Microfinance Tools in AIDS Care (MTAC)
2007 Case Studies
Rose P. Nkandu (Tisungane Group, Matero)
Rose, a 44 year-old widow, has come a long way in the past year. When her husband died in 2003, she had no work experience outside of the home. She found herself unable to feed her children adequately. Since she could not afford to pay for school uniforms, her son had to stop going to school. Before the death of her husband, the family earned extra income by renting out a house, but the tenant stopped paying rent. She was forced to move the children into her mother's house and rent out their own house.
By the time Rose came into the Power of Love/Foundation for Women micro credit program a year ago, she was eager to start her own business. In addition to the money she collects for rent, she now sells charcoal and eggs, and has been able to acquire some personal savings. After two loan cycles (each being six months long) Rose’s business is doing well and so Rose decided against taking out a third loan. Rose says she is grateful for the training, encouragement and emotional support the micro credit program has offered to her and her family. She says she sees a real difference in her life.
Rose is already planning her next business – that of selling scones. She also plans to keep in touch with POL’s microfinance officer (who has become her friend) in order to exchange news and ideas.
Maria Gondwe (Love & Joy Group, Matero)
At 69, Maria is the sole caregiver in a household of five. An all-too common story in AIDS-ravaged Africa, her children have died and she now takes care of her grandchildren, who have no other place to go. Unlike many participants in the micro credit program, Maria has helped run a business for a long time. When she was raising her own children, she helped put her children through school by selling maize in front of her house, and later she and her husband bought a kantemba (grocery store) in the local market, where they sold beans, vegetables, kapenta (fish) and other groceries.
But since her husband died a year ago from a stroke, Maria has experienced hard times. As the sole provider for four children, she needed help which came from POL’s micro credit program to keep the business going and provide for her family. Maria says that she is extremely happy to be a part of the POL program and credits the loans for helping her get through some of the more difficult times following her husband's death.
Elizabeth Noole (Love & Joy Group, Matero)
Elizabeth has now been a part of Power of Love for a year, and she credits the program with teaching her to save money, buy quality goods, to keep records, and make her business more effective in other ways. Elizabeth decided to close the kantemba because of a very low profit margin. Instead, she is now selling chickens and maize, which she buys from Mumba and Chipata in the northwestern part of the country.
Ruth Banda (Tinvelane Group, Matero)
Ruth is 37 and cares for five children with the help of her husband, who is employed as a bricklayer. The family started in a small rented room, but they earned enough from her husband's salary to begin building a small house of their own. Ruth joined the Power of Love micro finance program a year ago, and the loans have helped the family to expand the house. The loans helped her in expansion of her house and she rents out the extra space and is able to support the family comfortably.
Ruth, however, has continually struggled with her business undertakings, constantly shifting from selling one product to another. She has had difficulty with selling goods on credit and not getting the money back from customers. And she only has basic literacy skills, making it difficult for her to keep adequate records. POL has continued to work diligently with her, although Ruth struggles to keep in focus the basic principals the program teaches about running a business. Microfinance Officers have referred Ruth to have counseling with the POL Executive Director and principal trainer for the micro credit program in the hopes of helping Ruth identify and the problems she is having and what solutions may be possible.
Abbie Sauli (Grace Group, Matero)
Abbie, 33, is married and has six children. In 1994, she started her first business, selling buns, because her husband's income as a butcher was not enough to sustain the family. Over the years, Abbie has sold a variety of goods, depending on what was available and what was needed in the community. She has sold mealie meal, a staple grain in the Zambian culture, and charcoal, and more recently she has sold chikanda, a nut-based salt cake.
In the last few years, however, the family has struggled. Abbie and her husband have taken in some of her nieces and nephews, following the death of a sister. And when Abbie received her first Power of Love loan, her husband's business was failing. Although Abbie is experienced in selling goods, she credits the POL program for improving her business skills. She says, "since I joined Power of Love and received business training I have been able to support the children by running a more effective business."
If you visit Abbie's home today, from where she sells chikanda, you will notice many neighborhood children flock to her home. Abbie is doing well enough that she is able to frequently help out other orphans or dependents in the community. Abbie had to miss a few micro credit meetings recently, to care for another sister, who has been quite ill.
Project Team
Joy Amulya, Project Director, Fort Collins, Colorado, USA, amulya@mit.edu
Margaret Chirwa, Head Trainer and Project Supervisor, Lusaka, Zambia
Esther Shumba, Associate Trainer and Project Coordinator, Lusaka, Zambia