Soft-spoken Hanifa, 38, is married with 6 children ages 2 to 18. She also cares for three cousins and her sister. Hanifa sells smoked fish caught in Lake Victoria. Local favorites are tilapia and Nile perch. Her customers are families and restaurants in her local village. Hard-working Hanifa goes the fish market in Lugazi, an hour and a half away on a public bus, every Monday, Wednesday and Friday to buy fresh fish to sell in local markets. She smokes the fish because she cannot afford a cold storage unit. Her business is robust: each week, she buys 1,000,000 Ush worth of fish in Lugazi and makes a weekly profit of over 200,000 Ush. Still, she can only save trace amounts of her income as very little is left after paying school fees and living expenses.
Hanifa hopes to buy her own fishing nets and employ local boys to fish exclusively for her. This would significantly improve her profits. Further, if she could afford a refrigerator, she could sell higher-margin fresh fish as well as sell fish on a wholesale basis to more restaurants and retailers.Hanifa’s husband is a lorry driver. They would like to afford to put their children in boarding school, as day schools in their village are not good and they hope their children can complete university-level education. She has been a Pearl borrower for for over 10 years, and this is Hanifa’s 38th cycle.
Other members of her group have similar aspirations.
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.