Banking should focus on microcredit, says President of Cabo Verde

6 May 2016

Commercial banks should focus on microcredit and development banks should be set up to boost the growth of the social economy in the Portuguese-speaking countries, said Thursday the President of Cabo Verde (Cape Verde) in Praia.

Jorge Carlos Fonseca stressed the “important and essential” contribution of the economy promoted by cooperatives, mutual associations, community associations, foundations and others in developing countries.

“The icing on the cake would be ‘banking’ of the microcredit system, including the clearing house,” he said while addressing the representatives of Portuguese-speaking countries during the opening session of the 1st Congress of the Social and Solidarity Economy of the Portuguese-speaking countries, which runs until Saturday in the Cape Verdean capital.

Jacinto Santos, president of the non-governmental organisation Citi-Habitat, cthe host of the congress, told Portuguese news agency Lusa that one of the objectives of the Congress was to lay the foundations for an overall assessment of the weight of the social economy in the Community of Portuguese-speaking Countries (CPLP).

Present at the opening of Congress, the representative of the United Nations system in Cabo Verde, Ulrika Richardson stressed the positive results of the mixed model of this type of economy (public, private, social and charitable) in northern European countries such as Denmark, the Netherlands, Finland, Norway and Sweden, where the social and solidarity economy accounts for about 35 percent of gross domestic product. (macauhub/CV)