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Haiti - Economy : Support program for micro-enterprises
27/07/2015 11:19:35

Haiti - Economy : Support program for micro-enterprises
The results of business census conducted by the Ministry of Commerce and Industry (MCI) during 2012-2013 show that the majority of companies, 82% are retail trade (buying and selling products) and very few of them are found in the processing of raw materials, which represents 1.2%, tourism (1.1%), crafts (0.6%) and construction (0.4%).

These operators are usually very weakly capitalized micro-enterprises, practically excluded from the formal credit system and only being able use, on occasion, the credit at exorbitant costs exceeding 36% per annum. The owners of these micro-enterprises, often poorly informed and having no notion of administration have great difficulty coping with the demands of an entrepreneur.

According to the data, drawn from the same study, the vast majority of the population finds itself in a self-employment situation of which 77.4% involved in micro-enterprises confined to the "little resourcefulness." Indeed, of a total of 71.515 companies surveyed, 96% are individual companies, over 60% of companies in this category are owned by women.

Furthermore, only 10% of Haitian businesses have a turnover above 250,000 gourdes. Thus, far from being able to contribute to the improvement of their living conditions, activities undertaken by the operators concerned merely keep them in poverty and maintain the vicious circle of exclusion.

The Support Programme for Micro-Enterprises (PSME), implemented by the Ministry of Trade and Industry (MCI) and its partners to promote employment and improve the incomes of the groups of entrepreneurs most vulnerable, seeks to address this problem.

Program Components :

Business formalization :
Regardless of the nature of the organization in question and the type of procedure performed by the Ministry, within the framework of this program, it will be conditioned to the formalization of the potential beneficiaries. The formalization implies that the potential beneficiaries of the program at least get their license and their Professional Identification Card. The realization of this program component will also rise to other forms of business, they depend each time of the situation of the organization to support.

Training and technical suppor :
Micro-entrepreneurs enrolled in the program will be trained before gaining access to credit. Training will be provided by staff of the Business Support Services (SAE) present in each department. The micro-enterprises will also benefit from support that will last a year, they will cover this in addition to the financial aspect, quality management, standardization, etc...

Support for access to credit :
Through this program, the Department seeks to facilitate microenterprise access to credit. Micro enterprises enrolled in the program will benefit through mechanisms set up jointly with the FDI and its partners, more flexible funding arrangements and accessible compared with the market.

Support for market access :
In the first phase of PSME, a particular emphasis will be placed on the component facilitating access to markets and the National School Canteen Programme (PNCS) will be at the heart of this device. This is for the Ministry and its partners to take the necessary measures to enable micro-enterprises benefiting from the program, to be able to sell their products among others through the PNCS. This involves a lot of work ahead of upgrading hence the necessity to work actively with the Haitian Bureau of Standards and the Nutrition Office.

HL/ HaitiLibre

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