Many of the poorest families in Malawi are going hungry for several months of the year. The poorest people live in rural areas and women are more likely to be poor than men.
Women in these communities are often financially excluded and do not have the same access to education and training to help them to build businesses. Women also do 75% of unpaid work in the household which means they have less time to dedicate to their businesses to earn an income to support their family.
The United Nations Sustainable Development Goals are the blueprint for achieving a better and more sustainable future for all. This project contributes directly to the goals No Poverty, Zero Hunger and Gender Equality. The impact of our work also addresses the goals on Quality Education, Decent Work and Economic Growth, Climate Action, Life on Land and Partnerships for the Goals.
How MicroLoan’s project addresses this problem:
MicroLoan Foundation is providing women facing poverty with business skills and financial literacy training and small loans to invest in businesses. As they build a successful, profitable business they generate a steady income to provide for their families.
The training is essential to set women up for success. It focuses on business and financial literacy skills such as market research, reinvesting profits, budgeting and making savings. The training is taught through song, dance and role play so that women who are unable to read and write are included.
The training is delivered in person by our well-trained Loan & Training Officers (LTOs), local individuals who travel to rural communities by motorbike. The training programme sets women entrepreneurs up for success, so that they grow their businesses, and grow their profits.
25 women entrepreneurs in Lilongwe, 5 groups of 5 women, will take part in financial literacy training, business skills training, and get access to small, affordable loans.
As they succeed in generating a steady income, they can provide for their families. The women have on average of four children each and as household income increases, the women can afford to feed their families a nutritious diet, pay for healthcare and send their children to school.
When one woman prospers, a whole community can be positively impacted. MicroLoan’s data also shows that as women grow their businesses, they create employment opportunities for family members and others in the community.