The intervention of the local government

in the social economy

The intervention of the local self-government in the social economy, with resources and infrastructure, is decisive in its development and especially in the creation of local employment. By analogy with state intervention in the private sector when it is in economic crisis and high unemployment.

And this happens in practice where the social economy is applied in the field of local self-government as it contributes with measurable results in dealing with unemployment and the impoverishment of the population.

 There are Municipalities with excellent examples of results that we can refer to such as, the municipality of Madrid and the municipality of Barcelona which are run by two female mayors Manuela Carmena, in Madrid and Ada Colau in Barcelona. Let’s note that there are also smaller municipalities with a specific policy agenda for the social economy.

The municipal authority of Madrid instituted the Council of Solidarity Social and Collaborative Economy, in which participate the Regional Federation of collectives from the neighborhoods of the Spanish capital and the European network of fight against poverty and social exclusion actions that strengthened local employment.

The municipal authority of Barcelona has also institutionalized the solidarity economy as one of the political axes of the local government, with the protection of social housing and the creation of a local currency at the forefront.

Also, in a number of municipalities in Europe, Spain, Belgium, Denmark and Germany, citizens who are local communities and local governments have set up over 2,000 energy cooperatives. Other smaller municipalities have developed actions in the health and social care sector with excellent results. While it is estimated that 2000 energy cooperatives exist and operate throughout Europe. But also important social enterprises in the health sector that are facilitated by the Local Government.

We could also refer to hundreds of successful examples in the European area, which certify the dynamics of the social economy when supported by local collective initiatives. But our subject is not the individual successful examples of which there are indeed many. The issue that concerns us is the phenomenon of the social economy with universal effect, in dealing with unemployment, poverty and social exclusion. This is because although the list of good examples is long, this does not mean that the social economy is on the agenda of the majority of local government bodies. local government. This is also the reason why a roadmap for the development of synergies and capabilities of local self-government with social enterprises is necessary.

by Vasilis Taktikos