The Capital Fund for Firms in the Social and Solidarity Economy (FIDES)
Our organization, Unión de Cooperativas Ñöñho de San Ildefonso was taking part at the presentation of FIDES in Mexico City last 22 of September of 2011.
For years, organizations and firms in the social sector have called for access to more financing to achieve our projects. The Capital Fund for Firms in the Social and Solidarity Economy (FIDES), the first of its kind in Mexico and the whole of Latin America, plans to invest 1.2 billion pesos over the next few years for the benefit of Mexican social firms.
During the presentation of this fund, President Calderón declared that the social economy is an activity that gives national development a more humane, ethical aspect. He also declared that firms in the social economy play a key role by creating opportunities for income among the poorest people in the countryside and city, as well as the thousands of cooperatives, non-profit associations, micro and small businesses that contribute to collective progress through their efforts on a daily basis. These firms, he said, share values such as fair pay for work, sustainable development and social responsibility.
Addressing an audience of entrepreneurs and promoters, the president hailed the decision to invest in sectors that promote regional development such as agro-industry, food, renewable energy and financial services for those with least. He congratulated the main shareholders and promoters of this initiative, Développement Solidaire International, FIDES ECOSOL (Mexico), Mondragon (Spain), European federation of finance and of ethical and alternative banks (FEBEA), as well as announcing that federal government will contribute 100 million pesos to the initial FIDES fund through the Development Bank.
A propos of his administration’s efforts in this are, the president said that:
- Micro-financing companies have been consolidated as a reliable credit alternative in marginalized zones. Through the National Financing Program for Micro-businessmen, Federal Government has transferred over 4.5 billion pesos, 60% more than the amount invested throughout the previous administration.
- The supply of programs designed to support productive projects as well as training, consultancy and capital for savings banks and cooperatives has multiplied.
- Through Productive Options, Indigenous Regional Funds, the Women’s Program in the Agrarian Sector, the National Support Fund for Solidarity Firms and Procampo, during this administration, over 100 billion pesos have been used to capitalize over a million social firms and productive units during this administration.
The president ended his speech with the following remark, “Today, more than ever before, Mexico needs competitive firms that will create jobs, speed up growth, protect the environment and be committed to communities’ progress.”
A tri-national project has brought together four major actors: FIDES ECOSOL, a Mexican solidarity economy investment fund; Développement solidaire international, a Quebec-based international cooperation NGO; Mondragon, a Basque cooperative and FEBEA, the European Federation of Finance and Ethical Alternative Banks. The objective is to join together in order to be able to intervene financially in support of producer cooperatives up to $10 million initially. This medium-term commitment also seeks to act as a leverage to attract new Mexican and international partners. In parallel to this financial project, the partners have agreed to make their fund management and administrative management expertise available. They will provide technical assistance to help manage start-ups and businesses in development and recovery, especially in the social economy, notably by helping prepare business plans and funding applications. The presentation Three Countries Cooperate to Fund and Support Social and Solidarity Economy Enterprises in Mexico at FIESS 2011 will cover how the project was put in place and the government and community organizations in the three countries that have enabled it to succeed.
In FIESS will be: Claude Dorion, coordinator DSI, Jesús Campos Orozco, president FIDES ECOSOL, Fabio Salviato, president, FEBEA