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Fabretto and FOMIN unite to support rural youth, the future of rural communities in Nicaragua

Aug 10, 2016

The Multilateral Investment Fund (MIF), member of the Inter-American Development Bank (IDB) Group, has recently approved a US$800,000 grant for a project that seeks to increase the employability and improve the income of 1,800 rural youth in Nicaragua. The project will be carried out by Fabretto, the only NGO authorized by the Ministry of Education to offer the alternative rural high school program proposed by this project, which mixes models for formal and vocational training that allow rural youth to improve their access and links to high-value supply chains and markets. The project will focus on youth living in three zones of Nicaragua: the Southern Caribbean Coast Autonomous Region (RACCS), Madriz, and Nueva Segovia. 

With almost one third of its population between the ages of 15 and 29, Nicaragua is a predominantly young country. However, Nicaragua faces major barriers in training its young people. This problem is even more urgent in rural areas, where more than 40% of 15-29-year-olds live. These young people have limited or no access to secondary and/or vocational training, which diminishes their future career prospects. Without a degree or training, young people who live in rural communities survive by farming traditional products. This situation of subsistence farming pushes young people to migrate to urban areas in search of economic opportunities and income. Since they lack education, their possibilities of finding a decent job are limited. Therefore, migration depletes the most valuable human capital that communities have, perpetuating the cycle of poverty in rural areas.

In order to achieve its objective, the project proposes to expand and adapt the Tutorial Learning System (SAT for its acronym in Spanish) methodology in three zones in Nicaragua: the Southern Caribbean Coast Autonomous Region (RACCS), Madriz, and Nueva Segovia. SAT is an alternative rural education program that provides access to secondary, technical, and vocational education to rural youth, their families, and members of their communities. At the same time, it prepares them to start new entrepreneurial business ventures, continue their agricultural activities with improved climate adaptation measures and increased productivity, or pursue higher education.

This project is supported by the IDB’s Capital Markets and Financial Institutions Division (CMF), whose objective is financing and developing agricultural value chains, and the United States Agency for International Development (USAID) through its Better Approaches for Sustainable Education Services project. The project will also include a grant contribution of US$1,00,000 from the Japan Special Fund for Poverty Reduction, whose objective is to support activities aimed at poverty reduction that generate direct impact on vulnerable and low-income populations.

About Fabretto

Fabretto Children’s Foundation, Inc. is a nonprofit organization with more than 50 years of experience. It was incorporated in Nicaragua in 1990 and established a subsidiary in the United States in 1993. Fabretto currently serves 18,600 children from Nicaragua’s poorest communities and their families and has a presence in more than 40 communities in five departments in the Southern Caribbean Coast Autonomous Region (RACCS) in Nicaragua. Fabretto promotes economic activities in rural communities, which benefit hundreds of families and groups (cooperatives) that work in sectors such as coffee, handicrafts, carpentry, forestry, poultry, strawberries, vegetables, and basic grains. Learn more at

About the MIF

The Multilateral Investment Fund is the innovation lab for the Inter-American Development Bank Group. It conducts high-risk experiments to test new models for engaging and inspiring the private sector to solve economic development problems in Latin America and the Caribbean. The MIF addresses poverty and vulnerability by focusing on emerging businesses and smallholder farmers with the capacity to grow and create economic opportunities. Learn more at
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