This blog post was written by our Creative Communications & Events Officer, Megan Henderson, with photos taken by Jean Bizimana from Taking Pictures, Changing Lives.
This is one of our groups in Karamoja, Uganda. Meetings usually happen outside under a tree or in the local church. Often the groups open meetings with a song, prayer, or Bible reading - each group decides together! This group began with the chairlady reading a passage from the Bible in the local language.
Group meets under a tree beside their local church.
Chairlady reads from the Bible.
Next, our local trainers discuss the day’s lesson with the group. This will vary with each group we work with, and by how far along into the curriculum they are. Some days business training may be delivered on diversifying products, while other days groups may be learning how to budget and save or practise literacy and numeracy.
Our local trainers discuss the lesson with the group. They will practice literacy & numeracy!
The group members take part in the lesson using a chalkboard and practice books. The trainers guide them through the lesson. Sometimes they will create problem trees, recite the alphabet or even learn how to hold a pencil!
Learner practicing in her book.
Group member practices writing on the chalkboard.
After the lesson concludes, it’s time to start saving and borrowing. Each member will bring their monthly savings contribution to the group’s leadership, who will record it in their passbooks. Every member has their own passbook to log their total savings, loans and repayments. The group’s treasurer and secretary count and confirms the amount and (if necessary) our local trainers will also assist group members with this process.
The group’s treasurer holds the passbooks.
The group’s treasurer records savings in members’ books.
Our local trainer helps a member record savings and loans information.
As savings are being recorded, members with loans will also make repayments. Then the group turns to issuing new loans. This always happens in front of the group so that all members are aware and each member with a loan can be held accountable. The group makes decisions together on who receives a loan and what happens if a member cannot repay.
Most groups have an ‘emergency fund’ too - at each meeting, members contribute a small amount which can be used to make emergency grants or loans to any member facing a sudden crisis such as a hospital bill. Some groups extend this support to those in need in the wider community too. Any fines levied by the group (eg for arriving late at the meeting) often go into the emergency fund too, or are sometimes used to buy sodas or other treats at Christmas or when guests are visiting.
In very rural areas, where there is no bank within reach, all of the money collected is put in a lockbox along with the passbooks. The box has three padlocks and three members take home a key each whilst a fourth keeps the box. The box is not opened again until the next meeting. But if there is a bank, bank agent or mobile money agent nearby, two of the group will go together to deposit the funds in the group’s bank account.
The group’s lockbox holds money before it is deposited in the bank, passbooks are also kept securely in the box.
For some groups in Karamoja, a secure bank van comes to collect the money so our trainers and group leaders do not have to carry the money themselves, reducing the risks of harm, such as robbery.
After savings & loans have been accounted for, the group will discuss any further issues - the group provides a safe place for members to talk about business ideas, problems at home, or simply have fellowship. Our members always say how much they value this solidarity aspect of the group. When the group finishes they often conclude with a song.
Group concludes by singing a hymn.
You can visit a Savings Group to see the immense impact social support, training and financial services has on an entire community! We’re taking supporters to visit Karamoja in July & and Kenya in October 2020 - learn more by clicking here.