One of the promises with which Gustavo Petro was elected was to end the ‘drop by drop’ and democratize the access of Colombians to the financial system, especially those who do not have a stable income. or a risk profile for banks and credit institutions and end up in the hands of loan sharks.
Starting from here, there has been a lot of talk recently about boosting the economy popular to boost the economy in the less favored sectors. At this point, the vision of cooperativism has been a key piece of the system that wants to be established, since it would help put an end to welfare and would allow people to move towards a model where everyone generates their own livelihood.
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Proof of the above is that this week the Popular Economy for Change program against the ‘drop by drop’ was made official, for the transition from the Transfer System to a system of productive inclusion to strengthen the popular, community and solidarity economy, which seeks seeks to contribute to the reduction of economic vulnerability, and the strengthening of the popular economy through the financial inclusion of entrepreneurs living in poverty, throughout the national territory.
Gustavo Bolívar, director of the DPS, explained that this was achieved through an agreement between Social Prosperity, the National Guarantee Fund and the Agrarian Bank, which will allow them to join forces to facilitate guarantees of access to associative credit, with a placement expected of more than $500,000 million, through the banking, solidarity and cooperative sectors.
“The credit guarantee will be granted, subsidizing its cost, as well as a percentage of the credit capital will be subsidized if you manage to maintain good payment behavior. Popular Economy for Change against drop by drop, is part of a progressive and phased strategy, which contributes to overcoming poverty,” said Bolívar.
Popular Economy – Social Prosperity
Courtesy – API
From the Department of Social Prosperity they also highlighted that This commitment contributes to thousands of Colombians, who will not receive monetary transfers, moving with the impulse of the national government and allies, towards the development of productive activities as part of social and economic justice.
“This program defends the rights of thousands of vulnerable people who were traditionally prohibited by banks and financial systems from accessing working capital for their productive projects,” said the Director of the DPS.
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Who will benefit?
The beneficiaries will be productive organizations made up of the population subject to the entity’s attention, which have a collective business belonging to the popular economy sector, a front that is important for this Government.since they aim to serve as a platform for overcoming social inequality.
“The contribution from Social Prosperity exceeds $50.4 billion and in this process entrepreneurs who applied for the Popular Economy for Change call in 2024, and who were unable to meet the requirements, will also be prioritized,” they explained.
Popular Economy – Social Prosperity
Courtesy – API
It is worth noting that the maximum value of associative credit will be of up to 80 current monthly legal minimum wages, that is, approximately $114 million, although this amount will depend on the capacity, responsibility and the productive project that is intended to be developed over a period of up to 5 years.
“The duration of the program is 24 months initially. To access, in the next few days Social Prosperity will make territorial calls and those interested will be able to receive all the information through the website and the regional addresses of the entity,” they concluded.
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DPS transforms
All of the above is framed in the transformation process that Social Prosperity is experiencing and that was regulated by Decree 017 of January 14, 2025, which gives legal life to the reorganization of the entity and updates a structure that had pending the incorporation of laws from previous years, delimiting its functions with respect to the Ministry of Equality and It guides them to promote the popular economy, the first job and internal control.
“Under the new scheme, two general subdirectorates are created: Productive Inclusion for Peace and Programs and Projects for Social Development. The first would be made up of the missionary directorates of Popular Economy, Food Sovereignty and Family and Community Support,” they explained.
Popular Economy – Social Prosperity
Courtesy – API
Likewise, they reported that “the second, for Monetary Transfers and Social Infrastructure and Habitat, as well as the Operation Office. This scheme is harmonized with the law that gave life to the Ministry of Equality and with the article that introduced the creation of the Transfer System in charge of the entity.”
Among its novelties, the reform also establishes the creation of an office of Internal Disciplinary Control and another of Data Analysis and Targeting, both dependent on the General Directorate. In addition to responding to regulations, these new bodies provide, with the first, independence in the management of disciplinary issues of officials and, with the second, they strengthen the information system to benefit efficiency and transparency in the management of public resources.
The entity has been emphatic in stating that the new model will not affect the career rights of the 1,459 officials it has throughout the country. On the contrary, it will incorporate 110 new positions at various levels in compliance with President Gustavo Petro’s policy of favoring the young population and first jobs.
