Savings and Credit Schemes in East and Southern Africa

The Kenya Women Finance Trust Limited (KWFT)is an affiliate of the Women’s World Bank and works to promote the direct participation of women and their families in the economy, to assist women to understand and obtain credit and to train women in business management and related areas.

The KWFT operates credit schemes for a target group of small business women.

The business women must meet the strict definition placed on the target group.They must be full time managers of the business they are engaged in and have the business license in their own name, owning at least 50% of the business.

The women must have maintained adequate business records for at least 6 months by which it can be concluded that the business is a viable business.

The prospective loanee must further submit a cashflow history of the past 6 months and project a loan infusion in those 6 months. She must have a bank account but have no access to other financial resources such as title deeds and bank drafts.

If the target group is a women’s group and not individuals, the group must be properly registered as an organisation.

Initially the target group receives a complete training on the management of small businesses.The pilot project of the KWFT saw that over 50% of those requiring financial assistance who were mobilised as potential loanees, did not actually return for loans after the business training.It was found out that they had gained sufficiet knowledge from the business training to better their businesses on their own without the assistance of the KWFT.What the beneficiaries had actually needed was proper business training and business management tips and techniques.