Empowering Resource Poor Women Through Micro-loan.

Since our last report, economic difficulties and the impact of climate change have seriously affected our beneficiaries ability to repay their loans. Low business activities as a result of the impact of the 2017 election, insecurity challenges and droughts had affected milk production, agriculture and trade in livestock. The project had to effect changes in the repayment schedule to make it easier for the beneficiaries. Also, the planned September disbursement to new women was postponed to reduce the risk of the loans being used for consumption rather than investment. Although the economy is turned a corner at a macro-level, remote region like Mandera still having difficulties, however, there is hope at the end of the tunnel, and hopefully, the next disbursement will take place in February.

Also, the current beneficiaries are doing their best to catch up with their repayment and also making the most of their Income to improve their families economic condition. One such family is Jamila’s.

Jamila, a resident of Elwak Bula Wajir, is a member of the Bula Wajir InshAallahu group. Jamila and her family were displaced from Wajir by clan conflicts in 2013. The conflict not only uprooted them from their homes but also destroyed their assets. While in Wajir, they owned a grocery store and also practised small scale farming. They arrived in Elwak to seek protection and restart their lives from scratch including setting up a temporary house, economic activities and education for their children. Re-establishing themselves has not been easy for them and the rest of IDPs.

Therefore being selected for this programme was a relief for Jamila and her family. She received the initial loan of Ksh.15,000 to set up a small- scale grocery store. During the first year, she saved an average of about Ksh 6000 per month and repaid the loan in one year. She was selected again to benefit from another loan which she is repaying at an agreed rate. Jamila has now an estimated capital of about Ksh 40,000 which with further support she can use to expand her business. When asked what her goal is she responded: “ I would like to establish a vehicle repair garage for my sons who are now qualified mechanics and also support my daughters to continue with education”.

GENCAD microfinance women empowerment project helped Jamila to build her confidence and proved her as a woman entrepreneur. Her success story is an example for other women in rural self-help group that they too can do well with the right support. Thank all our donors and supporters for the investment in women like Jamila so that they can support their families and hopefully graduate from poverty. Jamila is looking forward to receiving more help from GENCAD and other well-wishers.

Thank you and may God bless you.

Poverty alleviation is one of the most important objectives of developing countries. A promising strategy to reach this objective seems to be access to credit for the poor so that new opportunities can be created to improve incomes. Microfinance programs, which targets specifically the poor, constitute a major tool for improving the standard of living without creating dependency and encouraging them to take part in the economic process.

The concept of microfinance is not new. Its origin lies in the numerous traditional and informal systems of credit that have existed in developing economies for centuries. GENCAD international see microfinance as a means for providing more efficient aid to low-income families in rural areas. GENCAD has supported 75 women through microfinance in the northeastern part of Kenya, Mandera. The money donated by our wonderful supporters are provided as a small credit to the poor, allowing them to develop economic activities.

GENCAD project coordinator visited Khadija, one of the beneficiaries recently during her field visit.

Khadija is a 55-year-old mother of four who lost her husband during the clan conflict in Wajir, which forced her to flee; she ended up in Elwak with her four children and three grandchildren. She was devastated by the death of her husband. The trauma of losing her husband and the challenges of bringing up the children on her own placed much emotional strain on her. Shortly after they camped in Elwak as IDPs, Khadija experienced further loss when her eldest son passed away leaving her with his three children.

‘‘ When left on your own, you have to push boundaries and make things happen. When you are weak, you are done.’’  Khadija Said.

Khadija whose primary economic activity was pastoralism before she fled didn’t know where to start from; she survived on food aid and sometimes sleeping hungry.

‘‘I sometimes go to the neighbourhoods to do household work and buy food for my family. ’ she said

During GENCAD team visit in 2015 for the women empowerment through microfinance project, Khadija was identified by the village elders because of her vulnerable status.

Khadija received her first phase of the ksh15,000 loan; she immediately started buying milk from herders and selling it in town, Khadija’s economic status has since then improved abundantly. Thank you for making this possible.

‘‘The income generating loan I received was beneficial.  I can now support my family and  I request further support from GENCAD so that I can support my children’s high school education.’’

There are 100s of women like Khadija whose lives have not been touched, ‘‘every time there is a conflict we as the women and the children suffer,’’ she concluded. Khadija prays for peace. Khadija is up to date with her repayment and is hoping to receive more.

We plan to disburse loans to 25 women in September 2018. This was made possible by a fantastic fundraising effort by our supporters in July this year.  With your continued support, we shall continue to support vulnerable women in Mandera county and beyond. We thank you for your support and pray that you will continue lending us your helping hand. Thank you and may God bless you.

Links:

• https://www.facebook.com/GENCADINTERNATIONAL/