The extreme poor have very low incomes and have a lack of access to assets, resources and services such as basic education, health care, and water. They are very vulnerable to shocks and changes in the market. The poor are affected by multiple barriers: social, health, educational, and infrastructural. There are additional barriers that must be overcome to gain access to markets and existing services such as micro-credit. These include:
•  lack of savings ( not credit, in the early stages)
•  risk aversion
•  lack of knowledge and skills
•  poor access to market information
•  lack of access to support services
•  formidable interest rates
•  limited viable investment opportunities
•  lack of confidence
Read more about VUP's Ubudehe Credit Scheme Concept Paper

UBUDEHE, a culture of mutual assistance and conviviality whereby people would come together to address problems facing them so as to work for their development. In a remote past, Rwandan people resorted to UBUDEHE mainly in agricultural and house building activities as the latter were the main activities of the time. Nowadays, Rwandans are faced with various problems which require combined efforts to address them as was the case in the past when people resorted to UBUDEHE. read more

From discussions with most of our partners in the implementation of the HIMO/LIPW approach, it is clear that there is a need for a general framework specifying the standards typical of a HIMO/LIPW project to avoid confusion between a HIMO/LIPW project with impacts on poverty reduction and a project that uses lots of workforce without impact on poverty reduction for beneficiaries. read more

During the Akagera retreat of February 2007 (Akagera IV), the leadership of the country debated on the scale and depth of poverty in Rwanda as well as the possible remedies.

It was found that at the rate of poverty reduction observed between 2001/02 (corresponding to the EICV1) and 2005/06 (corresponding to the EICV2) the country would only achieve the Vision 2020 poverty target of 30% in 2030. i.e To reduce the poverty rate from 57% in 2007 to to 30% in 2020, the country was to observe a reduction of 27 percentage points. and Given the average per capita consumption growth of 3% per year, and the efficiency in poverty reduction of -0.39,2; that target would be achieved in 23 years. therefore, a period of 23 years leads to 2030. or 10 years after 2020. in this regard, VUP was put in place to revive the targets of Vision 2020, by integrating local development efforts to accelerate the rate of poverty eradication, rural growth, and social protection. read more