Regarding the case study “Moulins Pères, Moulins Filles, Moulins Fils: A Revolving Fund in the Sahel,” we can examine in more detail how it illustrates the challenges and successes of local financing in the development context. This initiative, implemented by the NAAM groups in Yatenga (Upper Volta, now Burkina Faso), is presented as an “exciting innovation.”
CONCRETE CHALLENGES ADDRESSED BY THE INITIATIVE #
The main challenge identified was the arduous and time-consuming work of millet pounding for Mossi women. This task took up a significant portion of their time, particularly during periods of intense agricultural work, reducing the time they could devote to field work. Excessive fatigue resulting from this daily activity was also a major problem. In short, limited access to grain processing facilities negatively impacted agricultural productivity and women’s well-being.
REVOLVING FUND MECHANISM AND SUCCESS FACTORS #
Faced with this challenge, the NAAM groups set up a revolving fund for the acquisition of millet mills. The principle was simple but ingenious:
- Initial Financing by Village Contributions: The funds needed to purchase the first mill (“Moulin Père”) came from contributions from community members.
- Income Generation and Expansion: The “Father Mill” generated income through its use by the women of the village. This income was then reinvested into the creation of a new mill (“Son Mill” or “Daughter Mill”) which benefited another group or village.
- Solidarity and Social Pressure: The system was based on community solidarity. The beneficiaries of the first mills were encouraged by social pressure from those waiting their turn to quickly repay their contributions, thus allowing the acquisition of new mills for others.
- Autonomy and Local Ownership: This approach allowed communities to take charge of solving their problems without initially relying on outside help. The peasant women “invented a system that allowed the greatest number of people to benefit from the efforts of others.”
- Multiplication of Initial Resources: The initial donations potentially received from international aid were multiplied by the groups thanks to this rotating system.
LESSONS LEARNED FROM THE CASE STUDY FOR STRATEGIC RECOMMENDATIONS #
The “Moulins Pères, Moulins Filles, Moulins Fils” case study offers several valuable lessons to inform strategic recommendations to management teams:
- Identify and Build on Concrete Local Needs: The initiative’s success stemmed from a deep understanding of the needs of local populations (the arduous nature of millet pounding) and a solution adapted to their context. Strategic recommendations should encourage development approaches that start from local realities and the needs expressed by communities. It is crucial to “respect the internal approach of local groups by facilitating environmental studies.”
- Mobilizing Local Resources and Promoting Self-Financing: The initiative demonstrated the potential of local savings and contributions as a starting point for financing development. Strategies should aim to identify and mobilize endogenous financial resources, encouraging mutual aid and local financing initiatives before turning to external assistance. It is important to “first make the effort to find your initial financing LOCALLY.”
- Design Simple, Adapted, and Sustainable Mechanisms: The simplicity of the revolving fund and its community ownership contributed to its success. Recommendations should prioritize the design of financing mechanisms that are understandable, adapted to the local context, and have the potential to be sustainable in the long term, avoiding excessive dependence on external aid.
- Valuing Solidarity and Social Pressure: The case study highlights the role of traditional social mechanisms and solidarity in the success of local initiatives. Strategies could explore how to strengthen and build on these community dynamics to support development efforts.
- Adopt a Progressive and Replicative Approach: The concept of the “Father Mill” giving rise to “Son and Daughter Mills” illustrates a progressive and replicative approach to development. Strategic recommendations could encourage initiatives that, after initial success on a small (micro) scale, have the potential to be replicated and scaled up on a larger (macro) scale. However, it is important to note that “the addition of micro-successes does not automatically lead to regional development” and that moving from micro to macro is challenging.
- Importance of Local Management and Accounting: The mention of “accounts maintained by mill management committees” underscores the importance of transparent and accountable management at the local level to ensure the sustainability of the system. Strategies should include measures to strengthen local capacity in financial management and accounting.
- Reconsidering the Role of International Aid: The initiative suggests a new perspective on aid, where it could serve as a catalyst for local initiatives that perpetuate themselves through solidarity and community management. External aid should aim to support and strengthen people’s own efforts rather than replace them.