Arsala Shouqat Masih Group

Arsala baji’s husband works in a school as a guard but he has a part time job also. He drives a rented auto-rickshaw (a local three-wheeled motor vehicle). Arsala baji is a housewife and prefers to do household work and take care of her family. She successfully repaid her first loan from Asasah (a microfinance institute in Pakistan). Now she is applying for a loan to buy an auto-rickshaw (a local three-wheeled motor vehicle) for her husband.

She is joined in her loan group by several more members. Ashran baji and Sharifan baji each want a loan to buy leather to re-sell. Bilquis baji wants a loan to buy groceries for her grocery shop. Shamim baji wants a loan to buy chickens to re-sell.

This is a group loan. The loan funds will be distributed among the group members, each of whom will invest in her own business. The members mutually guarantee one another's loans. If one member does not repay, the other members are responsible.




About Group Loans
In a group loan, each member of the group receives an individual loan but is part of a group of individuals bound by a group guarantee. Under this arrangement, each member of the group supports one another and is responsible for paying back the loans of their fellow group members if someone is delinquent or defaults. Learn more