By Pemphero Malimba:
Small and medium entrepreneurs who are members of village savings and loans (VSL) groups in Dowa District are speaking highly of the Kuwala Ultra Poor Graduation project by Churches Action in Relief and Development (Card) and Christian Aid.
The project targets at least 1,300 households who benefit from the government run social cash transfer programme and are mobilised into village savings and loans groups.
It aims to contribute towards sustainably graduating ultra-poor households out of poverty through enhanced resilience among the targeted households by February 2025.
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During a tour of some of the beneficiary households, it transpired that some community members were able to access loans and establish small scale businesses, which have become a stable source of income.
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One of the members for Chigodi VSL Dickson Ng’oma said he has established a stable pork business in his village.
“After joining the group, I managed to save money and took a K30, 000 loan from the group which I invested in pork business. I now have a K600, 000 capital business. Currently I am able to pay school fees for my first child, who is in form 2 at Nanthomba Community Day Secondary School and support my family,” Ng’oma said.
However, the group’s chairperson Shadreck Mabwera said they need more funds to expand their loan book as borrowers want to increase the amounts they get as their businesses grow.
“At the moment, some members do not have enough capital for their businesses. They have dreams and the potential to grow their businesses to greater heights but due to lack of capital and access to loans, they are finding difficulties to expand their businesses,” Mabwera said.
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He also disclosed that some small-scale business operators are failing to progress as they make losses due to lack of writing and numeracy skills for record keeping.
Project Support Officer Thelma Chirwa Mwenebabu said the organization will soon provide the 1,300 households with seed capital to boost their businesses.
“By next month we will provide each benefiting household with $300 as seed capital so that they should grow their businesses,” Mwenebabu said.
Card and Christian Aid are implementing the project in traditional Authorities Chiwere and Chakhaza in Dowa with financial support from Financial Access for Rural Markets, Smallholders and Enterprises and International Fund for Agricultural Development.
