SUBIRA, who is in her mid 30's, is married and has three children, a boy and two girls, all of whom are in school. For three years now, SUBIRA has been running three activities, selling charcoal, clothes and shoes. She has been selling her clothes and shoe stock door-to-door and mostly on credit. She works from 8am to 5pm daily and is able to make a fair return per month. This is her sixth loan request from Tujijenge Tanzania. She will use it to buy more sacks of charcoal from villages and clothes to resell. With the previous loans, all of which were repaid successfully, she managed to buy more business stock. With the profit received, she covered school fees and home expenses and bought a bed, a mattress, a fridge and a music player(sabufa). SUBIRA is working hard in her businesses. She dreams that one day she will able to build her own clothes and shoes selling premises.
She will share this loan with her loan group "Jitahidi Msakuzi" which totals 10 members. The members of the group 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.