Retired Swedish Diplomat Jamii Bora – 300,000 borrowersNairobi, Kenya slumKupotea – new community2,000 homes one hour from slumsBasic techniques – both women and menSchools and commercial locationsLadder up but borrowers must do the climbing
FINCA Founding Father – John HatchFounder of Village Banking concept – cross guaranteesPioneer in the microcredit field – revolutionary insights:With fewer options the poor pay back promptlyHow to align working capital with borrower’s needsOne million borrowers in 61 countries / regions since 1984FINCA owns all the branches exerting greater control and sharing of ideasIn the homes or in communication with all borrowers weeklyNew services for FINCA include educational scholarships, solar energy – lightsCommunity Development is a natural evolution from successful borrowersInclusiveness is critical to becoming self sustaining community
From Poverty to a fulfilling Career Another form of Community Development comes through female role modeling. In this picture of a hair dryer it was ironical that when we came to visit this borrower she was elsewhere. Her microcredit bank manager who was with us in the barrio (slum) of Santa Dominica, Dominican Republic, provided the explanation of her absence. It turns out that the borrower had acquired this hair dryer and after developing her business and marketing skills, had become a local financial success.
She had been able through her microcredit hairdressing business to put a concrete floor in this tiny home-cum-hair salon, making it more attractive for her customers and more hygienic for her often bare footed children. As time passed and in part as a result of adding more protein to the diet of the children, they had all gone on to attend and graduate from school. More importantly once the requirements of housing, nutrition and education for her family was secured she began attending night school herself. By the time that we arrived at her home she had been to school long enough that this very evening she was presiding over the nearby unveiling of a new pharmacy - of which she was the local pharmacist.
From Poverty and low status to Community Leadership It shouldn’t be a surprise to see a person go from humble beginnings to a community leader but when it is a woman of modest means, with limited education, responsible for the children and elderly parents plus the care of the household it seems remarkable. Such was the lady borrower in a slum outside of San Jose, Costa Rica. For her our microcredit investment allowed for the purchased of a sow and the raising for sale, of piglets. An hour or so from the City we stopped at a house clinging to the side of the hill so close to the road one could step out of the vehicle and jump into the living room. It was a two room modestly equipped but well lived in home for more than a few pople. About 50 feet down the hill lay the equally precariously perched piggery. Several men were on hand and all questions were promptly answered by them, so much so that when asked we were assured that yes the lady was the borrower. Except for our amazement that this lady did most of the work of caring for the piglets and cleaning the pen the visit was satisfying but eventful.
Later that same day however this mother rose to speak as the master of ceremonies at the community centre where a gala event was taking place. She had risen above her circumstances as a mother to become a business woman and then further transformed herself into a community leader.
Such uplifting transformations should be brought to the attention of all Rotarians. It is the role of the Rotarian Action Group for Microfinance and Community Development to offer such information as it lies at the heart of community development. It has been determined that most folks know only a little about the power of microcredit. Moreover they long for the stories that can be shared about how it is making a difference in the lives of fellow human beings. RAGM , through education is bringing new practices and success opportunities to both the developed and developing world.
John Hatch is nothing if not a great visionary. He said: "...looking ahead to the year 2025, at the age of 85 I plan to take my great grandchildren to visit the "Poverty Museum" in Washington, DC, so they can understand how half the human family used to live, but found a way to lift themselves out of poverty"
Focus on Economic and Community Development
2013 RI CONVENTIONFocus on:Economic and CommunityDevelopmentModerator: PRIP Luis Giay
ResourcesRotary supportsinvestments inpeople to createmeasurable andenduringeconomicimprovement intheir lives andcommunities.
2013 RI CONVENTIONRotary’s Support of Economic and Community DevelopmentNarrow FocusBroad FocusGlobal andPackagedGrantsDistrictGrantsService ProjectsRotarian Action Group forMicrofinance andCommunity Development
2013 RI CONVENTIONEconomic and Community Development Goals:• Building the capacity of entrepreneurs, communityleaders, local organizations, and communitynetworks to support economic development inimpoverished communities;• Developing opportunities for productive work;• Reducing poverty in underserved communities;• Supporting studies for career-mindedprofessionals related to economic and communitydevelopment.
2013 RI CONVENTIONPanelists:Steve Rickard, Founding President, Rotary ActionGroup for Microfinance and CommunityDevelopment, RC Calgary West, Canada District 5360Francis Tusubira, Future Vision Trainer, DRFCChair, RC Kampala North, Uganda District 9200Jorge Aufranc, Past Regional Rotary FoundationCoordinator, RC Guatemala – LasAmericas, Guatemala, District 4250
2013 RI CONVENTIONMicrocredit &CommunityDevelopmentSteve Rickard24 June 2013
2013 RI CONVENTIONTHE PROBLEM:26,000 Children in the World Dying Daily ofHunger & Malnutrition Related Diseases.THE SOLUTION:Microcredit – it is the Single Largest Anti-PovertyTool Known to Mankind.
2013 RI CONVENTIONIngrid Munro Founder – JamiiBora Bank
2013 RI CONVENTIONThe will to improvecomes from withinYou cannotsupport acommunity todevelop unlessit has theinternal motivepower tochange….
2013 RI CONVENTIONCommunity engagement and gaining theirtrust, all of which lead to ownership, take timeand have to be worked on.Engage, gain trust
2013 RI CONVENTIONThey know what they want, reallyThe community isbest placed todefine their needs.Guide them inshaping the actionaround theneeds, but neverimpose on themwhat you think theyneed.
2013 RI CONVENTIONPoverty is a state of mind• Greatestcause ofpoverty is notlack of“things” butmindset:Poverty is astate of mind.• NkondoFocus -mindsetchange andskillsbuilding,
2013 RI CONVENTIONAddress all facets of povertyPoverty ismulti-faceted.To addressit, one mustaddress allfacets.Multiple skill resources: VTTs (Incoming and Outgoing);Local Rotarians; Salama Shield Foundation; Departmentof Food Science and Technology; NKDU
2013 RI CONVENTIONThere is no two ways about it,..The Communitymust contribute toown theproject, goingfrom in-kindcontributions tocash.
2013 RI CONVENTIONOwnership and Sustainability (1)Government hasposted anurse, withperiodic grantsfor drugs; $1User fee at theHealth Unit
2013 RI CONVENTIONOwnership and Sustainability (2)Parentscontribute$2 perstudent perterm tomaintaincomputers
2013 RI CONVENTIONOwnership and Sustainability (3)Self-help: schoolkitchen; land forthe bore hole;land for maizemill building;new mill building– all initiated andmainly funded bythe community
2013 RI CONVENTIONOwnership and Sustainability (4)Microcreditcomponent –self-managed;100%recovery overtwo cycles;Users andsavingsincreasing
2013 RI CONVENTIONOwnership and Sustainability (5)Local government hasbuilt a new classroomblock since one of theold classroom wastaken up by computersand library!
2013 RI CONVENTIONOwnership and Sustainability (6)New power lineto Nkondo -$90,000.Governmentcontributing98% of this!Constructionstarting…Asante Sana!
2013 RI CONVENTIONOwnership and Sustainability:It is not about what Rotarians havedone, but what the community does inresponseASANTE SANA!
2013 RI CONVENTIONSustainabilityIt’s the KEYfor a successful Global GrantPDG Jorge AufrancRotary Club GuatemalaSur, GuatemalaDistrict 4250
2013 RI CONVENTIONWhat is Sustainability?The capacity for maintaininglong term outcomes to servethe ongoing need of acommunity after grantfunds have been expended
2013 RI CONVENTIONVocational Training TeamCapacity building
2013 RI CONVENTIONTo be consideredEconomicCulturalSocialEnvironmentalPicture
2013 RI CONVENTIONThe key to a successful sustainable project
2013 RI CONVENTIONDevelop sustainable solutions• Community needs andstrengths• Materials and technology• Funding• Knowledge• Motivation• Monitoring andevaluation
2013 RI CONVENTIONPartnerships are essential• Rotary Corps• NGO’s• Local authorities• Community leaders• Government• BeneficiariesPicture
2013 RI CONVENTIONCreativity is essentialFoto lavamanosHands washing stationArtesanalSoapProduction
2013 RI CONVENTIONCommunity involvement is the solution forsustainability
2013 RI CONVENTIONEconomic and Community DevelopmentResources:• Area of Focus Publication;• Rotarian Action Group forMicrofinance andCommunity Development;• Economic and CommunityDevelopment PolicyStatement (global grants);• District/regional leaders;• Staff
2013 RI CONVENTIONThank youfor yourtime andservice toRotaryQuestions?