Mr. Gareth R. ThomasTo ask the Secretary of State for International Development what action her Department is taking to support the development of credit unions; and if she will make a statement. [66617]
§ Clare ShortWe are currently involved in a number of projects setting up and strengthening credit unions and self-help groups which provide financial and other services to their members and share the co-operative principles of user-management and mutual-ownership. These range from comparatively small organisations aiming to build the financial asset base of disadvantaged communities in a specific location to self-help group federations and co-operative banks serving large parts of the countries they operate in.
Some examples of current and planned activities include:
In Kenya we are currently preparing a project to assist a number of indigenous savings and credit co-operatives (SACCOs). The main focus will be on improving their accounting and management information systems with a view to enhancing the efficiency and effectiveness of their work.In India we are helping to set up the Andhra Pradesh Women's Fund (APWF) which will be owned by member clusters of self-help groups throughout the state of Andhra Pradesh. APWF will provide loans to these member clusters as well as help to mobilise and maintain the quality of clusters joining the APWF.Through our active involvement with the Consultative Group to Assist the Poorest (CGAP), we are providing support for the establishment of an independent rating agency to supervise select Guatemalan credit unions.Finally, we are sponsoring practitioners from developing countries to participate in the postgraduate certificate in co-operative management and organisational development of a credit union being offered by Leicester University.We will continue to look at new ways to support credit unions and self-help groups which aim to offer the poor improved access to financial services.