M. Emma, S. Yahaya, and S. Livingistone are all members of Nazigo Group in Kayunga and they would like each to boost their own business. Emma is a butcher and he would like to buy more goats for meat. Yahaya is a fish seller and he would like to buy more fish for sale, while Livingstone is a newspaper vendor and he would like to buy more newspapers for sale. They are all new in their lending group having been introduced to it by a friend.
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.