DAILY TRUST Tuesday, March 29,
Busin Enhancing Financial Innovation & Access
EFlnA Innovation Grant Round 3 Request for Proposals The low Income mass mamet segment can and are willing to save. The EFlnA Access to Rnancial Services in Nigeria 2010 Survey highlighted that 23.8 million adults are currentty saving at home. There is demand for a range of affordable, convenient and accessible formal sav;ngs products for kM" value savers . The design and Implementation of such
products is critical to the successful mobilization of savings deposits. focuses on supporting new ideas and approaches to expanding access to 'formal savings' products and services designed for the unbanked and under-banked population in Nigeria,
• FG keeps mum on marketing boards By TIna A. Hassan TH E approval of NS.830 biUion for mopping up of agricultural produce from farmers across the country
Baclcground: EFlnA Is an independent, professional, non· profit organization funded by the UK1s
Oepar1ment for Intemational Development (DFID) and the Bill & Melinda Gates Foundalin. One of EFlnA's key objectives Is to become an Innovation centre targeting catalytic change across Nigeria's financial sector, to make markets work for those currently excluded from formal finanoal services.
Fund Purpose: The Innovation Fund is a special facility w~hin EFlnA which seeks to promote innovation In the development and deployment of services and thus expand financial access to the underserved and low Income population in Nigeria. EFlnA Innovation grants can be used to
Implement specific projects that should be targeted at the ul\banked. All applicanls will be expected to lund at least 50% of the total project east.
What are we looking for? We are seeking proposals for the development and launch of innovative and effective formal savings producls In terms of convenience, f1exibllity and cost , targeted at the lower Income segment that encourages them to save. The product and business model should enabk! the collection of Iow-vaJue savings from unbanked and under-banked savers, especially women. The project proposed should be sustainable and scalable for the financial services provider. Grant proposals must fall under one or more of the following categories: •
•
Savings Products for Women: As women tend to be the savers in most poor households, a well-designed savings product can have significant empowerment benefits for women . Design and develop savings products or mOdify exisllng savings products to better serve the needs of women.
Small Value SavIngs Accounts: develop a new or refine an existing specific savings product and/Of service for the low income mass market segment thai save relatively small amounts. with features such as zero-opening balance, no minimum balance, and low transaction costs.
•
Remittances & Savings: remittances are 8 major gateway to financial services and It is essential that remittance flows become fully included in the formal financial space. Design and develop an appropriate savings product linked to remittances.
•
Branchless banki ng : Branchless banking refers to use of alternative distribution channels to bring quality, affordable, and safe savings accounts outside conventional bank branches, using non bank retail agents and relying on Information and communications technologies such as card·reading point-of-sale (POS) terminals or mobile phones. The objective is to enhance efficiencies and lower transaction costs while maintaining excellent customer service. II brings financial services to the doorstep of the low income population especially in rural communities.
Proposals should demonstrate tha ability to reach high numbers of unbanked or
55/Ag(c
'N6bn new agric fund is for campaign'
EFlnA is pleased to announce its third call for proposals for the Innovalion Grant. Round 3
especially women. The deadline for submission of proposals Is 6pm on May 3rd, 20 11.
2011
to reduce post harvest loss has been described as 'campaign fund: even as the federal government keeps mum over plans to revive the mar-
keting boards. During its Federal Executive Council (FEC) meeting in Abuja last week, the Federal Government announced the approval and release of NS.830 billion for mopping of agricul tural produce from farmers across the country to reduce post harvest loss. This supposed good news aimed at making
Nigerian farmers happy is instead being taken with pessimism and mixed reac·
ernment, the whole sum , NS.830 billion, would be used to buy 9S,000 metric tons of grains from farmers across the country as part
of food security measures because 'the aim is to boost food security and encourage farmers to farm. The question on the lip of every farmer is who is buying these grains, at what price would it be bought, how can they identify the real farmers that need such an intervention. how can
the farmers identify the buyer and what happens to farmers of perishables like tomatoes, pepper and others? Some farmers have even
wondered if the functions of the marketing boards would not be duplicated by the new plan of mopping grains that the government
should rather focus on doing one thing at a time, "if they say they want to bring back the marketing boards, then let them do one thing ala time".
Mr. Amaechi Chukwu of the African Institute for Applied Economics (AlAE) , working with the Association of Small Scale Agro processors of Nigeria (ASSAPIN) expressed worry over what he termed "ill informed decisions of government" without taking into consideration the needs of real farmers in the sector.
He said the problem of farmers in Nigeria is that they do not have access to markets to sell t heir produce and avoid the challenges of gloat and post harvest loss and the decision of the government to help mop up these produce that have not be sold due to lack of markets and inadequate
t ions because of the lack of clear explanation as to how the federal government intends to go about this mopping up of food produce to curta il loses by
just announced.
ment to earmark such an
is that there
farmers. This announcement is
amount is only done in self
that at the end the people that are going to benefit from this initiate are going to be the farmers , that is why most farmers are asking about who would ben efit from it eventually," he said.
coming shortly after the same FEC announced the revival of the defunct commodity marketing boards of the 80's but is yet to follow it up and alleviate the difficulty of the local farming populace. open up lin kages to markets (domestic and international) and create stability in the prices of food items. According to the gov-
Dr. Dom Okoro is Presi dent of the Voices for Food Security (VFS), he said the decision of the governinterest because the money
would not get to local farm ers since there is no organ-
ized or identified body that would carry out the function.
According to him, this is just a way of releasing money to support politics espeCially now that the elections are around the corner
and the politicians need money for their campaigns. He said government
storage materials.
But the problem actually IS no
guarantee
He said many farmers are not even aware of the
decision to mop up the farmers produce because the government and the farmers are not working
together.
undarserved groo05 and shoukJ prov;de quality financial servtces and products. The
following features have been proven as key to the successful mobilisation of savings deposits: convenience, flexibility, security, usability and affordability and must b!> a_Into the producldeslgn and dalillery. Aft projacIs milS! demonstrate the us. 01 mar1<eting and lInanelal education campaigns to
demoilsnte kI CUI!tOiJ>ers the Importance 01 SIt.mg; /lOw \0 Mtaa'fings gcal'~~.-.gII !heir saYfn9 beflavkKlr ., save WIll formal financial oervIce. providers, PrtcIn!I must be
transP,anI<>l and Pf'OI>ClI'IIt; sl'lould Incorporate oonsumer protactton redresa mechanisms.
•
Potentia! orgarrisstfons that EFlnA would be looking to fund include Microfinance Banks, Deposit Money BanI<s and N0n-8ank Ansncla!lnst~utlons Applicants must have the capacity to implament tha proposed project within 24 months What is the application process?
•
.
!y TIna A, IIossan
Who can apply? •
New studies show 81 % farmers are women
For further information on our eligibility and evaluation criterfa, our application and submission process, ptease go to: www.efina.org .nglinnovation-lJrants.htm
•
All completed grant approcatlon forms and tha required documentation should be submitted to the Programma Managerst Innovatlon@eftna.org.ng • The deadline for submission Is 6pm On May 3rd,2Ot t • EFlnA will notify an applicants of Ihe outcome of their applications by July t 2th, 2011 For further infonnation, contact the Programme Manager at InnovaUontlefina.org.ng or
visit our website at www.eflna.org.ng
EFlnA
www.efina.org.ng innovation@efina.org.ng First Mutual Ptaza. 2nd Aoor, Raufu Tayfof Close, Off Ideja Street, VIctoria Island, Lagos
RESEARCHERS working with the Voices for Food Security (VFS) said a study they conducted reveal that there are more women farm ·
ers than men in Nigeria. One of the researchers, Dr. Adamu Wude said special attention needs to be given to the concerns of women farmers since they constitute 81 percent of the farming population. He lamented the obstacles placed on the path of researchers by government o(ficials who deny them access to public information such as states and departmental budgets.
~nj at tlK J>14blic launch and dissemInation of reports of studies on Agric investment, he said
in some instance, they are
being asked to pay before the y can obtain such information and are often met
with very hostile reception from government officials. He said the study on investing in the agric sector
was conducted in katsina, kano, Benue, Plateau, Nasarawa, Ogun, ElUti and Uyo states with the aim to determine how much each state allocates to the sector in its annual budget According to him, the research shows that most states budget very little to
,
agH~ulture and most of the project. are hardly execu~d at the end of the fiscal year. Representative of Oxfam Nigeria, Mr. Ayodeji Ajayeoba said the study is a campaign that is "aimed at establishing a viable platform for small scale farm ers on how national policy on agriculture affects them and to push for increased funding in the sector". Presenting the findings of the research. Dr. Orji Ogbureke said agriculture is the best way to reduce poverty conSidering that about 70 percent of the nation's population engages in one agricu lture venture
or the other.