Plan Ghana's village savings and loans project is giving individuals access to capital

In Likpe Abrani, a small farming community of about 2,000 people, including 762 children, in Volta, Plan Ghana implements its Village Savings and Loans projects to give individuals access to capital so parents can provide healthcare and education to their children, invest in their business or simply save for the future.

Akuli, a 32-year old who runs a bar and distills alcohol locally, said: “I used my loan of ¢100 (around 69US$) to buy a tank to start a brewing business. Before this I was just selling palm wine at my bar, but now that I have expanded, I brew the local alcohol. Now I am a brewer and wholesaler and not just a retailer of palm wine. I also have 2 people who help me for a fee.” 

Concern for fellow savers

But aside from the more obvious economic benefits, communities have also been reporting huge improvements in social life, especially in their concern for fellow savers.

Mabel, a 52-year old woman from the Miwoenyo group, said: “There is unity, love, peace and common understanding among people in the community as a result of the project; people understand each other and are able to work together for our own good, thereby bringing peace."

Since the savings schemes are communal in groups of as many as 62 people, members also take advantage of the meetings to discuss other issues important to them, such as health, child care and welfare and sanitation.

Sharing experiences

Akuli added: “The greatest benefit I can say I have had is taking care of my children’s education, health and general care.”

What’s more, members are finding that the groups are a great way to share their experience of saving, resolve misunderstandings and seek advice on business challenges, paving the way for more investment.

As more and more households are now able to pay health insurance premiums, children and parents find they have lasting access to healthcare.

Investing in the future

Christiane is part of Agbakofe's  Village Savings and Loans Association

At the end of this year’s 10-month saving cycle, the groups took the opportunity to celebrate their successes and reflect on the possiblities of new investment and benefit for children and families in the next cycle.

Ida, chairperson of one of the women’s groups, said: “As we take our share of money, eat and drink we should be thinking about how to invest our share of money to benefit ourselves and our children.”