So long as the money economy prevails, it is necessary
for people to acquire income. Thus, this rural development program promotes.
small scale business for income generation.
For people who have not previously been in need of cash
for their daily lives, it is necessary to know the economic system before
trying to do business in the money economy. Therefore, before the small
scale business was started, we conducted business and fund management
training with the people of 30 villages of the project site. There was
great enthusiasm that could be seen in the concentration of the participants.
They received a greater understanding through practical exercises.
After acquiring a basic knowledge of the economy in general,
the training on different types of business is needed. Through the training
on each business, the participants started a variety of businesses in
the second year of the project. As there is a possibility that cash may
be used for other purposes if it is directly lent to the participants,
only goods are provided to the participants in the project.
These villagers decided to pursue a goat trading business. It is necessary
for them to acquire not only management know-how but also knowledge on
raising livestock.
Those who start grain trading receive a ration of beans and corns. They
are expected to return the principal money with interest, which would
be generated from sales.
A staff of ICA-Kenya who purchases and administrates the materials for
the income generation program. It is a more time-consuming job than just
handing out money.
There are growing demands for tailoring thanks to well construction
projects and vitalization of agriculture. It is expected that there would
be various small problems with each of the income generating businesses
in the future. Strict rules and implementation are necessary on repayment
of the loans from the participants as the primary purpose of the project
is their self-reliance. It is now under consideration to re-schedule the
repayment plan and to promote repayment by substitutes such as agricultural
products and livestock for those unable to fulfill the repayment requirements.