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Asian Alliance for Solidarity Economy

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The Secretaria Nacional de Economia Solidária (SENAES), which belongs to the Brazilian Ministry of Labour and Employment (MET), has just issued its news letter http://www.mte.gov.br/ecosolidaria/Acontece_SENAES_13_ed.pdf (Portuguese) and on page 1 you can read the following article (I translated it into English). I’ve never heard of any central bank helping community currency initiatives, but it should be interesting enough for the rest of the world too…
Best regards,
Miguel Yasuyuki Hirota

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The cooperation agreement between SENAES and the Central Bank aims to realise studies on community banks and on social money, envisioning the creation of the monitoring and evaluation mechanism and of the development of this sector in Brazil.  After a decade of many articulation and mobilisation of the solidarity economy movement, with the support of SENAES, the recognition by the Brazilian State was won, by way of this terms of cooperation, that territoty-based communities (small municipalities, neighbourhoods) can build their monetary authority.

For the first time the Central Bank of Brazil recognised the existence of this tool called “community banks and social money” and their important as social technology which generates financial inclusion.  With this, community banks will be less vulnerable, both from the formal viewpoint – as definitions on their function, methodology, characteristics, attributes, goals and concepts are established – and SENAES closed a cooperation agreement with the Central Bank also for the more social visibility to be achieved.

At this moment, a working committee and the work agenda it will realise by itself are being created.  With the concretisation of the partnership there will be the elaboration of norms which should orient actors who want to know, support and develop community banks which use social money.  SENAES is proposing the realisation of five public hearings so that the society should join, together with the solidarity economy movement, in the sense to warrant the more participation in the elaboration of referred norms.

On the basis of this agreement, the community bank initiatives under way win a new institutional framework, enabling the realisation of new strategic partnerships for their development.  On top of that, these banks will be benefitted with the enhancement of of incentive and promotion policies, and the institutional environment will be quite favourable for the consolidation of such policies, which means that public resources for training activities, technical assistance and adequate credit lines.

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By Mario Osava

IPSnews

RIO DE JANEIRO, Jan 15, 2010 (IPS) – The initiatives were already there, in the form of cooperatives and a variety of related activities. But they have a new connectedness thanks to the growing solidarity economy, which has opened up new horizons for alternative forms of production and social relations.

The Fio Nobre Cooperative, founded 15 years ago by Idalina Boni, evolved from craftsmaking to textiles, and now produces shirts, blouses, t-shirts, skirts, pants, shorts, dresses and handbags, as well as accessories like necklaces, in Itajaí, a port city in the southern Brazilian state of Santa Catarina.

Once Fio Nobre reached a certain quality level, thanks in part to a fashion designer, it began to export its products. The cooperative already has contacts in Italy and France, and in February Boni will travel to Spain to market its goods.

Before setting up Fio Nobre, Boni was active for years in rural, community health and human rights movements, based on her belief in liberation theology, a progressive current in the Catholic Church that works to empower the poor.

“When you’re young, you think you can change the world,” she told IPS.

But unemployment forced her to come up with a project that could bring in an income on which to survive while she continued her efforts “to at least improve the world,” she said.

That gave rise to Fio Nobre and the organisation of an organic clothing production chain stretching from cotton farming to the final sale, under the Justa Trama brand name.

A number of other collective initiatives based on cooperation and self-management, and free of the employer-employee relationship, have networked at the World Social Forum, whose annual editions were held in 2001, 2002, 2003 and 2005 in the southern Brazilian city of Porto Alegre, where it first emerged.

The Brazilian Solidarity Economy Forum (FBES) emerged at the 2003 WSF, which coincided with the start of the government of leftwing President Luiz Inacio Lula da Silva, who established a National Secretary of the Solidarity Economy (SENAES) under the Labour Ministry.

The movement in Brazil differs from those of other countries, because it combines three dimensions, said FBES executive secretary Daniel Tygel. Besides the economic aspect, which comprises self-management and the creation of cooperatives and networks, it includes a cultural dimension, related to consumption, gender relations and areas like free software, as well as a policy of social transformation.

In the long term, “we want to change the model of production and the direction of development, towards a model that is not harmful to life,” said Tygel.

Brazil’s solidarity economy ranges from agricultural production, which accounts for 60 percent of the groups linked by the FBES, to crafts, apparel, microcredit cooperatives, bankrupt companies that have been salvaged by workers’ cooperatives, community church projects and university incubators of solidarity businesses.

Although the solidarity economy currently represents a “paltry” share of the national economy, as Tygel acknowledged, it is growing fast, despite the scant government resources dedicated to supporting its development.

But although SENAES has a tiny budget, cooperatives and related initiatives also receive financial support from the ministries of Agricultural Development, Social Development and others.

Forging connections between the numerous and varied small local initiatives and making headway in terms of marketing and sales are the big challenges facing the solidarity economy.

But there are successful examples of integrated production chains and networks, like Justa Trama, in which the need to secure raw materials produced under the same shared principles – of horizontal labour relations and environmental sustainability – brought together several textile cooperatives and an association of more than 700 cotton farmers.

Justa Trama and the solidarity economy movement fuelled “the quantity and especially the quality of Fio Nobre’s production,” said Idalina Boni. The cooperative’s output climbed from 1.5 tons in 2005 to eight tons in 2008.

The production chain runs from the “ecological cotton” grown by family farmers in nine municipalities in the northeastern state of Ceará through a textile cooperative that makes yarn and fabrics in the southeastern state of Minas Gerais to three garment-making cooperatives in the south.

Buttons, collars and other components, meanwhile, are made from seeds gathered by members of another cooperative in the Amazon jungle state of Rondonia.

The biggest hurdles faced by organic farming cooperatives are marketing and selling their products.

In the northeast, Brazil’s poorest and driest region, the Xique Xique network of community-focused and solidarity-based marketing, which takes its name from a local cactus, facilitates the marketing of products by family farmers in the state of Rio Grande do Norte, organised in hundreds of groups, which make up nine larger cooperatives.

Agroecology, women’s rights and empowerment, and the solidarity economy are the “three main focuses” of the fast-growing network, which links production and trade, said Viviana Mesquita, a local technical assistant with SENAES.

“Women have a greater vocation for the solidarity economy,” but their strong presence in Xique Xique is also due to the local activity of the World March of Women, said the activist, a sociologist who has been active in the community organising and environmental movements. (END)

A lot of small persons, in a lot of small places, doing small things, will move the face of the world.

(African proverb)

To Networks, Forums, Economy Solidarity Enterprises and partner organizations,

It is with great joy and renewed enthusiasm that we invite Networks, Forums, every economy solidarity enterprises and partner and supporter organizations to the big events that will play an important role in the history of the World Social Forum: Social Forum 10 years – Porto Alegre and neighbor cities, from January 25th to 29th of 2010.

The 1st World Solidarity Economy Market and the 1st Solidarity Economy Social Forum adopt the methodology of the World Social Forum. This methodology is participative, interactive, self-managed and transforming. It has as a goal the construction of “another possible world” through “another economy that already exists”. The aim of our mobilization is to make visible the whole path of the Solidarity Economy, during these 10 years of World Social Forum.

The 1st World Solidarity Economy Market is a great space and a mobilization collectively built through committees – formed by enterprises and partners entities – in a participative interactive and self-managed way. The process of exchanges happens in different ways: by the dialog among the groups and the public, by the sharing of experiences lived and collectively built and by the important spaces of formation and interaction among the participants. The direct commercialization, at this space, happens in a solidarity and interactive way. The consumer is a partner when he or she decides for the ethics and solidarity consume of products free of work exploration, of pesticides, chemicals addictives and products that offends the life quality.

The 1st Solidarity Economy Social Forum and the 1st World Solidarity Economy Market will work, nationally and internationally, in a transversal way and in a multiplier process with the World Economy Solidarity Networks. The Organizer Committee and the Thematic Committees which are in Santa Maria take will apply the local dynamic accumulated in more than 16 years of Markets and Solidarity Economy and Self-Management Meetings. There is, also, the Coordination of the 1st Solidarity Economy that is dialoguing with Networks and Forums to prepare the event. Thus, in order organize these World Events; there is a big network including governmental and non-governmental entities and organizations which are contributing greatly. This is a national and international prophetic reply to the arbitrary judicial decision that canceled the 16th FEICOOP and the 5th Solidarity Economy Market, in July of 2009, in Santa Maria – RS – Brazil, due to the Influenza H1N1.

While we prepare to meet ourselves in January, we ask you to do your registration through the papers annexed or on the home page www.fsmecosol.org.br. Bellow there are important pieces of information to do the registration. More information, look at the specific paper.

  • 1st Solidarity Economy Market – Santa Maria: registration until January 10th of 2010. Each enterprise that commercialize its products will be invited to contribute with 5% of the gross sales, in order to help with the organization and structure expenditures of the International Events.
  • 1st International Showing about Biodiversity – Santa Maria: registration until January 10th of 2010.
  • 1st Solidarity Economy Social Forum:

A-   Self-managed activities and experiences spaces: registration until January 10th of 2010.

B-   Individual registration: Registration until January 10th of 2010. Each individual registration has a contribution of R$10,00 to be deposited in a specific bank account.

C-   Registration of organization: Registration until January 10th of 2010.

Each enterprise will be responsible for its transportation, food and hosting expenditures

Welcome to the World Solidarity Economy Events that will reinforce our World Solidarity Economy Networks in order to construct a Sustainable and Solidarity Development Project.

Coordination of the 1st Solidarity Economy Social Forum

For more information and registrations:

E-mail: ecosol@fsmecosol.org.br

Site: www.fsmecosol.org.br

Project Esperança/Cooesperança

Address: Rua Silva Jardim, 1704 – 97.010-490 -Santa Maria- RS – Brasil

Telephone/Fax: 55 3219-4599 /3222-8275/3223-0219

E-mail: projeto@esperancacooesperanca.org.br / projespcooesp@terra.com.br

Site: www.esperancacooesperanca.org.br

By Luiz Inácio Lula da Silva

Published: March 9 2009 19:52 | Last updated: March 9 2009 19:52

For me, capitalism has never been an abstract concept. It is a real, concrete part of everyday life. When I was a boy, my family left the rural misery of Brazil’s north-east and set off for São Paulo. My mother, an extraordinary woman of great courage, uprooted herself and her children and moved to the industrial centre of Brazil in search of a better life. My childhood was no different from that of many boys from poor families: informal jobs; very little formal education. My only diploma was as a machine lathe operator, from a course at the National Service for Industry.

I began to experience the reality of factory life, which awoke in me my vocation as a union leader. I became a member of the Metalworkers’ Union of São Bernardo, in the outskirts of São Paulo. I became the union’s president and, as such, led the strikes of 1978-1980 that changed the face of the Brazilian labour movement and played a big role in returning democracy to the country, then under military dictatorship. continue reading…

Banco Palmas, Fortaleza, Brazil

A short video with English subtitle on the Banco Palmas, a community bank at a neighbourhood of 35,000 inhabitants at Fortaleza, Brazil which gives microcredits in their own social money.  Further infor: http://www.bancopalmas.org.br/ (in Portuguese)