Tabu, who is in her early 40s, is married with five children who still go to school. She has had a cafe business since 2005. She works from 6 a.m. to 11 p.m. daily and she is able to make a higher monthly profit.
This will be her first loan from Tujijenge Tanzania, which she wants to use to increase her business stock and cover her household expenses. Her dream is to one day be able to open a big cafe business with car parking and inn.
She will share this loan with her loan group "Si Mchezo" which totals 17 members who will hold each other accountable for paying back the loan.
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.