Poverty in Africa Developing countries 21 of the world’s 30 poorest countries are in Africa Nearly half of the people in these countries survive on less an $1 per day. In 2004, 200 million Africans were malnourished Lack of food has stunted the growth of 1/3 of African children Every 30 seconds a child dies of Malaria
Women in Africa Face additional challenges Traditional gender-based division of labor Women are responsible for caring for the family. This often includes growing food on small plots of land. Lack of education, nearly half of all women over 15 cannot read. Women in Africa have lower literacy rates, lower income, and lower life expectancies than men. Often, the only place women can make money is in the informal economy.
Micro-entrepreneurs Making a difference in their communities
Micro-entrepreneurs A person who starts a very small business Does not need a business license Does not pay taxes or collect taxes Makes small amounts of money Sell food in local markets Trade child care for firewood Grind nuts into peanut butter to sell in markets
Hassana Lives in a small village in West Africa Widow with 5 small children Often lacked money to buy clothes or school supplies Sometimes, buying food was difficult No savings Worries that someone will get sick Borrowed money, bought an oven, and started baking bread to sell at the local market Slowly her business grew, and she is now better able to take care of her family.
United Nations Development Program (UNDP) An international organization that works to reduce poverty in developing countries Helps women in villages obtain multifunctional platforms – machines that can grind grains, pump water, generate electricity, charge batteries, and more. The machine does work in 1 hour that takes 3 days to do by hand. With the machine, more can be produced and more money earned The machine is sturdy and can be used in a variety of ways. It runs on diesel fuel or oil from plants. Different belts and tools can be attached to do different jobs.
Mary Graham and Loriana Dembélé in front of a school built by locals with Ji Duma in Samanko. There are two rooms inside the school, one for classes and literacy training and the other holds a multifunctional platform, run by a women’s micro-enterprise
The multifunctional platform comprises a diesel engine connected to various tools such as a cereal mill, husker, alternator, and battery charger, pump, welding and carpentry equipment. This machine improves rural women’s lack of time and disproportionate workload.
While Ji Duma provides financial and technical assistance and training, the women themselves form management committees in each village – a strikingly effective example of women’s empowerment. Ji Duma ensures that village women own and manage the platform. Women gain management experience and novel income-generating opportunities that lead to more economic independence, helping to redefine their subservient societal status. The entire village benefits from extra income generated by women from the platform and, therefore, they spend less time on non-productive labor and have more time to dedicate to education, health and childcare, all of which have proven to be effective in combating poverty. Ji Duma incorporated a school into the platform project for that very reason.
In Mali, 300 villages now have a machine Attitudes toward education have changed Women are attending class to learn how to read Girls who used to stay home are going to school Men have been hired to work as mechanics to maintain and repair the machines Some village women have bought a generator and set up lights in the village Villages are safer at night, people can work after dark Attitudes toward women are changing
Garbarone, Botswana A busy capital city in southern Africa Women have opened restaurants in travel trailers and sell home cooked meals to workers near their work places Customers eat under a canopy outside They employ people to convert the trailer into a restaurant, other family members to cook, clean, transport supplies They use the money to send their children to school, to purchase land, and build homes.
Margaret Saajjabi Born into a large family in Uganda She started High School, but her family ran out of money and she had to quit She went to work helping others sell laundry soap and bottled soft drinks at a market. Slowly, she Saved the money she earned and bought ¼ acre of land in the local Kalerwe Market. She rents 27 market spaces to other vendors. Her tenents include hair dressers, electricians, vegetable sellers, and cooks. She has also used the land to sell water to local people and once used it as a parking lot that could accommodate 50 cars.
Micro-entrepreneurs benefit Others Saajjabi supports 6 children of her own and is helping to raise 19 nieces and nephews Most of these children are going to school All have helped her in the market during school holidays She has hired six guards for her parking business, the people who rent the market spaces from her have a way to make a living
Facts about Micro-credit More than 500 million people run micro-enterprises in developing countries Less than 3% of micro-entrepreneurs get loans from banks Average size of loan is less than $100. About 3,000 micro credit organization served 80 million clients in 2003 More than 95% pay the loans back More than 80% of the loans are made to women More than 90% of the income earned goes to support families About 40% of the income earned by men from micro- loans goes to support families In some countries, more than 50% of micro-credit clients rise out of poverty within 10 years.
What would you invest in? Why?