E ISSN: 2583-049X

International Journal of Advanced Multidisciplinary Research and Studies

Volume 2, Issue 1, 2022

Contribution of Village Banking among Women in Formal Sector in Zambia

Author(s): Martha Banda, Mulenga Alexander, Moonga ALH, Mbewe Albertina


The study employed a descriptive multiple case study of two groups practicing village banking, aiming at describing the existing reality on village banking. This study sought to establish the contribution of village banking among women in formal sector in selected village banking groups in Matero zone in Lusaka district of Zambia. The objectives of the study were to establish the contribution of village banking among women in formal sector; and determine how village banking is helping and improving the welfare of women in formal sector to save; and A sample of 25 respondents was purposively selected. Interview guides were used to collect data by the use of phone conversations from 14 respondents. While the focus group was used on 11 respondents from one village group banking at the time when they were making monthly contribution at Faith Baptist School. Data was analysed thematically by identifying common themes and results presented using key concepts and narrations. The study revealed that village banking was contributing positively to the financial wellbeing of women in formal sector such as starting businesses, getting of flexible and cheap loans, building, payment of schools and purchasing of home utilises that they use to get on hire purchase. It also established that it is helping women in formal employment to same as they know that at the end of the project cycle, they need to share their investment according to how much one has put in. The third objective was on the recommendation on how they wish the next project be run. They recommended that the borrowing percent by those from outside the group be at twenty percent so as to earn an interest on the money invested and all members should follow the laid down rules. The government should legalize village banking by the way of constituting a law that will enable members to obtain monies from both internal and external defaulters. Village banking can be improved by making further investments like starting a small corporate business to grow the money to be shared or even some trust worthy business individuals borrowing from village banking and pay back with good interest.

Keywords: Village Banking, Women and Formal Sector

Pages: 105-110

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