The Human Development Bonus was born in Ecuador under the name Solidarity Bonus in 1998. Since then, it has not only evolved in its identification and motivation, but also in its goals. On January 4, President Daniel Noboa signed an agreement with five universities in Manabí to train their beneficiaries so that they can take initiatives to improve and consolidate their economies.

The president intends to repeat the initiative throughout the country. The Ministry of Economic and Social Inclusion reported that today there are more than 10,000 bonus beneficiaries.

Daniel Noboa signs the contract so that those who receive the bonus can train and go

Eradicating poverty through work is possible. It is not the first government to consider this, even in previous regimes, special credit programs were developed, but the fact that a large number of people are still asking for a bonus shows that they were not effective.

Daniel Noboa’s Alliance for Learning and Entrepreneurship begins with the basics of training. Once this first process is completed, the investment cannot be left aside, given that the people who receive the bonus are unlikely to have access to a private loan to start a business. Here too, the state must intervene, and the challenge is to do it in such a way that the fragile economy is not further affected, but that those who receive it can get out of the subsidy or bonus, eliminate the intergenerational transfer of poverty and even create employment. This will require support, and the academy is an ideal ally here.

The president of Noboa proposes to the municipalities to deliver the money from CNEL and offset the debts with BDE

Although 26 years ago the bonus was supposed to compensate the vulnerable population for the abolition of subsidies, later it was used as a “pressure” mechanism to maintain family education and health control, while ensuring consumption capacity. In recent governments, efforts have been made to help beneficiaries start their economies. If the current government achieves this, it will be a win-win for everyone, because to the extent that ventures progress, the economy will recover and the burden on the state will be reduced. (OR)