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Complimentary Income Generation Scheme (CIGS)

BACKGROUND

After three years of implementing GSOP it has been realized that the employment and cash income generated through the labour intensive public works (LIPWs) may not be sustained after the agricultural off seasons and also after Project completion. In order to address this challenge there is the need to institute an income generation scheme as a complimentary intervention under GSOP. Additionally it was realized the cash transfers under LEAP could not move beneficiaries out of poverty. It was against the backdrop that the Complimentary Income Generation Scheme is being implemented by the Ministry of Local Government through the Ghana Social Opportunities Project.

DESCRIPTION OF COMPLIMENTARY INCOME GENERATION SCHEME

The complimentary income generation scheme will support the transfer of technical, managerial and financial resources for the development of income generating activities that will be managed and owned by poor individuals who have shown traits of self - empowerment and enterprising efforts after benefiting from the Livelihood Empowerment Against Poverty (LEAP) programme and/ or the Labour Intensive Public Works (LIPWs) programme for their economic and social well – being.

DEVELOPMENT GOAL

The goal of the Complimentary Income Generation Scheme is to improve GSOP exit strategy by creating opportunities for LIPW/LEAP beneficiaries to graduate out of extreme poverty.

SPECIFIC OBJECTIVES

     To consciously target and support LEAP and LIPW beneficiaries who show entrepreneurial traits by applying a portion of their earnings from participating in LIPW/LEAP activities to micro-enterprise activities
     To assist targeted extreme poor and vulnerable enterprising individuals to cultivate a savings culture
     To provide financial support in the form of grants and loans  and technical assistance to  the targeted beneficiaries to  start  micro enterprise activities or improve upon existing activities in order to accelerate their efforts at improving significantly their chances of graduating out of extreme poverty.

GEOGRAPHICAL COVERAGE

The Scheme shall be piloted in four (4) Districts. 

MAIN ACTIVITIES

The main activities to be carried-out are:
I.    Training in Technical and Vocational skills and Business Support
II.    Provision of Grants and loans to individuals for establishing or expanding their micro-enterprises.

TARGET BENEFICIARIES

1.    Individuals that have undertaken labour intensive public works (LIPWs) and have on their own started an income generation activity (including petty trading)
2.    Individuals that have made some savings from their LEAP/ LIPW earnings and have on the own started or willing to be trained   to start a viable income generation activity.

INSTITUTIONAL ARRANGEMENT
Institutions that will provide technical and administrative support to beneficiaries on the CIGS include the following:
Regional Level:
The GSOP Regional Coordinating Offices shall spearhead implementation with technical backstopping from the National Office

District Level:
At the District level the key collaborating Agencies shall be Ministry of Agriculture (MOFA), Business Advisory Services (BAC), Department of Social Welfare and Community Development, Rural and Community Banks, NGOs in Business Development and Owners and Operators of micro-enterprises.
Community Level:
The key collaborating Institutions shall be the Community Credit Oversight Committees, MOFA Extension officers, NGOs in Business Development 

ELIGIBLE ACTIVITIES
The eligible income generation activities under the scheme are:
1.    Fish Farming - Cage fish farming and Pond Fish farming
2.    Fruit cultivation and processing (pineapple, watermelon, citrus)
3.    Vegetable cultivation and processing
4.    Bee Keeping and Honey production.
5.    Snail farming
6.    Mushroom farming
7.    Poultry (including Guinea Fowls)
8.    Improved breeds of small ruminants (Rabbits, Goats and sheep)
9.    Piggery
10.    Vegetable oil production (shea butter, groundnut oil, palm oil and palm kernel oil
11.    Herbal beverage production (noni, voacanga, dandelion, moringa etc)
12.    Handicrafts production
13.    Soap making, pomade, creams, and herbal lotions and ointments
14.    Petty trading (LIPW and LEAP beneficiaries currently trading in products/produce targeted for production by beneficiaries of Scheme).
15.    Cultivation of vertiver grass for basket weaving.
16.    Improvement of existing tree crop    for increased production (mango, cashew, Cocoa and citrus).

WHO QUALIFIES FOR PARTICIPATION IN THE PROGRAMME?
1.    LEAP and LIPW beneficiaries who have shown entrepreneurial traits and are willing to undergo skill training in any of the eligible income generation activities
2.    LEAP and LIPW beneficiaries who have made some savings from their earnings and are willing to undergo skill training in any of the eligible income generation activities
3.    LEAP and LIPW beneficiaries who are not in default of any institutional loan.

REGISTRATION AT COMMUNITY WORKSHOP
The entry point for participation in the scheme is registration after each community sensitization workshop by GSOP RCO and District collaborating institutions. 
PROCEDURE FOR SOURCING LOANS AND GRANTS BY BENEFICIARIES  
The steps to be followed in requesting for support from the scheme are: 
1.    Participate in skill training organize by District Assembly
2.    Complete a loan and grant application form with assistance from the   District Business Advisory Centre (BAC) or District  MOFA offices 
3.    Submit  completed loan and grant  application form to the nearest Accredited Rural/Community Bank 

BENEFITS OF SCHEME
1.    Individuals will acquire skills to engage in livelihood activities and self- employment.
2.    Financial support (loans and grants) will enable individual acquire productive assets and working capital to support livelihood activities and improve on their income levels and general standard of living.