Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

CU System
USAID designates WOCCU to lead Haiti project
MADISON, Wis. (7/23/09)--The U.S. Agency for International Development (USAID) has designated World Council of Credit Unions (WOCCU) as lead implementer for a three-year, US$34.4 million, multi-partner program to strengthen enterprise development and promote job creation in rural Haiti.
Click to view larger image World Council of Credit Unions will work with Haiti's financial institutions to bring value chain financing to Haiti's rural micro-, small and medium-sized businesses. (Photo provided by the World Council of Credit Unions)
The Haiti Integrated Financing for Value Chains and Enterprises (HIFIVE) program will work with the financial sector to bring savings, credit and remittance-linked products to underserved areas of the country and provide technical training to micro-, small and medium-sized enterprises (MSMEs). WOCCU will work with Haiti's financial institutions, including banks, to create affordable, yet profitable, financing options for MSMEs participating in established value chains. The chains are groups of individuals and/or businesses that bring a product from conception to market. OCCU will also work with the institutions to begin offering money-transfer services and remittance-linked products, as well as expand their outreach to new service areas using technologies such as point-of-sale (POS) devices, personal digital assistants (PDAs) or cell phone banking to reduce transaction costs. "Small businesses in rural Haiti face significant barriers to growth, yet they have great potential to drive economic development and bring new employment opportunities to their communities,“ said Brian Branch, WOCCU executive vice president and chief operating officer. The added the program "will bring the necessary tools--training opportunities, business connections and financial access--right to the local entities that can effect change from the ground up." Haiti is the poorest nation in the Western Hemisphere, with 80% of its population living below the poverty line. Its MSMEs are often hampered by political instability, poor infrastructure, frequent natural disasters, lack of skilled labor and limited markets, said WOCCU. While the country has shown positive economic growth in recent years, MSMEs--especially in rural areas--are still largely excluded from the formal financial system. With 70% of financial institutions concentrated in urban settings, rural households and businesses have been forced to seek less reliable funds through expensive, informal channels. WOCCU will adapt its value chain finance methodology, developed in Peru, to help Haitian financial institutions identify at which point financing brings value chain participants the best return and represents a good investment for the institution. WOCCU will provide technical assistance, mentor loan officers and offer specialized training to help commercial banks, microfinance institutions and cooperatives develop appropriate value chain financial products and services. WOCCU's field partner in the program, TechnoServe, will facilitate value chain linkages and technical assistance training among producers, producer associations, input suppliers and buyers. As a core component of the program, WOCCU will manage the distribution of USAID-funded grants to local financial institutions and business service providers to encourage the development and use of new technologies, training opportunities, partnerships with other USAID-funded programs and risk management practices. The grants are meant to encourage Haiti's conservative financial sector to innovate and grow beyond their traditional markets. WOCCU is implementing the HIFIVE program as an Academy for Educational Development (AED) sub-recipient under USAID's FIELD-Support Leader with Associates program. AED will provide oversight and documentation assistance to facilitate program activities, and Technoserve will co-implement the program with WOCCU.
Other Resources

RSS print
News Now LiveWire
.@CreditYOUnion captures voices of #100MM loud, proud at @GAUnitedCU See #NewsNow Thursday for more
6 hours ago
Ill. @GovernorQuinn signs patent troll law http://t.co/ugWf8zHpCm via @CrainsChicago
7 hours ago
.@MBAMortgage : Mortgage apps increased 2.8% from one week earlier for week ending Aug. 22.
7 hours ago
Franchise businesses may face higher breach risk with POS systems HT @briankrebs http://t.co/LGE46DUk15
8 hours ago
About 1 in 3 consumers use plastsic for in-person purchases of less than $5, according to @CreditCardsCom survey.
9 hours ago