Omidyar Network India, an investment firm focused on social impact, today launched its ReSolve Initiative to invest in building solutions for two long standing themes – MSMEs and migrant workers. With the effects of Covid-19 likely to last for at least another 12 to 24 months, the initiative will look to entrepreneurs, thought leaders and policy makers to come together to reframe and resolve the issues plaguing these areas. The initiative is a response to the new challenges the pandemic and the consequent economic impact has created for Omidyar Network India’s focus segment, the “Next Half Billion” (NHB) – those in the lower 60% of India’s income distribution.
The ReSolve initiative comes on the back of the firm’s recently concluded Rapid Response Funding initiative which deployed Rs 10.75 crores to 67 proposals from across the country. While the rapid response initiative was meant to provide short term relief, the ReSolve initiative will focus on a 12-18-month time horizon.
With 110 million Indians helping run micro and small businesses, and the size of India’s migrant worker population estimated to be between 80 to 130 million, both segments have faced devastating setbacks due to the pandemic.
Hence, under the Initiative, Omidyar Network India will seek to create a portfolio of “lighthouse investments”-selectively seeding new solutions or institutions and supporting investments with large demonstration effects. The preferred range of funding will be between Rs 3.75 crore ($500,000) to Rs 15 crore ($2 million) per project; larger amounts can also be considered.
The type of investments include:
Underlining the need for this initiative, Roopa Kudva, Managing Director, Omidyar Network India said – “Both MSME and migrant worker issues are longstanding national priorities with a large unfinished agenda. The biggest impact of both is on our focus segment – the Next Half Billion – so we are keen to support new long term solutions. ReSolve signifies our focus on reimagining and re-solving some of the challenges in both sectors, as well as India’s resolve to build long term resilience as we come out of this crisis“
An indicative list of focus areas for each theme under the ReSolve Initiative are:
Migrant workers theme:
Under this initiative Omidyar Network India is keen to work in partnership with other funders and support coalitions that work on solutions.