Support for Microenterprises: Lessons for Sub-Saharan AfricaMicroenterprises play an important role in sub Saharan Africa. They account for a sizeable portion of the economy, by providing employment and a means of livelihood for much of the nonagricultural population. This paper is the result of a survey of the literature and extensive discussions with practicioners and its primary focus is a direct approach in support of microenterprises. Perhaps the simplest objective to pursue is access to credit. The main lesson from experimentation in this field is that the poor are bankable and and can be served relatively inexpensively, provided nontraditional lending methods are utilized (e.g. group lending). Technical assistance and support services can also be provided to help first-time entrepreneurs set up their own businesses, to assist microenterprises in their daily business, or to help them graduate to a larger size. The task of assisting microenterprises requires small, flexible, and responsive organizations, with sufficient autonomy to make ad hoc decisions, yet with adequate coordination at the national level. Such organizations include PVOs, NGOs, cooperatives, banks, business associations, churches and women's groups. The report recommends that capacity building be incorporated as a specific objective of microenterprise support programs and should be budgeted for. Shifting the focus of assistance from beneficiaries to support institutions is an effective way of reaching the most marginal groups. |
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Support for Microenterprises: Lessons for Sub-Saharan Africa Maryke Dessing No preview available - 1990 |
Common terms and phrases
ACCION International approach assistance programs assistance projects Assisting Informal-Sector Microenterprises Bangladesh beneficiaries Burkina Faso Capacity Building capital clients Colombia community development components costs Developing Countries direct assistance Dominican Republic donors Edited by Jacob effectively employment entrepreneurs entrepreneurship and self-employment Entrepreneurship Development Program Evaluation experience flexible Formal Financial Institutions fund graduation Grameen Bank Grindle horizontal diversification impact income India Industry Informal Credit Markets informal financial institutions Informal Sector integrated interest rates intermediaries Intermediate Technology Publications International investment Jacob Levitsky London Kenya Laurentian University lending linkages loan ment micro microen Microenterprises in Developing microentrepreneurs Mimeo needs NGOs objective organizations P.O. Box participants Philippines PISCES Studies policies private sector production repayment resource institutions Rural savings self-employment Small Enterprise Development social staff Stanford Research Institute Stearns strategy Sub-Saharan Africa success Support for Microenterprises supporting microenterprises technical assistance Tendler traditional USAID Washington World Bank