N. Bakali, 29, is the leader of the Kisimba group in Lugazi. She is a down-to-earth lady who is married with three children between the ages of 5 and 10. She cares for 10 dependents. She has managed a grocery store in the Kisimba village for four years, selling stuff like sugar, salt, cooking oil and paraffin plus many other items. For the two years that she has been getting loans, her shop stock has increased and she makes 50,000 more profit per week than before the loans. She is happy that right now there are not so many shops in her area, so she has more customers and hopes to increase her stock. Bakali hopes to see all her children attain the best education as they grow up. She needs a new loan to help restock her grocery store.
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.