WaterSchool trains communities to develop their own Village Savings & Loan Associations (VSLAs).
The idea is simple—in a community, about 20 households will come together to make investments in their neighbourhood.
Each member-household buys into the association with a monthly investment of UGX 20,000 (approximately $7 CDN). They then meet regularly to manage their investment by approving loans, collecting repayments and interest, and then allocate the surplus to members or direct it to community projects.
While we know that VSLAs are great at providing the social bonds and capital to maintain WASH facilities, we also see that they provide access to capital for members to elevate their own personal economic activities.
Access to clean water, hygiene facilities and good sanitation practices reduce medical costs and lead to having the financial resources to afford things like soap, SaTo pans, and more. Investments to start businesses, in turn, means more money in their pockets to reinvest in their own families' health and well-being.
In 2021, we trained 100 Village Savings and Loan Associations.
“I borrowed UGX 50,000 to invest in selling onions, tomatoes and fish. I have paid back my loan and the profits I made have helped me to provide food and other essentials for my children. I pay their school fees much more easily now. I can also now hire someone to weed my garden while I attend to my business. I would like this VSLA to even grow bigger so that we are able to borrow more money and invest in bigger projects.”