Financial Services for the Poor

As part of my research here in Peru, I'm looking at opportunities to help the poor access financial services, (in particular a program that provides low cost, subsidized interest rate savings accounts) in order to help people build assets (business, home, education, life insurance). I'm also researching opportunities for linking these services with existing programs that help the poor move out of poverty over the long term (such as Peru's Conditional Cash Transfer program, JUNTOS).

One of the interesting things I've noticed so far while living in Peru is that a) It seems like everyone has a cell phone, and b) you can add minutes to your phone from literally everwhere: the grocery store, the department store, even the corner shops. It's very easy to do (basically involves swiping your credit/debit card or paying in cash) and giving your phone number and ID to the cashier. It definitely makes the possibilities for mobile banking and savings seems really feasible, especially in regards to the poor, who often live far from bank branches or are not familiar with traditional banking practices. This recent article from the Economist on "mobile money" talks about some of the opportunities that cell phones have already provided in developing countries, as well as existing (and potential) technologies that allow people to transfer funds via their cell phones -- very interesting! A similiar article in the same issue talks about emerging innovations in "social finance" and financial services for the poor.

The New York Times Magazine also had a great article on the promise of cell phones (via business, health, banking) for reducing global poverty in April 2008 (thanks, Cristina!)



(Sorry for the generic photo, I wanted to break up the text a bit and didn't have anything better....)

On Friday I'll be headed to Arequipa to join several colleagues from the Instituto de Estudios Peruanos (IEP) and other stakeholders from around the region (Chile, Peru, Guatemala, Brazil, Colombia, Mexico) on a site visit to meet with women participating in the subsidized savings program (Proyecto Sierra Sur) in Chivay, a district outside of Arequipa. This meeting is sponsored by Proyecto Capital, the group I am working with to link Conditional Cash Transfer payments with savings accounts and programs.

Many of the people participating in the site visit are currently in Arequipa participating in the Inter-American Forum on Microenterprise, which is being held this week (sponsored by the Inter-American Development Bank, IADB). Many leaders in the microenterprise field will be presenting and meeting, as well as the President and Prime Minister of Peru! I'm excited to hear about the conference and meet the group that will be convening this weekend for the site visit!

Routines

This last week I’ve been getting used to living in Lima and finding a bit of my “routine” here. Routines can sometimes get boring, but in a foreign country where literally everything is different and new, finding a routine can be surprisingly comforting: taking the combi (bus) to work in the morning without getting lost; learning how to use my cell phone and Skype, getting internet in my apartment!; finding running paths through the city and along the ocean; familiarizing myself with the local cafes, farmacias, postal office; getting sick from the food and water here and then feeling better; and of course, speaking, reading, listening, researching, and writing in espanol. I often find myself exhausted at the end of the day just trying to communicate and understand the world around me!

(Top left: Main meeting room at IEP, where researchers give lectures that are open to the public, also where staff convene for meetings and discussions; Top right: Me, Cristina (my roommate), and her cousin Andrea at a cevicheria on Sunday).

Today is Yom Kippur, so I went to the local synagogue in Miraflores for services in the morning. I had gone to this same synagogue for Rosh Hashanah with some friends (4 of my friends here are Jews…which is pretty unbelievable considering how small the Jewish population is here in Lima). It was nice to see how some traditions and songs are the same (in Hebrew) no matter where you are in the world, although it did make me miss being with family during the high holidays. Tonight I’m looking forward to going to dinner in San Isidro (neighborhood next to Miraflores) to “break the fast” with 2 of my Seattle friends who are also in Lima. More soon!

Dinner at Tanta = Intense macro mode food photos

Yay for having friends in Lima! Friends who like to eat!

Last night I went out with some friends in Lima for a birthday dinner at Tanta, a great Peruvian place in my neighborhood. We tried a smattering of traditional Peruvian dishes: highlights include the fresh fish ceviche with choclo (corn with huge kernels) and sweet potato; anticuchos (ie skewered beef hearts, very popular here, actually delicious); causas (little appetizers of crab, avocado, other fish concotions, all on top of potatoes); arocoto relleno (spicy stuffed peppers with meat and potatoes); Aji de Gallina (traditional Lima dish with shredded chicken, Andean cheese, aji (mixture of spicy peppers), yellow potatoes and nuts); and Lomo Saltado (Peruvian stir fry of meat, peppers, onions, soy sauce - has some Chinese influences).

Everything was really tasty and interesting, it was lots of fun to sample all kinds of different Peruvian flavors. We also ordered some fancy Pisco drinks (one below with some Amazonian berry i am forgetting the name of but was delicious) and to top things off, some coffee chocolate cake with a rose petal on top. Totally out of control, this place.

Can you match the dish to the description? I hope so bc im too lazy to label them all!

First Day of Work!

This morning I went to the Instituto de Estudios Peruanos (IEP), the organization I will be working with over the next 10 months! IEP is an amazing place – housed in a beautiful old building with courtyards and bright amarillo walls, the organization is one of the foremost social science research institutions in the country and has been around for almost 50 years (see their website at: www.iep.org.pe). I’ll be working with Carolina, the lead economist researching savings and conditional cash transfers at IEP, who was very welcoming and introduced me to all the staff individually! Many of the people that I met (about 100 people work at IEP!) are economists and sociologists studying economic development, asset building, municipalities, and education in the region. It was a really exciting morning to hear about some of the work that Carolina and her team are working on and to meet many of the people I’ll be working with. IEP also hosts many lectures and has a full library and resource center that is open to the public – tomorrow morning I’m going to attend a lecture that Carolina is giving on rural development and get set up with email, etc. I feel very lucky to be able to work with this organization!

Tonight I’m going to dinner with some friends at Tanta for my birthday:), which is supposed to be a great Nuevo Peruvian place, and also is right by my apt. It’s one of Gaston Acurio’s restaurants (a big restauranteur/chef in South America) who is from Lima, so I’ll report back and take some photos!

Photos of Miraflores and Parque de Amor

Check out the views along the Malecon (boardwalk) in Miraflores and in the Parque de

Amor, you can walk for miles and miles along the cliffs....que wow!

First Post!

Welcome to my blog, Peliroja (Redhead) en Peru…I figured it was an appropriate name since I may be the only redhead in Peru, although granted it’s only been a week and I'm on the lookout:) I’ll be writing about my experiences living in Peru and researching an economic development (asset building) program in the Southern Highlands through a Fulbright fellowship. I’ll also probably end up writing and posting photos about the food here, which is amazing—so this may very well turn into a food blog. You've been forewarned! The photo above is of the grocery store near my apt -- past the tomatoes are all different types of potatoes! And above the limes there is purple sweet corn that you can boil to make into a juice! SO exciting.


This past week has been a whirlwind – I arrived Monday night, and within 24 hours was moving into an apartment with my friend Cristina (photo to the right is view from my bedroom...Lima is pretty grey this time of year but the ocean and cliffs are beautiful). I take no credit for this accomplishment, as Cristina (a friend of a friend who is from Lima originally but went to school in the states) had been looking for apartments for several weeks before I arrived, and had found a great place at a very good price. So I got extremely lucky and was able to settle right in instead of searching for apartments in Lima, which is a total headache (or so I’ve heard!) We also have an extra bedroom for guests, so if anyone comes to visit me there will be a place for you to stay:) We are living in Miraflores, which is a bustling neighborhood that is conveniently located and close by the ocean, with tons of restaurants, bars, people, and traffic! It is also within walking distance of Barranco, an old bohemian neighborhood along the coast with lots of cool bars-- one of my favorite places so far.


I have been able to connect with a few other Fulbrighters and some friends from Seattle who also happen to be in Lima right now, as well as Cristina and her cousins who live here, so it has been a busy and fun week of exploring the city, making new friends, and going out. We are still working on setting up the internet in our apartment, so my posts may be a bit more sporadic until that happens. Tomorrow I will meet with Carolina, an economist here who I will be working with on my research. More updates and photos soon!