Présentation sem- english

8/9/2019 Prsentation sem- english

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A Microfinance Organization for the EconomicDevelopment of Ecovillages: Stakes and

Perspectives


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GENERALITES ABOUT

MICROFINANCE IN SENEGAL


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DefinitionofMicrofinance

Microfinance is defined by the offer of financial

services (savings, credit and insurance) to the

poorest population. It addresses those peoplewith vulnerable incomes, they neither have

access to traditional financial institutions nor a

regular salary.


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History Women have long been considered in many African customs, Senegalese customs included, to

be inferior to men. In the these traditions the man should be put in front of women and the

womans place should be in the home. In modern society, the African woman has finally put

herself in all spheres of life including decision making. She still has obligations to her parents,

and her spouse; his opinion has almost never been challenged. She is not consulted before

major decisions about the family including ones that affect her occur. Her role is primarily is to notonly to be in the home but also to raise the children: for women if not for the children they have

received little attention.

From the beginning, African women organized themselves into community associations (groups),

that allowed them to consolidate small sums of money (TONTINES) in order to finance family

ceremonies (baptisms, marriages, deaths and other religious events) or to finance community

activities.

Although still burdened by tradition, Senegalese women today seem to be gradually emergingfrom stereotypes that have long defined their characters. Senegal is one of the African countries

where women have progressed to the political and economic forefront. Senegalese womens

associations have flourished, Such advanced progress has inspired a national fund for the

promotion of womens entrepreneurship. FNPEF


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EvolutionofMicrofinancein

Senegal The sectors evolution has made particular progress over the 20 years from 1993 2003 :

During this time the number of microcredit institutions multiplied from 6 to 620 by the end of

2003;

The number services offering (starting investments, existing agencies and offices) has

passed from 1136 to 2597 ; The number of clients or members served by these institutions went from less than 313,000 in

1993 to more than 4 millions in December 2003 ;

The deposits collected rose from 12.8 billion FCFA in 1994 to 204.7 billion FCFA at the end of

2003

Loans granted have been multiplied by 10 during this period going from 19.4 billion to 200

billion FCFA

Around 8% of loans during this period have not been paid by Dec 31 2003

Data: Decentralized Financial System of the Central and West African Banks (DSFD/BCEAO)


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Data about the Sector

The IMF affects more than a quarter of Senegalese families. The number of clients using SFD (Decentralized

Financial System, essentially microcredit) have been estimated at 510 833 in December 2003 (Source AT/CPEC)

The Microfinance contributes to those wrestling with poverty and basic employment: in 2000alone people working for SFD institutions grew to 1365 from 793.Total numbers in 2004

The volume of credit was around 57,8 million FCFA ;Outstanding loans were around 37.2 million FCFA for the 7 established networksOutstanding deposits were 42,1 billion FCFA ;Oustanding debts were around 1 billion FCFA for the 7 networks.Source : Ministry of PME, which handles womens entrenerpeurship nd microfinance and a report in the policitialsection called Strategy and Plan of Action 2005-2010, published in December 2004The seven prominent networks of Microcredit are as follows :

Alliance of Credit and Savings for Production (ACEP) ;Mutual Credit of Senegal (CMS) ;

Union of Mutual Partnership for the Mobilization of Savings and Credit in Senegal ;Network of Womens Credit and Savings in Dakar (RECEC / FD) ;Network of Mutual Savings and Credit UNACOIS (REMECU)Mutual Credit and Savings Union (UMEC) ;Union of Mutual Savings and Credit UNACOIS (UMECU) .


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PresentationofSEM FUND


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SEM orSngal Ecovillage Microfinance Fund, is a non-profit organization and an NGO. The mission ofSEM isto fight against poverty inSenegalesevillages which aremembers of theexistingecovillagenetwork.

SEM has technical expertise, collects funds andhasestablished relationships with other NGOs andgroupsof individuals to help get necessary funds to the targetvillages.

SEM is implemented by volunteers anddonors in the

states and a small team inSenegal which is chargedwith carrying out their programs.


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HistoryofSEM

2004 : Pilot credit program implemented in

the village of Louly Ngogom (Thies

region)2005: Test grew to Carabane (Ziguinchor)

2006 Present: Goal to create diverse

activities for community organizations inmember villages within GENSEN


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ObjectivesofSEM

Facilitate access to credit a reasonable rates in both urban and rural

areas

Support the creation of new micro-enterprises in Senegalese

Ecovillages


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Goals To reach groups of women and men who havent had

access to traditional credit institutions The following chart shows the number of lenders and component numbers of male and female lenders with

percentages.

.Bnficiaires Femmes % Hommes %

2004 15 0 0% 15 100%

2005 53 33 62% 20 38%

2006 555 459 83% 96 17%

2007 1627 1349 83% 278 17%


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Les produitsetservices

Octroi de crdits avec un taux dintrt annuel de 10%.

Appui conseil des micros entreprises travers

lencadrement des populations dans lidentification

le montage de projet et la formation ;

La recherche action :


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The partnersofSEM

The network of ecovillages in Senegal

named GENSEN

Kiva


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Where SEM works

07 regions of Senegal divided into 02 zones :

+ North (Dakar-This-Diourbel-StLouis-

Fatick)+ South (Kolda-Casamance)


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MechanismsofSEM

Governance+ Administrative Council+ National Committee of Microfinance

+ Technical teams+ The presidents of the ecovillages

Portfolio Management

Credit Financement

Year Number ofProjects Total money in CFA

2004 1 225 000

2005 2 1 295 000

2006 34 16 139 700

2007 124 66 279 025

Activits 2006 2007

Commerce 16 47% 59 48%

Artisans 2 6% 16 13%

Fishing 3 9% 3 2%

Agriculture 2 6% 19 15%

Herding 4 12% 10 8%

Local craftsment 4 12% 14 11%

Transport 0 0% 1 1%

Education 1 3% 1 1%

Restuarants 2 6% 0 1%

NTIC 0 0% 1 1%

Total 34 100% 124 100%


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SectorsofActivity


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Obstacles

The Level of Financing:

+ Limits on monthly payouts (lack of means)

+ Competition with IMFs interest rate+ Fluctuation of the Dollars exchange rate

The cultural level : Literacy of the beneficiaries

Political Level : Limit of Bankers


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Opportunities

Strong implication fo the state in development in the sector of creating laws around new jobs, by the

ministry of microfinance.

Existence of the network of ecovillages

Strong and ready demand for loans

Partnerships with other organisations

Presentation of SEM to lISM (Institut Suprieur de Management) the Institute of Superior Management)

A report about the group KIVA on the French Television station ARTE


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ImpactofSEM

Contributes to the development of the community from its population

base.

Allows a reduction in poverty with collabortion of the Global South and

North.

Contributing to employment of the youth.

The development of the entreprises specifically in ecovillges:Waagmi and

Propaf


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Placestomoveandexpand

To put in place GEC to better the capacity of

organizations in villages

To put in place a network for the commercialization ofproducts for SEM

To master the dollars fluctuations

Reinforce SEMs organization

Increase SEMs portfolio in order to better meet thelarge demand for their services

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