Under
the cool shade of a tree by the entrance of Hanja Chefa Primary School, 10
women gather around a table, putting final touches to preparations for an exhibition
of their Rural Savings and Credit Cooperative activities. The chairperson is calm
and ready to receive Queen Maxima and a high level UN-delegation.
The group of women are part of the 62 member -strong Hanja
Chefa RuSACCO, formed in 2012. The Chairperson of the Rural Savings and Credit
Cooperatives or RuSACCO, tells us that “our incomes increased since we started
participating in this FAO project. We were inspired and organized ourselves to
form Hanja Chefa RuSACCO.” Aiming to improve their lives the group saves their
earned income to start vegetable gardens or buy small ruminants, such as goats
and chickens.
All the women are beneficiaries of the Food and Agriculture Organization
and World Food Programme supported Purchase from Africans to Africa project,
which supports farmers in Boricha Woreda (District) to propagate Haricot bean
seeds to increase farming production. The project gives a package of seeds and
fertilizers to farmers, after they received basic training on how to propagate
quality seeds. Consequently, they are required to sell 30% of their harvest to multi-purpose
cooperative unions, which aggregate produce from members in the region to sell it
to the WFP, which then distributes food aid and supports school feeding
programmes. This develops farmers’
engagement with Cooperative Unions giving them the opportunity to pool
resources together with other farmers to exploit wider markets and gain a
better price for their produce. Farmers who receive seeds eventually make
in-kind repayment of the 25kg seed bags, developing a local seed bank for the
area.
The women voluntarily saved Birr 15,350 (USD
812) through the sale of Haricot beans. Striving
to maintain the groups’ motto “Saving for a better tomorrow” the SACCO has
deposited these savings in the National Commercial Bank and started to
distribute loans to their members. So
far fifteen of the women have used these loans to establish vegetable gardens
and buy small ruminants. Recently, the SACCO also purchased 4,300Kg of Haricot beans,
which they will sell to unions at a higher margin.
Queen Maxima and the UN High level representatives applauded
the women’s efforts to develop their incomes while viewing their display. The
delegation also had an opportunity to see how Samuel, an agent for Omo Microfinance
Institute travels with a donated motorbike to remote rural areas to sensitize
the community on the benefits of financial services.
In Ethiopia, IFAD’s support has catalyzed the financial
sector providing credit lines to Microfinance Institutions and developing the
capacity of Cooperative Unions and RuSACCOs. The Rural Financial Intermediary
Programme (RUFIP) supports Omo MFI to expand its services through a credit loan
of Birr 18 million. The MFI now reaches all Woredas within the SNNPR, with 15 branches
and 163 sub-branches. Furthermore the
project provided trainings to cooperative promotion agents within implementing
regions.
Queen
Maxima, in her capacity as the United Nations Secretary-General’s Special
Advocate for Inclusive Finance for Development, was accompanied by
senior officials from the three Rome-based UN agencies during her visit to the farmers exhibition in Boricha. Together they underlined
the role that expanding financial inclusion plays in strengthening food
security and to enhance access to
affordable financial services for the poor. Traveling with the queen on the
trip was UN World Food Programme (WFP) Executive Director Ertharin Cousin, Deputy
Director-General Maria Helena Semedo of the Food and Agricultural Organization
(FAO), and Adolfo Brizzi,
Director of Policy and Technical Advisory Division and representing the
President ofthe International Fund for Agricultural Development (IFAD).





