Ombeni J., who is in his early twenties, is single. He has been running a secondhand clothes business for one year. He works from 8:00 am to 6:00 pm daily and is able to make a fair monthly profit. This will be Ombeni's first loan from Tujijenge Tanzania. He hopes for a loan to increase his business. His dream is to have a good stock of clothes.
Ombeni will share this loan with his loan group, Jasiri, which has a total of 15 members. The members of the group will hold each other accountable in paying back their loans.
In the picture, Ombeni is the man in front in a white shirt.
About Tujijenge Tanzania
This loan is administered by Tujijenge Tanzania, which was founded in 2006. It has operations in Dar es Salaam, the coastal region, and the Lake Victoria region. The organization aims to reach out to micro entrepreneurs and provide them with financial and social intermediation services because capital is one of the major barriers to development and success for micro-enterprise initiatives in Tanzania.
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.