Micro Loans For Women Impacted by HIV/AIDS, Zambia

In 2017, generous donors such as yourself helped raise more than $30,000 for Power of Love's micro loans program in Zambia. These funds were used to provide new loans, business training, refresher training, and on-site business mentoring to 400 women entrepreneurs in Zambia. We are thrilled that last year 257 new women were provided with business training and the newly trained women are applying business principles every day as they operate their new businesses. These skills are a permanent asset that can be used in diverse ways and help break the vicious circle of poverty and low education.

The provision of new loans and ongoing program activities resulted in a huge and sustained impact on hundreds of families in our community. Here are some heartwarming numbers from the field:

1. About 90% of women are on track with repayments.

2. More than 70% of the women have moved to higher value items or expanded their businesses. For example, many women diversify their product line by adding higher value items such as soft drinks, meat etc.

3. The average capital growth was 25%.

4. Most women are learning to save a small amount each week and a few have opened bank accounts.

5. Earnings from businesses helped pay for school expenses or vocational training for more than 1400 children. 

6.  About 70% of the women invested in land or purchased cement/sand to extend their homes for rental purposes. Many women moved from selling by the roadside to selling from a shop. And about 6% of the women bought or built shops.

7. Earnings from businesses enabled 86 families to move out from living with their relatives to moving into their own place.

8. Almost all families were able to purchase small household items such as pots, pans, toys and many purchased bigger items such as stoves, bedding, chairs, and TV's.

9. The diet of all families improved.   

Overall, most loan recipients learn how to run a business and have gathered enough capital to continue running their business in a relatively short (about 10-18 months) span of time. In addition, families are having more open discussions about HIV due to better information about HIV prevention. Finally. loan recipients become mentors and enjoy a higher status in the community. As a result, our first-time women entrepreneurs are on the path to self-reliance and the community stronger.

We are proud of you for helping teach these women financial literacy, and take steps toward and self-reliance.   

Links:

• About our micro loans program
• Judith is a role model and mentor
• Business Training and loans lead to self-reliance

Thanks for helping empower women impacted by HIV and AIDS in Zambia. Today we would like you to meet Judy, who has benefitted from your support over the past year.

Judy is an inspiration: Judy started selling peanut butter at a roadside stand after she received her first loan in November 2016. Within a few weeks she had to move her stand as she did not have a license to sell on the road. She then started a home delivery business as her customers liked her product. However, she faced increased competition as more women in her area started making and selling peanut butter. Judy worked hard to keep her lead in the market. At present, Judy’s business is doing well, and she is saving a small amount every week. She attributes her success to the business training she completed before she received a loan to start a business. For 2018, she plans to diversify into electrical appliances and flasks to supplement her peanut butter business. She is confident about her skills, thankful for the opportunity to own a business, and feels empowered as she can provide three meals to her family, pay for school expenses and rent. She is an inspiration to us and has become a mentor and role model for others in the community.

With hard work and dedication, Judy has helped us achieve the goals of our micro loans program. Our goals are to empower women by (i) providing them with the tools to run a successful business, (ii) ensuring that they have gathered enough capital and skills to continue running the business even after graduating from the program, (iii) helping them build networks of mutual support, and (iv) teaching them how to prevent HIV and take care of their HIV+ family members.

Impact: Earnings from businesses started with loans enable women to pay for food, rent, school, and medicines for their family. In addition, improved knowledge about HIV prevention and care keeps the family healthy so the children miss fewer days from school. Finally, most women in our micro loans program learn how to run a business, save, and build strong social networks which help overcome challenges at home or in business. 

Thank you for encouraging hundreds of women like Judy take steps toward financial literacy and independence. Your support goes a long way in creating a stronger more self-reliant community in Zambia. 

Links:

• Vision behind our micro loans program
• About our micro loans program
• Impact of our loans program