The SIMS (Social innovation and mutual learning on Micro-savings in Europe)

The specific objectives of the project are to:
-    Develop, test and evaluate socially innovative approaches aiming to promote micro-saving (savings made by low-income or poor people) as a tool for social inclusion in four European countries  
-    Strengthen the participation and networking of all key actors involved in the process (public bodies, local authorities, NGOs, financial services providers, etc)
-    Provide evidenced based data on social experiments implemented and information on transferability aspects to a wide range of stakeholders
-    Intensify mutual learning on micro-savings related policies aiming at social inclusion
-    Increase policy makers awareness and information based on social experimentation findings to facilitate the adaptation of public policies to evolving social needs
These working methods will be implemented within the project activities, divided in four categories that are:
Pilot experiments on micro-savings implemented in four European countries
Four pilot experiments will be implemented simultaneously over a twelve month period in Belgium, France, Hungary and the United Kingdom to test innovative programs promoting savings among targeted vulnerable groups. These social experiments will test different financial education and asset building methods in order to identify interventions that are effective at encouraging targeted groups to save.
Sharing this common objective, national experiments are established with local collaborative partners and stakeholders and designed according to the country social, economical and cultural context in order to meet the specific targeted group needs in a suitable and adequate way.
To do so, the following tools will be used alone or in combination within the four experiments: financial education and training programs, mentoring support and provision of financial incentives to save (matching programs).

The program implemented in Hungary will promote saving among poor and historically underprivileged groups, such as the Roma. The proposed project will test and compare the relative effectiveness of three different financial education and asset building methods:
•    CAF Method: In this technique members of a community are guided and mentored in financial management and form a cooperative where money is pooled from each member of the group and then loaned out to provide capital as is seen fit for various business or asset building measures. No money is transferred in from outside of the group. Because each member of the group must rely on one another for success this method builds solidarity among the participants and serves to educate the members in the practice of planning and managing money.
•    Bank of Chance: Revitalization and operation of three groups set up in 2009. New loan products will be tested in these groups. Mentors employed in the program will assist the operation of the groups. Financial education is integral part of the model. Training courses will be organized on monthly basis. Besides the asset building loan ‘crisis loan’ will be designed to avoid the overdebdtness and fight against the illegal money-lenders.
•    Housing Program: This technique involves a loan being made to improve some crucial part of the recipient’s largest asset – their house. A direct way to improve living conditions among the poor is to address their sub-standard housing conditions. This method aims to repair salvageable houses so that they can provide an adequate living space and serve as an asset, not a hindrance to the occupant and the community. Each recipient must “pre-save” a predetermined amount of money to demonstrate their motivation and qualify for the loan. This is coupled with direct financial education courses to instill good habits and teach the principle of saving.
Projects will be implemented in nine rural settlements in various regions of Hungary. Autonomia’s main target-group are the Roma. Therefore, the selected settlements have to have significant (more than 20 percentages) Roma populations. There will be one exception: Romaversitas is a virtual college for Roma university students. It is rather a community than a formal college. CAF-model will be tested with a group formed of students here.
In the program, Autonomia will cooperate with the following partners (service providers): Mikrohitel P.L.C (financial enterprise, responsible for loan providing), partner of the project, local municipalities (identifying participants, communities; social workers employed by them) ; Romaversitas (providing organizational background for CAF-group) Hungarian Association of Community Developers (implementing one local project and mainstreaming the experiences gained in the program).
Table 1: Number of participants:
CAF-model    24-36 participants    3 groups; 8-12 members per group
Bank of Chance    18-36 participants    3 groups; 6-12 members per group
IDA-Housing program    45 participants    3 settlements to be involved from the existing 8; 15 participants per settlements

For the CAF-model, participants are recruited by employed mentors who assist the finding and setting up of communities. Mentors are close to the targeted communities (Roma leader of a local community in Cserehát region, North-Hungary and Tolna county, South-Hungary – location to be identified after the launch of the program.)
For the Bank of Chance model, groups have been set up in 2009. Since that year the groups are waiting for the continuation of the program. These groups have 6-9 members. In the project, these groups will be revitalized, new members recruited and new product will be tested in the project. Enrollment of new members is feasible goal with available loan product and funding of community based programs.
For the IDA-Housing program, beneficiaries are enrolled by the local mentors who fill the questionnaire with the applicants, selection committee making decisions on the applications based upon the economical, social data, the opinion of local mentor.
The overall aim of the program is to compare the different methods to find which method can be used the most effective way in the case of different target groups. CAF method is unknown in Hungary. The program aims adapting the method to the Hungarian circumstances.
Pilots experiments evaluation
The evaluation of the four social innovation experiment pilot programs will be carried out by a dedicated external evaluator (CREDOC) in collaboration with the national coordination partner and RFA.
The objective of the evaluation is to measure the impact of the experimentation on savings behaviours and budgetary skills in each country (France, Belgium, UK and Hungary), taking into account the national background and specific objectives of each project. The evaluation will lead to a compared analysis of the effects of the different projects, depending on the public targeted, the tools used… The learnings of the evaluation will also help to improve mutual knowledge and public awareness on the issue.
The evaluation will thus focus on understanding and analyzing:
-    how the projects were initially implemented,
-    how relevant the actions and tools implemented are,
-    and what are the effects on stakeholders and partners.
These analyses will help make recommendations on the possibility and the ways to extend the process.

MUTUAL LEARNING EVENTS & STAKEHOLDERS NETWORKING

From the very start, a stakeholder’s network including the 29 project partners but also other stakeholders will be built and activated. Members of the network will be provided with information about the project as it runs and will be invited to get involved in the mutual learning process by attending the mutual learning events organized within the project and sharing interest and information about similar pilot experiments they are running.
To do so, the “who is who” database from the “Mutual learning on financial inclusion” project (VS/2007/0623 SI2.483243), listing stakeholders interested on the financial inclusion issue (governments, governmental organisations, financial institutions, trade unions, NGO’s or others) will be used. The current database will be updated by project participants to include additional stakeholders involved or interested in savings promotion as a tool for social inclusion.
In order to enhance mutual learning on social innovation experiments carried out within the project and other experiments with similar purposes implemented in Europe or abroad, a two days event will be organized in Brussels gathering 150 stakeholders. Five different workshops will be running simultaneously the first day and a conference plenary session will present workshops results and main project findings the second day.

Stakeholders of the “who is who” list will be informed about the workshop and conference organisation. Their interest regarding the workshop and conference contents will be enquired. Also, they will be invited to participate in workshops that meet their interest.

Each workshop will be very participative and sharply alimented by the analysis of the pilot project experiment results and will allow for 30 relevant stakeholders and policy makers to share expectations, knowledge and experience on the selected issue.
 
Workshops themes and objectives will be jointly decided after social experiments have been evaluated. This way, they will fulfill the partners, stakeholders and/or government demands to address particular topics (for example: how to establish effective partnerships; which policy works/does not work/, depending on the circumstances, which learning is transferable; how to ensure mainstreaming; possible indicators to evaluate and monitor savings promotion and financial education policies; how to run a cost/benefit analysis to measure how far the protective dimension of savings can reduce public expenditures related to social protection mechanisms; …)

The workshops will ensure dynamic and participative dissemination and generate new knowledge regarding government and stakeholder’s collaboration and experience sharing.

The one day workshops session will be followed by a plenary conference session presenting essential conclusion from the project and workshops with the aim to provide stakeholders and policy makers with concrete information to learn, analyse and compare possible tools & policy measures in order to take appropriate decisions to improve social inclusion policy trough savings and financial skills promotion in their country.

Dissemination of the project results
In addition to the workshops and plenary session conference, dissemination of the project findings will be ensured by the production of various multilingual products (EN, FR and HU) designed for governments, key actors and the public at large.
The following concrete dissemination products will be produced within the project duration:
•    Development of project website (linked to the www.fininc.eu website) where the overall project and pilot experiments will be described, as well as country context elements. Pilot evaluation reports, information about workshops and conference and other dissemination products will be readily accessible;
•    10 web newsletters will be sent to partners and all stakeholders of the “stakeholders list” database to inform them about ongoing steps of the project, pilot experiments and evaluation process and tools available on the website and to invite them to share interest and participate to the workshops and conference.
•     Production of four national experiment evaluation reports (60 pages each) in national language of the concerned experiment   (EN, FR, HU) and in English.
•    Production of project final report (120 pages): that publication will include the transnational evaluation results and project conclusions and policy recommendations. It will be available in EN, FR, and HU.
•    Production and publication of a project executive summary (15 pages). It will summarise the essential points developed in the previous steps of the project (Pilot implementation, Pilot evaluation, country context & transferability). It will be designed to enable stakeholders and policy makers to analyse and compare possible measures in order for them to take appropriate decisions to improve social inclusion policy through micro-savings promotion. It will be published in 250 hard copy books and distributed at the transnational conference and via the partner organisations network. The hard copy book will be printed in English and will enclose a CD with electronic version of the four national evaluation reports (in EN and national language), the project final report (in EN, FR, HU) and the project executive summary in FR and HU.
•    Organisation of a European press-conference to announce the  transnational conference, to draw public attention on the current situation regarding the financial inclusion issues in Europe and European Commissions policies, objectives and initiatives to promote micro-savings in Europe as tool for social inclusion and equal opportunities.

Autonomia’s own contribution is provided by Levi Strauss Foundation.