Guatemala

CDRO is a Guatemalan MFI that works in rural communities in the Department of Totonicapan. Its strategy emphasizes a community participation model, which specifically focuses on the inclusion of women and young people. CDRO’s mission is to improve the lives of rural communities through the provision of community health programs, along with a credit and savings program through Reficom, its financial services arm.

CDRO implements a health program with the overall aim of strengthening health organizations at the community level. This includes establishing health centers, forming health committees and organizing midwives, Mayan therapists, physiotherapists, health promoters and community groups. CDRO is particularly focused on leveraging existing or latent health centers to build a more institutionalized health system within each community that provides primary care, a referral system, and monthly medical brigades. CDRO also engages in lobbying and advocacy, and operates a sanatorium in the departmental capital which offers expanded obstetric, pharmacy, laboratory, and other services.

GP considers CDRO’s intervention model to be an innovative, impactful approach as it promotes inclusive community participation as a means to improve access of rural population to health services. The model successfully leverages existing infrastructure of public health centers, which are then strengthened and expanded through CDRO-supported local health committees and community groups.

Founded in 1989, Friendship Bridge is a nonprofit microfinance institution (MFI) dedicated to improving the lives of women facing poverty in rural Guatemala through the provision of credit and participatory education services.

Friendship Bridge stands out from other MFIs because of its commitment to provide the poorest of the poor with both credit and education– a proposition that is often thought of as too costly.

That being said, Friendship Bridge is striving to find sustainable solutions to serve its client base, which is largely indigenous, lacking formal education and unlikely to speak Spanish.

To do so, Friendship Bridge uses the village bank methodology to provide small, working-capital loans coupled with education provided by trained credit officers during the monthly payment meetings. This delivery channel allows the organization to reach women with basic topics related to business training, health, and self-esteem, while also fostering an environment in which women learn from and support one another. In order to evaluate the impact of the program and respond to client needs, Friendship Bridge tracks changes in client income levels over time.

The Foundation for Enterprise and Agricultural Development (FUNDEA) is a Guatemalan nonprofit microfinance institution (MFI) that serves small-scale farmers and microentrepreneurs using both the individual and group lending methodologies. The organization is strongly committed to serving the rural sector, providing tailored credit and technical assistance to producers.

FUNDEA’s borrowers are highly concentrated in agriculture and livestock activities. In turn the organization adjusts loan terms and products to meet the needs of small producers. The organization also launched a technical assistance program in 2011 that focuses on increasing productivity and improving crop quality. Through the program, FUNDEA’s agronomists conduct frequent one-on-one site visits and when there is a topic of shared interest, they gather producers for a field practicum.

While individual credit constitutes the majority of FUNDEA’s lending activity, in 2012 the organization launched a program called “Credi-mujer” that focuses on the needs of lower income women in rural areas.

Fundación Génesis Empresarial (Génesis) is a Guatemalan microfinance institution and a partner within GP’s Women-Centered Finance with Education initiative. Génesis is the largest private organization in Guatemala working to promote economic and social development across all 22 of the country’s departments. Génesis serves 68% female clients, and the organization is committed to serving people living in poverty, with a large percentage of their clients living under $5.50 person/day. Génesis provides working capital loans to microentrepreneurs through group and individual lending. In addition, Génesis offers education on a wide range of topics including finance, business, empowerment, and well-being.

Manos Campesinas is a Guatemalan coffee cooperative within GP’s Smallholder Farmer Market Access Initiative. The cooperative has strategic credit partnerships and fair trade importers to connect small producers with international, specialty coffee markets. Manos Campesinas also provides one-on-one technical assistance as well as Fair Trade International and Organic certifications. Their clients are smallholder producers working a small average farm size of one hectare.

Procesos Fabriles, S.A. (PROFASA) is a Guatemalan enterprise that sources, processes and exports sesame seed products, as well as honey and pepper. PROFASA sources its products from 5,800 small holder farmers who receive inputs, cash advances, technical assistance, and collection of their harvest through intermediaries. By selling their crops to PROFASA, small holder farmers receive access to high quality seeds, improved and consistent access to markets, and increased knowledge of growing practices for these specialty crops.

The producers that sell their crops to PROFASA are rural farmers, with many located in very remote areas of Guatemala. They manage 1-3 acres of land on average, and prior to working with PROFASA had limited or no access to export markets. Unlike other crops (such as coffee or cacao) or the sesame value chain in other countries, sesame producers in Guatemala are not associated with cooperatives and do not receive government benefits. In turn PROFASA has joined with the six other national sesame exporters to form the Guatemalan Association of exporters (AGEXPORT). As part of this effort PROFASA and the other members have agreed to donate thirty-five cents (Q)/quintal to AGEXPORT so it can deliver not only technical assistance and inputs to smallholder farmers, but also provide capacity building, organizational training, and support.