Regional Fisheries Livelihood Program (RFLP) (GCP/RAS/237/SPA) Output 5: Facilitated access to microfinance services for fishers, processors and vendors. FAO-Commissioned APRACA FishFinance Scoping Mission A consolidated report of the results and recommendations of the APRACA National Consultants from the six (6) countries covered by the RFLP. This document is an output from a project funded by the Ministerio de Asuntos Exteriores y de Cooperación (MAEC) of Spain and implemented by the Food and Agricultural Organization (FAO). The views expressed here are not necessarily those of the MAEC neither of the FAO. Consolidated by: Xavier Tezzo February 2011 1 TABLE OF CONTENTS List of Acronyms.......................................................................................................... 8 List of Figures ............................................................................................................ 11 Currencies ................................................................................................................. 12 Introduction .............................................................................................................. 13 Background ................................................................................................................ 13 Purpose of the scoping mission ................................................................................ 14 Consultancy team and schedule of activities ............................................................ 15 Structure of the report .............................................................................................. 17 A/ Kingdom of Cambodia/ Preăh Réachéa Anachâk Kâmpŭchéa .......................... 18 Summary ................................................................................................................... 18 List of Acronyms ........................................................................................................ 20 List of Tables .............................................................................................................. 20 List of Figures ............................................................................................................ 21 1. Country context ..................................................................................................... 22 1.1. Country profile at a glance ............................................................................... 22 1.2. Microfinance sector development ................................................................... 23 1.3. Microfinance actors, supervision and regulation ............................................ 24 1.3.1. Retail microfinance actors ...................................................................................... 24 1.3.1.1. Non-governmental organizations (NGOs) ..................................................................... 24 1.3.1.2. Licensed microfinance institutions (MFIs) ...................................................................... 25 1.3.1.3 ACLEDA Bank ................................................................................................................. 25 1.3.1.4. Informal finance ............................................................................................................ 26 1.3.2. Wholesale microfinance actors ............................................................................... 26 1.3.2.1. Rural Development Bank (RDB) ..................................................................................... 26 1.3.2.2. Other Commercial Banks ............................................................................................... 27 1.4. Microfinance funding and supporting organizations ....................................... 28 1.4.1. Funding organizations............................................................................................. 28 1.4.2. Supporting organizations ........................................................................................ 28 2. APRACA Scoping Mission ............................................................................... 29 2.1. Geographic coverage ........................................................................................ 29 2.2. Survey process .................................................................................................. 34 2.2.1. Survey Team ............................................................................................................ 34 2.2.2. Survey tools ............................................................................................................. 37 2.2.3. Survey schedule ....................................................................................................... 39 2.3. Results, analysis and interpretation of the survey ........................................... 40 3. APRACA recommendations to achieve output 5 ........................................... 56 3.1. Develop appropriate financing arrangements for fishers ................................ 56 3.1.1. Facilitated access to MFI’ services for low-income small-scale fishers ................... 57 3.1.2. Facilitate access to community-based credit and savings groups .......................... 58 3.1.3. Build the culture of personal and family savings .................................................... 60 3.1.4. Influence and create change in the mind-set and life style .................................... 60 3.1.5. Potential MFI partner .............................................................................................. 61 2 3.1.6. Potential NGO partners ........................................................................................... 62 3.1.7. Creating better market for local community fishers ............................................... 63 3.2. Recommended microfinance integration approach ........................................ 63 3.3. Suggested pilot sites and priorities of strategic responses for output 5 ......... 64 3.4. Recommended RFLP action plan under output 5 ............................................ 65 B/ Republic of Indonesia / Republik Indonesia ...................................................... 68 Summary ................................................................................................................... 68 List of Acronyms ........................................................................................................ 70 List of Tables .............................................................................................................. 70 List of Figures............................................................................................................. 71 1. Country Context ............................................................................................. 71 1.1. Country profile at a glance ............................................................................... 71 1.2. Microfinance sector development ................................................................... 72 1.3. Microfinance actors, supervision and regulation ............................................ 73 1.3.1. Regulated microfinance actors ............................................................................... 73 1.3.1.1. Commercial Banks ......................................................................................................... 73 1.3.1.2. Licensed Bank Perkreditan Rakyat (BPR) ....................................................................... 74 1.3.2. Non-bank financial institutions ............................................................................... 75 1.3.2.1. Perum Pegadaian .......................................................................................................... 75 1.3.2.2. Badan Kredit Desa (BKD) ............................................................................................... 76 1.3.2.3. Lembaga Dana dan Kredit Pedesaan (LDKP) ................................................................. 77 1.3.2.4. Koperasi (Cooperative) .................................................................................................. 77 1.3.2.5. Yayasans (Foundations) ................................................................................................. 78 1.3.2.6. Informal arrangements.................................................................................................. 79 1.4. Microfinance funding and supporting organizations ....................................... 80 1.4.1. Funding organizations............................................................................................. 80 1.4.2. Supporting organizations ........................................................................................ 80 2. APRACA Scoping Mission ............................................................................... 83 2.1. Geographic coverage ........................................................................................ 83 2.2. Survey process .................................................................................................. 84 2.3. Background information .................................................................................. 86 2.3.1. Fishery background ................................................................................................. 86 2.3.2. Microfinance background ....................................................................................... 87 2.4. Results, analysis and interpretation