Yesterday, 30 of our workers attended our first personal finance management class. They learned skills in budgeting, recording, and saving. As our workers make the first batch of cases and receive their income, we want that money to help advance them towards their goals. Many people in Kenya, including small business owners, have no knowledge or system of how to budget, track expenses, or save money. So in addition to providing sustainable income, Intrinsic also offers finance and small business classes to all our workers.
To do this, we’ve partnered with Bethel Microfinance, an organization born right in Kibera. “Microfinance” is a savings and loans system that is spreading quickly throughout Africa and other parts of the developing world. The struggle that many people in poor communities have is a lack of capital to either start a business or grow it. They often don’t have the collateral or credit to receive a loan from the bank. Bethel Microfinance helps groups of people to save together, and individual members take turns receiving the loans.
So far, Bethel Microfinance has had several of its members successfully save, take out a loan, use it to grow their business, and successfully pay back the loan. This is a result of the attentive guidance and training that Bethel Microfinance provides.
Working together with Bethel Microfinance, Intrinsic is able to offer its workers free training in managing and saving the new income they receive, as well as the opportunity to take out a loan and grow their individual small businesses. This is one avenue in which we are seeking to transform communities… holistically.