Mpanga Tumanyane is a new group located in a rural area in the western region in Ntungamo district. It’s a group of women and men whose major activity is farming many of them are married and their children are in different elementary schools. They have jointly applied for loan of UGX.4,500,000 which they will share amidst themselves as the break down attached. They currently have a challenge of low productivity due to land degradation and they thought of acquiring loans to buy mulches to restore its fertility as well as pay tuition for their children. Their prime target is to change the lives of their families and also to take their children to better schools. But they are limited by capital and funds to enable them to achieve their dreams. With this loan they believe their production will improve and their livelihood will change and the society will develop.
In the photograph are the group members and the two Ugafode officials at the far left. Jenerous will particularly use the loan to buy mulches.
More information about this loan
This loan is part of UGAFODE's program for clients who live in isolated rural areas with limited access to financial services. Uniquely, UGAFODE focuses its efforts on agricultural areas in Uganda that are over 50 km from their branches, providing loans to both groups and individual borrowers. The organization believes that the risk of offering services to remote clients is outweighed by the benefits to customers and their often underserved communities.
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.