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Title/DescriptionNational Microfinance Programme
CountryVenezuela » 
Specific location (city, region, etc)BPS:Créditos en los Estado Zulia, Táchira y Apure. FUNDESTA: Estado Táchira
Actors/PartnersBanco del Pueblo, FUNDESTA, Caritas Táchira
FundingPublic » UNHCR » 
Funding (detail)BPS: recursos del Gobierno de Venezuela (100%) FUNDESTA: recursos de la Gobernación del Táchira y ACNUR
Objectif(s)Microcredits granted by BPS and FUNDESTA promote the local integration of refugees and asylum seekers in the Venezuelan border territory. The specific objective of the agreement with BPS is to enable to refugees, asylum-seekers and the Venezuelan locals of the host communities the possibility of economic, social and cultural integration while promoting coexistence and solidarity with a community development and gender approach in cooperation with other communities and Community Councils.   The agreement with FUNDESTA is focused on the implementation of a micro credit programme for refugees, applicants and locals looking to enhance their livelihood, increase their capacity to look after their families and raise their standards of living.
Results/Impact

These programs have allowed asylum-seekers and refugees to benefit from the micro entrepreneur policy of the Venezuelan government. Additionally, the implementation of the BPS agreement has made it possible for asylum-seekers and refugees to open bank accounts and make financial transactions using their temporary IDs, as well as signing contracts in front of a notary and/or zone registries. These families have increased their incomes, created job opportunities in their communities and enhanced their links inside their communities. At least 60% of the beneficiaries cover their basic needs through the approved micro credits. Between 2008 and 2009, BPS benefited 263 individuals (143 women; 120 men) with micro credits for a total of USD 687,842. In 2010, the restructuring of BPS has the renovation of the agreement pending. Nevertheless, the loans delivered in 2008 and 2009 are still managed. The maximum amount approved is USD 3,500 per credit (at an official exchange rate of VEF 4.29/USD).

Through FUNDESTA, 113 credits have been granted for a total amount of USD 68,490 for applicants and refugees in Táchira state since 2008. The maximum amount approved is USD 700 per credit (at an official exchange rate of VEF 4.29/USD). The average recovery rate is 75% for the credits of both institutions.

Why is this considered a Good practice?Both BPS and FUNDESTA are public entities that offer micro credits to the general public and not only to properly documented asylum-seekers and refugees. UNHCR does not provide any funding under the BPS agreement. All the funds were granted by BPS and the total amount is USD 687,842. UNHCR does share the funding in the case of FUNDESTA. The BPS agreement looks to promote the reinforcement of the capacities of the population (sustainable development workshops), to strengthen the organization by means of local production networks and the community participation. The BPS and FUNDESTA agreements are an important source of employment generation for the credit beneficiaries as well as for the community. Through these credits, the asylum-seekers and refugees have shown their skills, expertise and productive vocation. This promotes their acceptance in the host communities and their local integration.
Pertinent MPA/BPA ComponentCities of solidarity » 
Theme (s)Microfinance » Income Generation » Governments, states, municipalities » 
Links

FUNDESTA
Banco del Pueblo Soberano
http://www.acnur.org/t3/que-hace/autosuficiencia/historias-de-microcredito/?sav_library=908fff5c6fd002195016
http://www.ultimasnoticias.com.ve/noticias/ciudad/acnur-y-fundesta-dan-microcreditos-a-refugiados.aspx

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