Favelas are illegally-built settlements, constructed from discarded materials (e.g. concrete blocks, corrugated metal) on steep hillsides or the outskirts of cities and have 22% of Rio de Janeiro's population
The Favela Bairro Project was a site and service scheme which gave residents land to build on whilst upgrading local infrastructure from 1995 to 2008 across 73 favelas
Successes
Favela property values have increased by 80% to 120%
Local incomes have increased by15%
Number of local businesses has doubled
Failures
Residents still lack skills so improving homes and services has been slow
Cable cars across favelas closed in 2017
Budget of £1 billion did not cover all favelas
Rents increased which forced locals out of the area
The project was small-scale so challenges still exist elsewhere