As board meetings go, it had to be one of the more unusual.
Sitting under the midday sun, cows grazing and children playing nearby, were a dozen Ethiopian women getting down to business.
Business that would break a moneylender’s heart. Fed-up at being financially exploited, and with encouragement from the local church, these women were meeting as members of a self-help group (SHG).
Like most great ideas, simplicity is the root of its success.
Members of the Genet self-help group discuss business. Picture: Eleanor Bentall/Tearfund
Each week the women come together to put aside some hard-earned Ethiopian birr.
Each week they also discuss loan requests from members which cover a variety of needs such as paying for food, schooling, medicine or launching a trading scheme.
Across Ethiopia, Tearfund is supporting around 1,000 SHGs involving 15,000 people. With the average family numbering six people, that means 90,000 people are directly benefiting from SHGs.
It’s become clear that these truly local banks are not only transforming lives but relationships within communities as well.
Ethiopian birr and self-help group savings books. Picture: Eleanor Bentall/Tearfund
Group member Yaymite Kurka said, `We share with each other and we have compassion for each other. The social bonds are strong.’
Her group, called Genet (meaning paradise), started in September 2007 and has 19 members who have so far collectively saved 508 birr (£26) and lent out 400 birr (£21).
In sterling terms, the numbers might seem small beer but for Ethiopian families with small incomes, 10 birr can make a massive difference.
Genet was started under the direction of Tearfund partner, the Wolaitta Kale Heywet Church.
The church, with its 850,000 members, is a big-hitter in southern Ethiopia, running relief and development programmes as well as a spiritual ministry.
And it’s clear from talking to the women that its influence is well regarded.
Yaymite Kurka and her family have benefited from the financial security of the self-help group. Picture: Eleanor Bentall/Tearfund
‘God raised himself up for us in the form of the Wolaitta Kale Heywet Church and told them to form groups to start their own savings,’ said Yaymite.
‘If money lenders lend us 10 birr they expect we should pay them back 20 birr. That was exploitative, with the rich getting richer and the poor getting poorer.
‘Initially we doubted if the SHG could succeed but we started saving 50 cents a week. Now if we borrow 10 birr we only have to pay back 11 birr.’
The reaction of the women’s husbands has been encouraging. Yaymite continued, `In the past women didn’t have an independent source of income and used to go to their husbands for household expenses. Our husbands used to go and borrow money from their friends or relatives. Now we discuss our needs and what expenses need to be covered, so the family as a whole has benefited.’
Lack of rain has blighted their crops like many other areas but the SHG has held them in good stead, says fellow member Bogalech Chemiso:
‘We were able to trade despite the problems and to generate profits that pay for children’s healthcare, social expenses and generally allows us to be free from money lenders.’