Indebtedness and its Link to Vulnerability during Dzud Episode amongst Vulnerable Households

Mongolian herding families are fully dependent on just two sources of income, both highly seasonal: from sale of cashmere (spring) and meat and animal products (summer and autumn). For the rest of the year, they survive from their savings, and often have to resort to taking loans from banks or local shops, which makes them vulnerable to natural disasters such as dzud, an extremely harsh winter which decimates herds. A study commissioned by People in Need in cooperation with ASIA-Onlus and conducted by a research team from the National University of Mongolia sheds light on the economic dynamic of herder households.