NEEDY SUPPORT CENTRE

The Village Saving and Loans Association (VSLA) is a micro financial model selected for its success at a community level to reduce poverty levels and to financially and socially empower the poor and vulnerable. It aims to provide community members with micro loans to invest in small businesses and income generating activities. It also includes a social welfare fund with zero interest for emergency situations like medical bills.

 

The VSLA training was done by CAP/AIDS Uganda but the members themselves have all contributed to the fund.  The rules of the VSLA were established through the cooperation of all those who contribute. The interest rates are kept low, making them affordable and reducing the risk of members defaulting on their loans.  The revenue generated from the interest rates are used to expand the fund and to support other projects by Needy Support Centre which benefit more members.  

 

Members have used the loans to enhance tailoring businesses, small shops, and income generating activities that include selling roasted maize and charcoal.  The investments have helped increase the profits earned by these small businesses and have contributed to the increased financial security of Needy Support Centre members and their families.