Quarterly Report Q1 FY21: Economic Inclusion Project

The project aims to build socioeconomic security for Venezuelan refugees and migrants in Peru and Ecuador, as well as members of the local communities they inhabit. Project activities are focused in the cities of Lima, Peru, and Quito and Guayaquil, Ecuador, which were selected due to the large populations of Venezuelan refugees and migrants in the areas. The project has three overarching objectives: to support and strengthen new and existing entrepreneurs by ensuring sustained income through self-employment; to facilitate access to employment through identification of market needs and skill development; and to increase access to financial services. To achieve these objectives, EIP has implemented various activities, including the EXPO EMPRENDE II virtual fair, which engaged 94 entrepreneurs and experienced 23,639 site visits. EIP has also adapted and expanded skill development programs, such as Escuela de Soñadores in Peru and Campamento Emprendedor in Ecuador, reaching 780 entrepreneurs in under seven months. Under Objective 1, EIP supported new and existing entrepreneurs in developing business administration skills, accessing capital and other financing mechanisms, identifying market segments, and growing their business. The Seed Capital Fund (SCF) was launched, awarding grants to 19 entrepreneurs ready to scale their businesses. Additionally, EIP worked with over 40 companies to train them on hiring Venezuelan professionals in compliance with local law, and revalidated the professional certifications of 507 Venezuelan refugees and migrants. Under Objective 2, EIP facilitated access to employment by advocating for the employment of Venezuelan refugees and migrants. EIP jointly worked on an employment guide for the private sector through the strategic workforce development committee. To ensure trained Venezuelan professionals could practice in their new host country, the SCF was used to revalidate their professional certifications. Under Objective 3, EIP increased access to financial services by training 875 beneficiaries in financial education, reaching individuals looking to improve personal finances and entrepreneurs looking to strengthen the financial health of their businesses. EIP also developed or adjusted eight financial savings, credit, and insurance products to meet the needs of vulnerable populations, reaching 3,618 beneficiaries. Additionally, EIP worked with credit unions to issue the first loans to Venezuelan entrepreneurs, who were previously excluded by financial entities from receiving any financial services or products. The project continued to apply considerations of gender inclusion and prevention of Gender-Based Violence (GBV) across all activities. Understanding the unique challenges faced by women, including in economic development, EIP accomplished over 60 percent participation of women in employment and workforce development activities. Throughout the quarter, EIP collaborated closely with key project partners, stakeholders, and worked with Venezuelan refugees and migrants and local vulnerable populations to build a self-sustaining and inclusive business enabling community, fostering long-term economic growth. The COVID-19 pandemic has significantly degraded the stability of Peru and Ecuador's economies, particularly affecting local vulnerable populations and Venezuelan refugees and migrants. EIP accelerated and scaled project activities to support local populations affected by the loss of income following increased unemployment and business closures. The project's activities are focused on addressing the socioeconomic integration of migrant communities, as underscored by the 2021 Regional Refugee and Migrant Response Plan.