Microcredit schemes creates 'strong independent businesswomen'

Many women living in poverty in Ethiopia, India and Kenya, are excluded from government lending schemes, or face prejudice in banking systems. ActionAid's microcredit schemes are working to help these women form successful businesses.

Women borrow money from the micro-credit schemes to establish businesses, allowing them independence and the ability to provide for themselves and their families well into the future.

"Micro-credit can mean women have a chance at running their own businesses, which not only improves their economic circumstances but also their status in society," Letekidan Berhane of ActionAid, explains. "More resources in the hands of women means better health and education for the whole family as women are likely to spend the money on schools and medicines for their children."

The schemes join those who have few or no opportunities into co-operatives, where they can borrow money and recieve training. ActionAid offers advice to women involved in the schemes on everything from business management and leadership to education on HIV/AIDS and gender issues.

One example of the micro-credit scheme's success is in Adma, (formerly Nazareth), Ethiopia, where the formation of a small group in 1999 has led to a 1,114 strong group of women owning a successful shopping mall, which provides a regular and secure income for members.

Initially ActionAid, in partnership with local organisation Vision Organisation for Community Development, set up five saving and credit cooperatives for 400 local women, with borrowing capacity of just 9,890 birr, approximately £625. The five co-operatives then joined up with seven others and formed a union, the Abdi Gudina (meaning big vision) Adama Savings and Credit Cooperatives Union. The union increased the capital of the women to around 1.7 million birr, approximately £107,660 and gave them the opportunity to buy and set up shopping centre worth over 15 million birr, £961,000.

“Without this micro-credit scheme in Ethiopia these women would not have been able to own businesses or get a regular income," Letekidan Berhane says. "This has given them a fantastic opportunity to improve their lives and be able to make better lives for their children. These women could still be living in extreme poverty, and in some cases, unable to afford food or regular shelter. Instead, they are strong, independent businesswomen."

PROMOTED VIDEO
Have you tried new the Independent Digital Edition apps?
News
ebooksNow available in paperback
Arts and Entertainment
Inner sanctum: Tove Jansson and friends in her studio in 1992
booksWhat was the inspiration for Finland's most famous family?
Arts and Entertainment
Singer songwriter Bob Dylan performs on stage
films
Arts and Entertainment
booksPhotographer Richard Young has been snapping celebrities at play for 40 years - but he says it wasn’t all fun and games
News
i100
Arts and Entertainment
Jenna Coleman, Peter Capaldi and Nick Frost star in the Doctor Who Christmas Special, Last Christmas
TV
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs General

Austen Lloyd: Commercial Property Lawyer - Cheshire

Excellent Salary: Austen Lloyd: CHESHIRE MARKET TOWN - An exciting and rare o...

Austen Lloyd: Residential Property Solicitor - Hampshire

Excellent Salary : Austen Lloyd: NORTH HAMPSHIRE - SENIOR POSITION - An exciti...

Recruitment Genius: Gas Installation Engineer

£29000 per annum: Recruitment Genius: A Gas Installation Engineer is required ...

Recruitment Genius: Domestic Gas Technical Surveyor

£28000 per annum: Recruitment Genius: A Domestic Gas Technical Surveyor is req...

Day In a Page

Homeless Veterans Christmas Appeal: Drifting and forgotten - turning lives around for ex-soldiers

Homeless Veterans Christmas Appeal: Turning lives around for ex-soldiers

Our partner charities help veterans on the brink – and get them back on their feet
Putin’s far-right ambition: Think-tank reveals how Russian President is wooing – and funding – populist parties across Europe to gain influence in the EU

Putin’s far-right ambition

Think-tank reveals how Russian President is wooing – and funding – populist parties across Europe to gain influence in the EU
Tove Jansson's Moominland: What was the inspiration for Finland's most famous family?

Escape to Moominland

What was the inspiration for Finland's most famous family?
Nightclubbing with Richard Young: The story behind his latest book of celebrity photographs

24-Hour party person

Photographer Richard Young has been snapping celebrities at play for 40 years. As his latest book is released, he reveals that it wasn’t all fun and games
Michelle Obama's school dinners: America’s children have a message for the First Lady

A taste for rebellion

US children have started an online protest against Michelle Obama’s drive for healthy school meals by posting photos of their lunches
Colouring books for adults: How the French are going crazy for Crayolas

Colouring books for adults

How the French are going crazy for Crayolas
Jack Thorne's play 'Hope': What would you do as a local politician faced with an impossible choice of cuts?

What would you do as a local politician faced with an impossible choice of cuts?

Playwright Jack Thorne's latest work 'Hope' poses the question to audiences
Ed Harcourt on Romeo Beckham and life as a court composer at Burberry

Call me Ed Mozart

Paloma Faith, Lana del Ray... Romeo Beckham. Ed Harcourt has proved that he can write for them all. But it took a personal crisis to turn him from indie star to writer-for-hire
10 best stocking fillers for foodies

Festive treats: 10 best stocking fillers for foodies

From boozy milk to wasabi, give the food-lover in your life some extra-special, unusual treats to wake up to on Christmas morning
'I have an age of attraction that starts as low as four': How do you deal with a paedophile who has never committed a crime?

'I am a paedophile'

Is our approach to sex offenders helping to create more victims?
How bad do you have to be to lose a Home Office contract?

How bad do you have to be to lose a Home Office contract?

Serco given Yarl’s Wood immigration contract despite ‘vast failings’
Green Party on the march in Bristol: From a lost deposit to victory

From a lost deposit to victory

Green Party on the march in Bristol
Putting the grot right into Santa's grotto

Winter blunderlands

Putting the grot into grotto
'It just came to us, why not do it naked?' London's first nude free runner captured in breathtaking images across capital

'It just came to us, why not do it naked?'

London's first nude free runner captured in breathtaking images across capital
In a world of Saudi bullying, right-wing Israeli ministers and the twilight of Obama, Iran is looking like a possible policeman of the Gulf

Iran is shifting from pariah to possible future policeman of the Gulf

Robert Fisk on our crisis with Iran