Supported by the Grameen Crédit Agricole Foundation, CA Franche Comté and Amundi, Kossam SDE is a subsidiary of Laiterie du Berger which aims to structure and strengthen the dairy sector in Senegal. In February 2020, Kossam SDE successfully launched the dematerialization of "payroll" for more than 850 breeders, thus contributing to the improvement of their living and working conditions. Spotlight on the interview for Portail FinDev with Jonathan Michaud (former Solidarity Banker [1] of CA Franche Comté) Director for 3 years of Kossam SDE), and Mamadou Fall, its Deputy Director, who look back on this transformation.

1. What was a typical payday like before the transition to digital payroll?

Jonathan Michaud & Mamadou Fall: Until February 2020, all farmers were paid in cash on one or two specific paydays. Farmers traveled to the factory in Richard Toll to collect the money owed to them. First, being paid in cash was restrictive for farmers. They had to arrive early in the morning and sometimes wait all day in high temperatures. Furthermore, farmers were forced to travel to Richard Toll on a specific day to be paid, without being able to schedule it around their other trips. It was also laborious for Kossam SDE, since the teams had to handle cash for two days under pressure due to farmers' waiting times, which could lead to errors.

In November 2019, the Kossam SDE team made the decision to digitize and the first digital payroll took place in February 2020.

2. What are the concrete benefits of digitalization for breeders?

JM & MF: We have identified 5 benefits for breeders:

• Time saving. Today, a farmer no longer needs to wait hours to receive his pay.
• Security. Everyone knew which day the farmers received their pay, which could potentially create a context of insecurity with risks of theft.
• Flexibility. Now, all breeders receive their money on the same date but can collect it whenever they want.
• Cost. Most farmers don't live in Richard Toll, and getting there comes at a cost. They can now optimize the cost of their journey by deciding which day they'll withdraw their money.
• Traceability. Each breeder is identified in our database with their phone number and ID card. This ensures that the breeder is indeed receiving the money, since we know which phone number the funds are being sent to.

3. What solution have you implemented with Wizall Money to pay breeders?

JM & MF: The vast majority of our breeders don't have smartphones. They have a basic phone that can only receive and make calls and send text messages. So we opted for a code sent directly to the breeders' phones. Armed with this code and their ID, the breeders go to the Wizall Money kiosk of their choice to withdraw their money. The fees associated with this service are borne by the beneficiaries (the breeders).

Implementing this solution has clearly removed a considerable number of constraints for breeders, particularly in terms of time and organization. Furthermore, we were concerned that breeders might be reluctant to pay to receive their money. However, the issue of cost was not addressed. On the contrary, it costs them much less than paying for transport to get to Richard Toll on a specific day of the month. We have not received any complaints in this regard.

4. More than a year after implementing digitalization, where are you now? What's next?

JM & MF: The digitalization of payroll was implemented just before the arrival of Covid-19 in Senegal in March 2020, where drastic measures were quickly taken: curfew, banned gatherings, etc. Without digitalization, farmers would not have been able to travel and would not have been able to be paid. Today, we are moving on to the second and final stage of payroll transformation. Indeed, there are two drawbacks to the SMS codes that our farmers receive on their phones: you have to have your own phone, which is not the case for all our farmers, as well as the network. The main problem encountered is that some people never received the code, so we had to continue paying them in cash.

To address this situation, we have provided all our breeders with an individual NFC card. Their pay will be sent to this card in an electronic wallet. Breeders can then go to a Wizall Money kiosk, hand over their card, enter their PIN, and withdraw all or part of their money. There are therefore no longer any network constraints and no longer any obligation to withdraw the entire amount paid. This is a major innovation that allows us to enter into new uses and services that are a form of micro-savings and passive savings.

We will now work on various topics that digitalization allows us to address with greater efficiency and peace of mind: access to health insurance, development of savings and financial education.

Full interview on FinDev

___________________________________________________________________

[1] The Grameen Crédit Agricole Foundation and Crédit Agricole Franche Comté, shareholders of Laiterie du Berger, supported the creation of Kossam SDE as part of a Banquiers Solidaires technical assistance mission, a skills volunteer program of the Crédit Agricole group. An agricultural engineer from the Regional Bank who led the mission in 2018 left for 3 years to coordinate the launch of Kossam SDE. This is Jonathan Michaud, now Managing Director of Kossam SDE.

More than 2 billion people worldwide do not have access to safely managed drinking water(*). In sub-Saharan Africa, 40% of the population does not have access to water, mainly in rural areas and 135 million people, mainly women and girls, travel more than 30 minutes per day to access drinking water.

It is in this context that society OSHUN, created at the end of 2017 and a partner of the Grameen Crédit Agricole Foundation since 2018, is deploying an innovative solution for accessing water in rural areas. Based on a business model based on local entrepreneurship, OSHUN provides a high-quality, affordable water service through solar-powered water kiosks. These kiosks are managed by local entrepreneurs working as franchisees and incorporate a digital component that optimizes their efficient management. The service, which is expected to expand more widely in West Africa, has started in rural and peri-urban areas of Senegal and Burkina Faso.

Today, in addition to the kiosks, OSHUN is also working to install water treatment systems in schools and health centers funded by public, private, and solidarity partners. Thus, in collaboration with the NGO Marseille Provence Afrique Coopération, OSHUN has installed 120 water treatment systems in schools and health centers in Senegal since 2018. To date, this project has benefited approximately 40,000 beneficiaries with access to free drinking water. In addition to installing and maintaining the equipment, OSHUN, in conjunction with community relays, implements awareness-raising activities to help change behavior. In the same vein, the German International Development Cooperation Agency (GIZ) has just commissioned OSHUN to undertake a turnkey project to install 30 devices in health centers located in areas without electricity in Senegal.

In Burkina Faso, OSHUN is strengthening its action alongside the Société du Canal de Provence (SCP) as project managers in the rehabilitation of water pumps and the installation of water kiosks in 27 villages in the commune of Bobo Dioulasso (2^e city in the country). This will allow people to have access to raw water for domestic use and treated water for consumption in the same place. This project, which will be completed in April 2021, will reach nearly 70,000 beneficiaries.

More information about OSHUN here.

_____________________________________

(*) United Nations

Launched by the Canadian government in 2017, the FINEDEV (Financial Inclusion for Enterprise Development) program promotes business development through financial inclusion in Ghana. This program is implemented by Sinapi Aba Savings and Loans, a microfinance institution supported by the Grameen Crédit Agricole Foundation.

FINEDEV aims to improve access to finance, financial education, and entrepreneurial training, with a focus on small and medium-sized enterprises (SMEs), women, and vulnerable groups in Ghana. For Sinapi, the focus is on women's entrepreneurship, as 70% of its clients are women.

Networking and entrepreneurship training

The program consists of two components. The first component is networking through events and training sessions for women entrepreneurs. Through these meetings, participants have the opportunity to share their experiences, learn about entrepreneurship, and connect with other local entrepreneurs. Since the program began, Sinapi has organized 310 networking events and 447 training sessions for more than 30,000 participants.

A second component is the "Women Mentorship" mentoring project. It brings together women entrepreneurs who have already received business training from Sinapi Aba, with less experienced women. Each female mentor advises and supports other entrepreneurs in strengthening their businesses. The mentoring program has already attracted 156 participants, including 52 female mentors and 104 supported entrepreneurs.

With FINEDEV, Sinapi is strengthening its work in favor of women's financial inclusion in an innovative and sustainable way. Initially planned for a duration of 4 years, FINEDEV has been extended for an additional year and is expected to end in 2022. After the official end of the project, Sinapi Aba plans to continue supporting its clients' projects by continuing to organize mentoring and networking activities for women.