He is a carpenter by profession. Salim is the leader of a trust bank group called ‘Nkakra-nkakra’ which literally means gradual by gradual. He is the young man standing in the group photograph. The members of this group are mostly traders, food vendors and or farmers. They work to help their spouses in providing for their families.
They buy their raw materials, wares or goods from other towns and sometimes from nearby communities and sell at the local market square. Some of them trek to other towns to sell on their market days as well. The members have been in business for some time and have amassed a great deal of experience in their businesses. It is in light of this that they are requesting a loan to procure more goods to expand their businesses.
The members of the group guarantee for one another as social collateral to access the loan. It is their desire to give their children a good education.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva's Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower's loan. The other members of the group are not required to use their loans for the same purpose.
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