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Participant 5
“There also crafters with the municipality, people sow and people are exhibiting their work. There was a festival that we just had that was hosted by development agency here in Alfred Ndzo in partnership with Winnie Madikizela local municipality, whereby the SMMEs, were exposed market where they exhibited their work. A lot of sales there were done because people came, even us
as government, servants. Also, there were funders that were invited or possible funders that were invited to be part of such. And also, SEDA, and DEDEAT, you know, of economic development. They are part of that Yeah. Where they would identify the gaps also. And try also to secure partnerships where, assisting ESMM is, you know Yeah. And communities are not folding hand and doing nothing. A lot is being done to assist and is true.”
Collaborative Economic Forums
Participant 6 emphasised the role of local development forums, where farmers, community members, and stakeholders come together to discuss economic challenges and identify solutions. These forums, such as the Local Economic Development (LED) forum and the Integrated Development Plan (IDP) forum, serve as platforms for capacity building, knowledge sharing, and collaboration to address the community’s economic needs.
Participant 6
We have forums. We’ll say I do have LED forum. Yes. Local development forum. where all the farmers and the community and the stakeholders relevant are sitting to address the needs of the people. We have the IDP forum. As a platform of sharing their frustration. As a platform of complementing each other. As a platform of capacitating itself. Yeah.
Participant 2
Diversification through Manufacturing
Participant 2 also reported that some community members have diversified their income by engaging in manufacturing, particularly producing aluminium windows and doors. This expansion into manufacturing has opened new income streams for rural entrepreneurs, providing additional employment opportunities and enhancing economic stability.
“I would say, manufacturing, plants if you like. Where now the business is of, into business of manufacturing aluminium windows and aluminium doors and such an such a business thrives now in the rural area. They are they are they are making more streams.
But Yes. There the such avenues now. There’s such avenues because it means people are in a better position to see opportunities and maybe grasp them and make sure that they change their livelihoods.”
Implications of the Results
1. Financial Inclusion and Protection Gaps
The findings indicate that financial protection, such as insurance, is primarily accessible to middle-class households, leaving vulnerable and lower-income groups exposed to risks, especially during disasters. This disparity in financial security has significant implications for rural resilience. Without accessible financial protection mechanisms, poorer households are more likely to face prolonged economic hardship in the aftermath of disasters.To address this gap,there is a need for the development of more inclusive financial protection programs that target low-income groups. Government-led initiatives or microinsurance schemes could provide affordable financial coverage, ensuring that even the most vulnerable can safeguard their livelihoods.
2. Empowering Communities through Collective Savings
The success of Stokvels and collective savings groups suggests that communities can enhance their financial resilience through collaboration. These savings models offer a secure way for rural residents to pool their resources, allowing them to accumulate funds for emergencies or investments. The implication here is that such grassroots savings mechanisms are essential in providing financial security in the absence of formal banking services. To further strengthen these systems, there is potential to integrate Stokvels into the formal financial sector,improving their access to credit and investment opportunities.This could empower communities to invest in larger ventures and create more sustainable income streams.
3. Strengthening Cooperative Models for Sustainable Business:
Cooperatives, as highlighted in the results, play a critical role in generating income and supporting sustainable rural livelihoods. Cooperatives like Zibambe Zingcine Mampondo demonstrate the potential for communities to work together in managing business ventures such as recycling, farming, or other income-generating activities. The implication here is that cooperatives could be further supported with training, financial management tools, and market access to ensure their long-term viability. Local governments and development agencies should continue to offer technical support and resources to cooperatives, ensuring they can operate as sustainable businesses and contribute to broader economic development in rural areas.
4. Supporting Agricultural Diversification for Economic Stability
Agriculture remains a cornerstone of rural economies, and the findings show that small-scale farming is an important income stream for many rural households. The emergence of female farmers and the integration of agricultural produce into local markets highlight the growing importance of this sector. However, the long-term viability of these agricultural activities depends on access to markets,
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