Promoting a saving and credit culture

Sustainable Livelihoods

Co-financing

problem & solution

Caritas Kiyinda-Mityana (Caritas K-MD) intended to implement a project to foster togetherness among their communities but worried about the sustainability of the project goals, as there were grave socio-economic problems.

The solution was to create saving groups and promote a saving and credit culture to guarantee the sustainability of the project goals, once the project phases out.

the experience

Facing negative impacts on the livelihood in their communities due to economic and social problems, Caritas K-MD decided to promote a saving culture among their communities to support the creation of a resource base from which members could borrow money to sustain their business.
Following the design of another project, the organisation started founding their first saving group with farmers in 2012. The group was trained on Village Savings and Loan methodology and monitored by Caritas K-MD.
Seeing the positive impacts on the livelihood, these saving groups were introduced in more communities of the diocese, creating a strong bond between group members and thus guaranteeing the sustainability of the project goals.

01

Challenges

01

High illiteracy among groups
Fear of taking over responsibility, especially by women
Negative effects of climate change since most group members are farmers
Violation of constitutions and by-laws

02

Impact

02

Financial stability among group members with positive impacts on their livelihood
Reduction of domestic violence and integration of women in financial decisions
Development of a voice for advocacy among groups

03

Lessons Learned

03

Ownership and bottom-up approach are important
Groups need to trust the implementer
Regular visits and follow-ups of the groups are essential
Importance of a strong and committed leadership among the group

Umsetzungszeitraum Since 2012

Ort Kassanda, Uganda

Kontakt Caritas Kiyinda Mityana Diocese