Savings and Credit Associations (SCA) are the first step in microenterprise development, offering the extreme poor an opportunity to save their money.
SCA groups are established and meet on a regular basis; the group members decide together on an amount to save per month or week. They pool their agreed-upon savings and keep it in a lock box or bank account.
Members can then apply for loans from the group’s pooled savings. They agree upon an interest rate. This provides the rural and extreme poor access to savings and credit.
Members of SCA programs are encouraged spiritually at their meetings, hearing about the love of Christ and a Biblical perspective on finances.
Central Baptist Church, ANVZ and HOPE have partnered in Harare, Zimbabwe to promote the formation of SCA groups. HOPE staff has trained Zimbabwe program directors, who in turn will train leaders and community members in the skills they need to create and govern groups in Harare and surrounding rural areas.
For more information on SCA’s watch this video.
