Hugo Vila FONCODES, Peru

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1 Synergies between social and productive-fostering policies. Peru s Haku Wiñay/ Noa Jayatai (Let s grow) program. Building Household Resilience through Productive Inclusion Hugo Vila FONCODES, Peru

2 Include to Grow 0-3 yo 1. Child Nutrition. Reduce chronic child malnutrition through interventions targeting pregnant women and children from 0 to 5 yo. 0-5 yo. 2. Early Child Development. Foster children s physical, cognitive, motor, emotional and social development. 6-2 yo. 3. Comprehensive Child and Youth Development. Expand children and youths personal, educational and occupational competencies most suitable to their age yo. 4. Economic Inclusion. Expand households opportunities and ability to increase their incomes Senior Citizen Protection. Protect and enhance the well being of the elderly by securing access to pensions and quality services. 8 March

3 Role and strengths of FONCODES Role of FONCODES: Expand economic opportunities through the increase and improvement of poor households' assets, improving their conditions to participate in economic growth Strengths: National presence, through 26 deconcentrated offices, which allows to intervene in the furthest away 'centros poblados' of the national territory. Executing Nucleus: Brand of FONCODES. Project management through the "Executing Nucleus" (núcleo ejecutor) modality, participation of beneficiaries, surveillance and transparency. 26 years of experience in the design and management of social investment projects. Project Cycle: culture of projects and management of the intervention cycle. 8 March

4 Haku Wiñay Noa Jayatai Program What is Haku Wiñay / Noa Jayatai? A productive project targeting rural households on subsistence family agriculture, in contexts of extreme poverty and vulnerability in the Andes and the Peruvian Amazon. HW focuses on the development of productive capacities and rural entrepreneurship to improve food security and increase households' income, seeking to develop sustainability and resilience through innovative, adaptive, simple, replicable and low-cost productive technologies. Investment of around 1,400 USD per household for three (03) years of intervention. Implemented through the Executing Nucleus modality. HW / NJ is also piloting an integrated model including productive inclusion services and cash transfers to targeted families (Juntos) 4

5 How does this happen? Recovering traditional knowledge and incorporating it as part of the TA Improving practices Strengthening community organizations

6 Scaling up catchement areas The year 2012 began a Pilot to articulate the intervention with JUNTOS (CCT) in 2 districts of Ayacucho (Andean region). As of 2014 HW is a Program by Results. Currently it has national coverage and is highly demanded by local governments. Year Geographic unit Deptos. Prov. Distrito CCPP N of projects Investment N of (Millions of households S/.) , , , , , , Total ,465 1, , Source: FONCODES/UPP January 2018

7 Components Combining interventions - Training and personalized technical assistance by the yachachiq - Accompaniment of yachachiq - Endowment of asset portfolio - Contests and competitions between households 1. Component I: Strengthening household 2. production systems. Component II: Fostering healthy housing. Component III: Promoting inclusive rural businesses Component IV: Building financial capacities.

8 Who is the Yachachiq? A Yachachiq (the one who knows and teaches) is a productive leader of the community, who practices the local culture and lives in the project area. It has some type of formal or informal training on the management of various productive technologies that are simple and easy to replicate and/or adapt to similar contexts. He/she is responsible for technical assistance, capacity building and accompaniment of households. Applies participatory processes to "learn by doing, from farmer to farmer. Key actor, engine of change.

9 What are we doing in HW to strengthen Resilience in the face of climate risks? Actions to strengthen criteria and practices for protection and resilience to climate and climate change, implies the following: Organic approach in production systems Sensitization, training and technical assistance to yachachiq and users Incorporation of criteria and adaptive practices to climate change into technical manuals Installation of technified irrigation at family level Technical sequence: irrigation-grass / pasture landsbreeding Construction of greenhouses Soil conservation practices Reforestation and agroforestry Construction of 'Qochas' for sowing and harvesting rainwater (pilot in Cusco and Apurímac) Expansion of technologies for sowing and harvesting water to other territories.

10 Stages of the intervention cycle DESIGN: Demand-driven technical file YEAR 1: Good practices introduced YEAR 2: Ownership and adoption YEAR 3: Consolidation Technical assistance and capacity building (Yachachiq/Users) Follow up and mentoring

11 Technologies in greatest demand TECHNOLOGY Household based technical irrigation 1. Spray irrigation. 2. Drip irrigation TYPE Open field crops Small greenhouse crops Hydropony Livestock technology. Agroforestry 3. Vegetables, tubers, roots, grains, aromatic and medicinal herbs, fruits, pastures 4. Vegetables and flowers. Verduras y flores 5. Green fodder. Farraje verde 6. Vegetables 7. Poultry farming. 8. Small animal husbandry. 9. Ruminants 10. Fish farms 11. Coffee, cacao, fruits

12 Technologies in greatest demand Reforestation TECHNOLOGY Household tropical ecosystem management TYPES 12. Small (family) forest 13. Medicinal plants and fruit crops. Soil conservation Healthy housing Vivienda saludable 14. Grassland management and conservation 15. Soil management and conservation 16. Improved stoves. Cocinas mejoradas 17. Improved housing. Viviendas mejor das 18. Safe water. Agua segura 19. Solid waste management. Manejo de residuos sólidos

13 The Executing Nucleus A community organized as a juridical private law organization able to hire and engage in administrative and court processes. It is led by a president, secretary, treasurer and an overseer appointed by the district municipality. The implementation of the Executing Nucleus model, under the supervision of FONCODES, has the following advantages: Active participation of the organized community Agility in the implementation of projects Transparency in the administration of resources Accountability Boosting social capital

14 Capacity building process HQ FONCODES Territorial Units FONCODES Central Executing Nuclei; Local governments (Leaders, Coordinators, Yachachiq; municipal officials) User households

15 Social Development Cooperation Fund Fondo de Cooperación para el Desarrollo Social

16 Juncture After MIDIS was established and the Include to Grow strategy was enacted, FONCODES started developing its productive inclusion programs as a complement to social policies. Need to redirect rural development efforts based on the rural poor s own initiatives and improve the producers competitiveness from the standpoint of market articulation.

17 Juncture Takes account of specific circumstances and needs when devising interventions that involve several poverty reduction strategies. Social transfers by themselves do not suffice to put beneficiaries on the path to sustainable employment and income generation (Robino and Soares Social protection, entrepreneurship and labor market activation: evidence for better policies.)

18 JUNTOS (Together) Program Juntos is Peru s national program to support the neediest. It seeks to help building human capital and interrupt the intergenerational transmission of poverty through Conditional Cash Transfers (CCT). Co-responsibilities include Health and Education.

19 PROGRAM JUNTOS Potential synergies from the articulation between JUNTOS - Haku Wiñay COMPLEMENTARY INTERVENTIONS (COMPONENTS) 1) Conditional cash transfers (62.5 USD every 2 months) as a conditioned incentive to access and use health, nutrition and education services. 2) Joint activities with the education and health sectors to provide services to pregnant mothers and their children POTENTIAL SYNERGIES/ EFFECTS Families improve their income, food consumption and access to education and health for children and mothers. Families allocate part of their monetary income (CCT) to invest in productive activities and businesses supported by HW / NJ HAKU WIÑAY/NOA JAYATAI 3) Technical assistance, training and personalized support to each household to gain access to productive technologies. 4) Technical assistance and materials to improve living conditions at home. 5) Technical assistance and provision of assets for rural enterpreneurs, through the management of competitive funds. 6) Capacity building to facilitate financial inclusion. Families improve their production, agricultural productivity and diversification of their crops and livestock for food security. Families reduce consumption of firewood; as well as the incidence of respiratory and diarrheal diseases. Families generate autonomous income through their small inclusive rural businesses. Families and their enterprises are linked to the formal financial system.

20 Evaluations # IMPACT BACKGROUND PREPARED BY 1 Improved agricultural productivity Larger tuber, vegetable and grasses production. Improved land and plot use. Organic fertilizer, certified seed, pest management and biogardens. 2 Higher household incomes 7% higher total incomes. In particular NRI. Average S/. 910 (local currency, aprox. US$ 275) annual increase. (Javier Escobal). Consumption from family gardens cuts spending at local shops and markets. Family gardens are more cost efficient, and create a surplus for markets. 3 Stronger food security Larger cereal and grain, greens, tuber and animal protein consumption in a diversified diet (Javier Escobal). 4 Better health and hygiene practices 5 Entrepreneurship and business culture encouraged Healthy practices, including hand washing (27%). (Javier Escobal). Enhanced perception of business and entrepreneurship. Business as a complementary activity to the household s main occupation (Jorge Chavez Tafur). 6 Financial education Greater trust in financial institutions (14%) (Javier Escobal). Greatest impact from inclusive businesses that mostly use training provided by the program (Jorge Chavez Tafur). GRADE MEF J. Menacho ANDES ETC GRADE MEF GRADE MEF ANDES ETC GRADE MEF J. Menacho ANDES GRADE MEF ANDES ETC GRADE MEF ANDES ETC

21 Concluding Remarks Few programs operate in areas of relevance to rural youths who have probably already improved their human capital thanks to JUNTOS health and education conditionalities. Nor are there many programs that will help the neediest in their journey to join the labor market. Programs like Haku Wiñay aim at filling this void. However, this is a daunting that requires designing strategies to provide a flexible menu of options that will evolve as vulnerabilities and capacities change, and that can tap the assets available to the various types of rural poor. Haku Wiñay Noa Jayatai is aiming at strengthening the links between productive inclusion and social assistance interventions, exploring synergies with Juntos to build up resilience in targeted households through an integrated model.

22 Photo Gallery

23 Photo Gallery

24 Photo Gallery

25 Photo Gallery

26 THANK YOU Paseo de la Republica San Isidro - Lima Central : (051)

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