Saj is a group composed of three Lebanese women living in a village in Mount Lebanon. They live close to each other and have strong friendship bonds. Their difficult living conditions made them join hands and form the group in order to acquire a group loan from Al Majmoua. Maha is the leader and featured member of this group. She is a 40-year-old married mother of two children, standing in the center of the picture. Her husband owns a small business where he makes and sells pastry, and she works there in order to help him with the baking and to maximize the profit. However, because they live in a small village, their revenue is limited to the number of customers. They earn barely enough to provide for their children, especially since they are both enrolled in private schools, which means that the schooling fees are somewhat of a burden. She decided to acquire a loan in order to purchase ingredients and machines that would facilitate the baking process.
Ines is a 30-year-old married mother of two children, standing on the left in the picture. She owns a hairdressing salon in the village. Her husband owns a pick-up and earns his living my fulfilling requests. Both her children are enrolled in a private school, which means that she has to settle the schooling tuition on top of all her other expenses, while the family's total revenue is relatively low. She decided to acquire a loan because she needs to purchase a hair kit for her salon.
Nahida is a 55-year-old married mother of one child. Her husband owns a bakery, and she is employed there. She decided to join the group and acquire a loan in order to enhance the bakery and expand it.
About Al Majmoua – Lebanese Association for Development
The Lebanese Association for Development – Al Majmoua is Lebanon’s leading microfinance institution and the oldest Kiva partner in Lebanon. Al Majmoua’s vision is to “be the leader in creating an inclusive financial system where all people in Lebanon have access to affordable services.” Given Lebanon's diverse population, Al Majmoua lends to all nationalities, provided legal residency. The strong financial position achieved to date has allowed Al Majmoua to steadily lower its pricing over the years.
Based on the belief that non-financial services play a complementary role in improving the quality of life of the most vulnerable entrepreneurs, Al Majmoua has established a solid Business Development Services program for both borrowers and non-borrowers with a focus on women and youth.
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.