Abstract
This chapter discusses the communication dynamics of women involved in microfinance projects that contribute to the success or failure of the projects in three cases. Specifically, the study (1) identifies the factors that lead to the success or failure of these projects, (2) identifies the MED (micro-enterprise development) lending methodology used in each case by presenting the key characteristics of the three cases, and (3) presents the communication dynamics of women involved in microfinance projects in the context of culture as a model for women empowerment. Using the paradigm model of the grounded theory approach to social science research, the study shows the relationship between and among different variables, namely: origin, development initiative, situation, intervening variables, intervention strategies, and outcomes. The communication dynamics model for women empowerment presented shows how the factors of success and failure lead to empowerment or no empowerment. There is also no empowerment when conditions are oppressive or too lenient.
TopIntroduction
Despite advancements in Information, and Technology (ICT) and even in artificial intelligence (AI), poverty is still prevalent in most parts of the globe, the Philippines not being any different. People in Third World countries are in want of basic necessities of life that people in First World countries take for granted. Despite the promising prospects of the Philippines in the 1950s, it has remained poverty stricken.
The Philippine Statistics Authority (PSA) reports that poverty incidence among the population was estimated at 23.7 percent in the First Semester of 2021. Fisherfolk and farmers have the highest poverty incidences, where the proportion of poor families whose per capita income is not sufficient to meet basic food and non-food needs. The top three basic sectors with the highest number of poor population in 2021 were (a) individuals residing in rural areas, 13.67 million; (b) children, 10.46 million; and (c) women, 9.99 million (PSA, 2023).
Traditional notions of the role of women in the household or in the community have likewise added to this widening gap between the rich and the poor. Poverty alleviation projects involving women, geared towards the improvement of the quality of life of people are very minimal. Such efforts however, have not gone unnoticed. In fact, the World Bank (WB) has looked into the potential of women participation in development as a means to alleviate poverty in Third world countries (Fernandez, n.d., p. 159).
The author’s concern for women sparked the interest for this research, not only because of the more disadvantaged group, but they also suffer from inequities. Women also comprise half of the world’s population and constitute a huge reserve of human power that can be harnessed for sustainable development and alleviate poverty in the country. It is unfortunate that the vast potential of women remained untapped and underutilized.
Numerous innovations and development projects geared towards women have been implemented across various parts of the Philippines. It is unfortunate that very few of these have conducted analysis on its impact and implications not only on the environment but also on the members of their group.
Evaluation studies of development interventions have shown that many projects have very mixed, and in many cases, detrimental consequences to women. These interventions are often based on the “assumptions of women’s ‘inherent’ responsibility for the care of the family and the household, and the nature of female-male economic and social relations, and appropriate notions of employment, economic activity and income, and many of these projects far from increasing women’s welfare were actually undermining it” (WEMTOP, 1992, p. 3).
Data from the PSA (2016) show that women comprise about 25% of workers in the agricultural sector from 2007 to 2016. It may not accurately capture women’s work in agriculture in the official data, as it is considered as extensions of their household tasks and therefore not reported as “work.” Hence, women continue to be unaccounted for in agriculture work when in fact they continue to participate in unpaid family work in agriculture in larger numbers than that of men.
The PSA, in its 2019 List of Establishments, recorded 1,000,506 business enterprises operating in the country, with 99.5% (995,745) are Small and Medium Scale Enterprises (SMSEs). The Department of Trade and Industry recorded a total of 630,688 business name registration (new and renewal); 55.8% (352, 181) were women-owned/run (Department of Trade and Industry [DTI], 2019).
Key Terms in this Chapter
Marginalized Community: Landless poor that engage in small business an often neglected in the economic world that results to the movement in the o called “underground economy” and these microentrepreneurs resort to high interest credit of banks, money lenders, loan sharks, and credit unions since they have no alternative source.
Participation: Sharing of interests through attendance in meetings and payment of loans.
Flexibility: Adaptability to the changing times.
Appreciative Inquiry: A capacity building process that begins by: (a) valuing the organizations or community and the culture in which it is embedded; (b) learning about the organization or community, its relationships and its environment; and (c) discovering the building upon existing strengths.
Mutual Trust: Achievement of social consensus.
Intervening Variables: Are general conditions being upon intervention strategies. These conditions include key characteristics, time, space, culture, economic status, technological status, career, history and individual biography (refers to intervening conditions ).
Origin: The event and situation that lead to the development initiative (refers to causal conditions ).
ASA: Acronym for Association for Social Advancement which in Bangla means “hope.”
Accountability: Self-group pressure to influence behavior.
Culture: Total way of life of people which includes: political, social, economic, religious, and education.
Intervention Strategies: Grounded theory is an action/interaction-oriented method of theory building. These intervention strategies are directed at managing, handling, carrying out, and responding to a development initiative, as it exists in a situation. The interaction component refers to self as well as other interaction. It has certain dimensions: 1) It is a process. It can be observed over time, in terms of consequences or in terms of movement; 2) the intervention strategies is goal-oriented and has a purpose - as an action or to manage a phenomenon; 3) It is also as important to look into failed intervention strategies; 4) Intervening variables that either help or hinder intervention strategies must be looked into (refers to action/interaction strategies ).
Grameen Bank: “Village bank” established by Prof. Yunus in Bangladesh that has been replicated worldwide; it provides credit to the poor without need for collateral.
DALSAKA (Dalan sa Kalambuan, Inc.): An organization in General Santos City (GSC) that extend credit to marginalized communities; roughly translated, it means “road to progress.”
Development: Increased purchasing power of an individual, and improved way of life (i.e. more material things at her disposal).
Development Initiative: Refers to the main idea, situation, happening about which a set of intervention strategies is directed at managing or handling or to which the set is related (also refers to the phenomenon ).
Project Assistants/Bank Workers: Partners in the Grameen rural microfinance, who facilitate the loans and payment of members’ dues (refers to AO, CO/LO ).
Credibility: Trustworthiness.
Grameen: Means “village” in Bangla.
Client: People who avail of credit from microfinance organizations such as CRBA, DALSAKA and Katuwang, (refers to member ) to be used for microfinance projects.
Creativity: Use of appropriate media and innovative ideas to improve service to clients.
Situation: Presents the specific set of characteristics that pertain to a development initiative that is the location of happenings or events about it, along a dimensional range. Situation also means the set of conditions within which the intervention strategies are done to carry out, manage and handle specific development initiatives. The situation includes the following: intensity, duration, location, and obtained help (refers to context ).
Credit Institutions: Lending institutions such as GBRP, DALSAKA or Katuwang that provide credit or loan to be used for microfinance projects of clients or members (refers to MED lending organizations ).
Microfinance Projects: Small business ventures engaged in by women to improve their quality of life.
Dynamics of Communication: Whole communication process of exchanging verbal or non-verbal signs, symbols and messages to share meaning in the context of culture; action/interaction and transaction between and among members/clients, bank workers or AOs/COs/LOs.
Trust: Respect for the person and belief in his ability to keep his word or abide by his decisions or pledge.
Outcomes: Actual or potential results that may happen in the present or the future that may become part of the situation (or intervening variables) affecting the next set of intervention strategies occurring in a sequence. Whatever outcomes of intervention strategies now to handle a development initiative may become part of future situation (refers to consequences ).
Katuwang: Filipino word meaning “helpmate.”
Lived Christianity: Showing Christian tenet of “love thy neighbor” by words, thoughts, and deeds.
Micro-Enterprise Development (MED) Lending Organizations: Organizations such as the (1) Cooperative Rural Bank of Aklan (CRBA); (2) Dalan sa Kalambuan (DALSAKA); and, (3) Katuwang Resource Center, Inc. that extend credit to marginalized communities without collateral to help in the alleviation of poverty (refers to credit institutions ).
Poverty Alleviation: The upliftment of social and economic status of an individual in society.
Respect: Honoring the person’s decision-making capabilities and judgment.
Vela Approach: An approach to adult education adopted by DALSAKA, using Appreciative Inquiry (AI) that was developed in the mid-1970s by David Cooperide and his colleagues in the Department of Organizational Behavior at the Weatherhead School of Management, Case Western Research University., Cleveland, Ohio, USA.
ED: Executive Director, heads the operations and management of the organization.
Katuwang Resource Center, Inc.: A Christian organization that provide credit to marginalized communities.
Grameen Bank Replication Projet (GBRP): Application of the Grameen Bank method/technology outside Bangladesh.
Public Decisions/Pledges: Public declaration to abide by the philosophy and principles of Grameen Bank.
Loan Officer (LO): Also refers to the Account Officer, Account Executive, Bank Worker or Community Loan Officer or Extension Worker (refers to Community Officer ).
Communication: Verbal and nonverbal exchange of signs and messages to share meaning with others.
Account Officer: Bank worker directly involved with the clients; collects payments and dues and assists clients (refers to Community Officer/Credit Officer/Project Assistant ).
Empowerment: These are manifested in three ways: a) person has self-confidence to be heard; b) person is given space to express herself; c) others listen and give room for the person to speak and act. These can be evident in the improved way of life in terms of political, economic, social, religious and educational aspects, namely, 1) women are able to express themselves freely; 2) they are part of the planning, management and control of resources; 3) they have increased purchasing power; 4) their children are able to go to school and, 5) they are able to afford home improvements and increased credit; 6) they are able to pray and worship God freely and not forcibly; and, 7) they are also able to participate in the conduct of organization in policy formulations and attendance in trainings.
Microfinance: “Small monetary infusion” provided as an additional capital for small and medium scale enterprise production that will increase income or returns (refers to credit ).
Community Officer/Credit Officer (CO/LO): Bank worker directly involved with the clients - collects payments and dues and assists clients (refers to Project Assistant ).