailored support; coaching; and a focus on vulnerable populations. We adapted the Graduation Approach so that it can address the complexities associated with livelihood restoration in the context of project land acquisition and is consistent with a human rights based approach and international standards. Our adaptation of the Graduation Approach is a major contribution to good social performance practice, especially in relation to managing the impacts on vulnerable people from the physical displacement and economic displacement from project land acquisition. Reflecting on social performance practice, literature review and interviews with leading practitioners experienced in applying the Graduation Approach, we outline an implementable process that social practitioners and policymakers could use to improve the effectiveness of livelihood restoration efforts in extractive and other projects that displace people. We outline our modified approach according to the typical five phases of livelihood impact management in a project setting: Project Conceptual Design; Planning for Livelihoods Re-establishment; Preparation for Implementation; Implementation; and Close-Out. We suggest that using our modified Graduation Approach will reduce the harm from project-induced displacement and resettlement.