Social Capital as an Inclusion Tool from a Solidarity Finance Angle

Abstract

Within rural environments, the construction of financial ecosystems that both stimulate local development and contribute to poverty reduction requires an increase in associative community activity. Such activity serves as a fundamental means of organizing territorial production systems, reinforcing capacities, and strengthening the negotiating position of the population being offered financial services. Solidarity finance is important because it recognizes that collective action and criteria such as social efficiency, local capacities, cooperation, associativity, the social fabric, self-management, and resource recirculation are integral aspects of financial evaluation. Therefore, this research proposes a methodology to reinforce the financial service delivery of solidarity finance institutions through the evaluation of social capital in rural production organizations. Social capital is regarded as a resource of the organization’s constituents that can facilitate financial inclusion and generate value for rural populations.