1. Access Africa
Impact of VSLA
Evidence from
Ghana, Rwanda, Tanzania, Uganda and Malawi
Brownbag presentation
Atlanta June 2012
By Abdoul Karim Coulibaly

2. Access Africa : Goal
Lift 30 million people (70% of whom are
women) and their families out of poverty by
ensuring equitable access to a suite
of basic financial services (savings,
loan, insurance, remittances) over the next
decade in sub-Saharan Africa

3. Access Africa: Logic model
IMPACT:
IMPACT
Well-being of VSL
members’
household
EFFECT
ECONOMIC SOCIAL/POLITICAL ADOPTION/CHANGE
EMPOWERMENT
EMPOWERMENT OF POLICY
OUTPUT
VSL Quality Policy & Advocacy
Linkage
and quantity campaign

4. The Projects
Projects Year Target Countries Donor
Sustainable Access
Master Card
to Financial 108 200 Foundation
2008 - 2011 Rwanda
services for members
CIDA
Investment (SAFI)
Tanzania, Bill and Melinda
300 000 Gates Foundation
SAVE-UP 2008 - 2011
members
Malawi,
Uganda
5 400
ESCAPE 2007 - 2010
members
Ghana

5. Experimental model: Cluster RCT
Time
Intervention
Group
X
1 2
RANDOM
Control Group
3 4
Used in Uganda, Malawi and Ghana in Limitations:
partnership with Innovation for Poverty
Action (IPA) 1. The data from intervention and
control communities are compared.
This is a Cluster RCT. Instead of Risk of dilution of VSLA effect if the
Randomizing the Individual, randomized the take-up rate is low
community (cluster)
2. Ethical: control community are
Take-up rate: Sample: excluded from intervention during
1. Malawi: 22% 1. Malawi: 4000 the time of study. Limit the
2. Uganda: 36% 2. Uganda: 4200 possibility for a long term impact
3. Ghana: 36% 3. Ghana: 6800 analysis

6. Non-experimental model:
Pre and Post-test
Panel study
Time
Intervention
Group X 2
1
Used in Rwanda and Tanzania. Internal Limitations: Measure VSLA contribution
CARE surveys to the change. The change could be due
to other factors. We can claim a
Essentially based on quantitative methods, contribution to the change, but not
but once combined with qualitative attribute the change only to VSLA
approach, this methods appears to be
strong.
Sample:
1. Rwanda: 614
2. Tanzania: 375

7. Age of the
Panel study (cont.)
groups
33 months
Survival groups of the first cohort.
During the data collection, the oldest
30 months groups will be 2 years and 9 months
old (groups created during the first
quarter of the project 1st year) and the
27 months youngest group will be 1 year and 9
months old (groups created during the
last quarter).
24 months
21 months
Survival groups of the 2nd cohort.
During the data collection, the oldest
18 months groups will be 1 year and 9 months old
(groups created during the first quarter
of the project 2nd year) and the
15 months youngest group will be 9 months old
(groups created during the last
quarter).
12 months
9 months
6 months
3 months
0 month Year of project
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 implementation
Year 1 Year 2 Year 3 End of
project
2009
First baseline Final baseline 2011
data collection for data collection for
the cohort 1. the cohort 1. Data Final data collection organized 3
Data are are collected on months before the end of the
collected on groups created project. The same groups
group created during the 4th surveyed during the baseline are
during the first quarter considered in the sample.
quarter

8. Data Collection Tools
• Household level data
 Demographic of HH members
 Habitat
 Assets ownership
 Food Security
• Individual data
 Socio-demographic characteristics of the VSL members
 Investment and expenses of members
 Civil society and political participation
 Self-image and confidence
 Household decision making and violence against women

9. Part 1:
Comparative Impact
across the 5 countries

10. Area of impact
RCT RCT RCT Member survey Member survey
Source and period of the study 2009-2011 2009 - 2011 2008 - 2011 2009 - 2011 2009-2011
Level Domain Malawi Uganda Ghana Tanzania Rwanda
Assets ownership
Education
Impact Habitat
Food security
Health
Access to loan
More productive use of the loan
Business
Effect
Women decision making
Women community influence
Strong impact
Perceptible change
Slight change
No impact

11. Description of the Impact
Malawi Uganda Ghana Tanzania
Asset ownership: Food security: Adults are Education: A small Asset ownership: it is
Households in treatment 4 percentage points less increase in evident that households
villages own an average of 6.2 likely to have had to reduce investment. Slight acquired more assets
fowls, a 12 percentage point their daily food increase in between 2009 and
increase when compared to consumption. enrollment. 2011.The proportion of
the control group. Other household possessing at
livestock categories are not least one asset has
affected by the program. slightly increased.
Habitat: More expenditure to Education: The average
improve housing condition. amount spent in education
But no impact on housing by the VSLA members
indicators. increased from about $55
to $97. There is a slight
but not significant increase
in enrollment.
Habitat: Increase
investment but no
evidence of habitat quality
improvement

12. Description of the effect
Malawi Uganda Ghana Tanzania
Access to loan: 67% of Access to loan: The Access to loan: The Access to loan: In 2009
members stated that they took program increases access program increases less than 1/3 of the
a loan from the group at least to and usage of financial access to and usage members could access a
once. Respondents in services. 84% of members of financial services. loan. Today we have the
treatment groups are 9 stated that they took a loan Half the members majority of the members
percentage points more likely from the group at least stated that they took (78%) who took a loan in
to receive a loan. once. respondents in a loan from the group the year preceding the
More productive use of the treatment groups being 10 at least once. survey. It appears that
loan: Loans are primarily percentage points more Respondents in almost the totality of the
used to finance business likely to receive a loan. treatment groups are loan (95%) taken, were
investments (40%) and food Business: There is 12 percentage points from VSLA followed by
consumption (20%) evidence of improvements more likely to receive Bank (3%) and MFI
Women Empowerment: a 5 in business outcomes for a loan. (0.6%).
percentage point increase in women. The percentage of More productive Community leadership:
the number of women that women that take credit for use of the loan: VSLA seems to have
report having a strong business purposes Loans are primarily contributed to improve the
influence on business increases from 8% in the used to finance members’ public speaking
decisions within the control group to 14% in business investments ability: from 32% of
household. We also find program areas yearly (42%) and food con. members who spoke up in
evidence of an increase in the business profits increase Business: The public meeting to 37% in
share of women with a high by $12 in treatment areas. number of women 2011. The membership
ability to influence other areas Women Empowerment: that took a loan to into community
of intra-household decision- we find suggestive fund a business organizations has strongly
making, such as food evidence of a 4 percentage increases evolved between 2009
consumption and schooling point impact on the same substantially in and 2011: from 27% to

13. Part 2:
Impact of CARE Rwanda
SAFI project

14. 2.a. Description of the study
population

15. VSL Members: Gender
Female Male
23%
77%

16. Average age of VSL members
by gender
Average age of female and male VSL members
43
45 41
40
35
Average age in years
30
25
20
15
10
5
0
Female Male

17. VSL Members:
Socio-Demographic characteristics
Male Female Total
Single 12% 6% 8%
Widow 6% 41% 33%
Marital status Divorced/Separated 4% 17% 14%
Married
78% 36% 46%
Yes 61% 42% 46%
Literate No 39% 58% 54%
No education 36% 55% 51%
Level of Primary
59% 42% 46%
education O level 4% 3% 3%
Secondary 1% 0% 0%
Total 100% 100% 100%

18. % of member who have abandoned the group per
gender
100%
90%
80%
70%
68
60% 78
50%
40%
30%
20%
32
10% 22
0%
Male Female
Have abandoned Still member

19. % of member who have abandoned the group per
district
100%
90%
80%
51
70% 62
67
60% 82 76
87 83 89 95 93
50% 100
40%
30%
49
20% 38
33
10% 17 18 24
13 11 7
0% 0 5
Rulindo
Gatsibo
Gicumbi
Rubavu
Nyabihu
Kirehe
Bugesera
Kayonza
Gakenke
Nyagatare
Rwamagana
No longer member Still member

20. Reasons for leaving the VSLA group
provided by the members who left the group
60%
53%
50%
40%
30%
24%
20% 18%
12% 11% 11%
10%
8%
2% 2% 1%
0%
Unable to Group Could not The group Conflict in Sick Did not see Not Difficult to Other
save leadership participate expelled me the group concrete satisfied pay back
problem to meetings results with the the loan
group

21. 2.b. VSLA impact on
Household Livelihood Conditions

22. With their own words….
“I have benefited a loan
“We were of $1333 from the
marginalized such SACCO because of my
that we could not membership into VSLA,
even sit with this allowed me to build
others…” my house”
“I was in the list of
the most vulnerable.
Now I can’t even
accept being in such
list”
“Now everyone
“No more food from our group
problem at home” have a house,
cloths, health
insurance…”

23. Evolution of the Poverty level of the VSL
members’ household
120%
100%
97% 97%
90%
80%
77% 76%
70%
63% 62%
60% 54%
40%
20%
0%
% of People below national % of people below $1 a day % of People below $2 a day
poverty line
Baseline 2009 Final 2011 Rwanda national - 2006

24. Change in
Quantity and Quality of the meal:
Perception of the households on the change on the quality and quantity of their
meal during the last 2 years and the contribution of the VSLA to the change
50%
45% 44%
40% 37%
35%
30% 27%
25%
20% 19%
20%
15%
10%
5% 5%
5%
0% 0%
0%
Sig. increased Slightly Stayed the Slightly Significantly
increased same diminished diminished
% who declared the change % who attribute the change to VSLA

25. Change in
the revenue of the household:
Perception of the households on the change on the revenue of their household
during the last 2 years and the contribution of the VSLA to the change
60%
50% 48%
43%
40%
30%
23% 22% 23%
20%
10%
3% 3%
0% 0%
0%
Sig. increased Slightly Stayed the Slightly Significantly
increased same diminished diminished
% who declared the change % who attribute the change to VSLA

26. Change in access to education for the HH children:
Perception of the households on the change on their children’s access to
education during the last 2 years and the contribution of the VSLA to the change
60%
51%
50%
40%
33%
30% 28%
20%
15% 13%
10%
1% 0% 1% 1%
0%
Sig. increased Slightly Stayed the Slightly Significantly
increased same diminished diminished
% who declared the change % who attribute the change to VSLA

27. Change in
access to health care by the HH members:
Perception of the households on the change in access to healthcare by their
members and the contribution of the VSLA to the change
40%
35%
35% 32%
30% 29%
25%
25% 23%
20%
15%
10%
5% 4%
1% 1% 0%
0%
Sig. increased Slightly Stayed the Slightly Significantly
increased same diminished diminished
% who declared the change % who attribute the change to VSLA

28. Change in households’ assets
over the past 2 years
Baseline Final
adjusted 2011
2009
% who have purchased asset
during the last 12 months 31% 63%
Average amount spent (in
USD) to purchase assets $11 $41
Legend for this table and the following ones
Significant and positive trend
Significant but negative trend
Not significant

29. Evolution of the % of households possessing each
asset over the past 2 years
45%
41%
40%
35%
30%
25%
21%
20% 18%
15%
15% 13%
11%
10% 9% 9%
7%
5% 4% 4% 4%
2%
1%
0%
Cow Sheep Goat Pork Poultry Rabit Bee hive
2009 2011

30. Evolution of the % of households possessing each
asset over the past 2 years
45%
40% 38%
36%
35%
30% 27%
25%
24%
20% 19% 18%
15%
10%
10%
7%
5% 3% 2% 3%
0%
0%
Bicycle Radio Television Cell-phone Matress Bed
2009 2011

31. Change in the quality of housing
over the past 2 years
Baseline Final
adjusted
2011
2009
% of VSLA members who did house
improvement 15% 39%
Average amount (in USD) spent for
house improvement $7 $56

32. Change in Food Security
over the past 2 years
Baseline adjusted Final
2009 2011
% of HH without food for 1 day
during the last 3 months 57% 29%
Number of meal in 2 days 2.1 3.2
Food quality index 37.1 46.0

33. Change in children’s education
over the past 2 years
2009 2011
% of VSLA members who have
invested in their children education 60% 54%
during the last 12 months
Average amount spent into
education (in USD) during the $8.9 $9.5
last 12 months

34. Change in access to health
over the past 2 years
2009 2011
% of VSLA members who made
medical expenses for their HH 75% 61%
during the last 12 months
Average amount spent (in USD)
into Medicare $5.9 $10.7

35. 2.c. Economic impact on the members

36. With their own words….
“Before we thought “Now I can even
that when you are challenge money
poor you can only …” women
work for others. Now
many women are
conducting IGA.”
women Gicumbi “VSLA has awakened
us, it gave us a light,
“
helped us to save. We
We were wasting
have benefited from
money without
advises on how to
saving” women
move out of ignorance
…”
women of Kayonza
“My entire life I could not
imagine possessing $17, but
now I am capable of asking
a loan of $17 and even more
being able to reimburse it”
women in Gicumbi

37. Change in access to loan
over the past 2 years
2009 2011
% of VSL members who have
accessed a loan during the last 12 20% 83%
months
Average number of loan contracted
during the last 12 months 1.5 2.6
Average amount of loan taken (in USD) $4.4 $43.8

38. Source of loan taken by the VSL members
in 2009 and 2011
100%
90%
80%
70%
60%
56%
50%
93%
40%
30%
20%
10% 25%
0%
2009 2011
VSLA MFI Family/relatives SACCO
Bank Local associations Cooperatives Church
Government Other

39. Main use of the loan in 2009 and 2011
% of loan contracted during the last 12 months, mainly used for …
40%
35%
30%
25%
20%
15%
10% 2009
5% 2011
0%

40. Change in
Income generating activities
over the past 2 years
2009 2011
% of VSL members who
19% 43%
are conducting IGA
Amount of money
$5.7 $25.1
invested into IGA (in USD)

41. Relationship with formal financial institutions:
saving and loan services
2009 2011
% who have benefited from saving services
with formal financial institution (individually 1.5% 46.0%
or through their group) (***)
% who have benefited from loan services
with formal financial institution (individually 0.2% 17.8%
or through their group) (***)

42. 2.d. Social effect of VSLA:
Gender and Community Leadership

43. With their own words….
“There is a change in women “At the baseline in 2009, the
involvement into decision VSLA members from Gicumbi
making. Some husbands was even afraid to approach us
discuss household and talk, they were visibly very
expenditure decisions with vulnerable and lacking
their wife, because they know confidence. I cannot imagine
that it’s her who take the loan” they are the same people I have
Women
met 2 years ago”
Beata enumerator at baseline and Final
“Today I can express survey
myself freely and being
understand by my “Our husbands are
husband, while before he happy because the
used to hit me” charges of the
Woman of Rubavu
“At the first share-out we
household are now
bought goat, at the second
shared”
share-out we bought a Women of Gicumbi
mattress; it was the first time
we slept on mattresses. Our
husband appreciated it, and
realized that we women are
capable” Women of Rubavu

44. VSL and community leadership
over the past 2 years
2009 2011
% who are member of any other
17% 15%
community based associations
% occupying leadership position
5% 4%
in the community
% who plan to run for office
15% 11%
during the next local election
% who spoke at a public
meeting during the last 12 39% 38%
months

45. Change in women self-esteem
over the past 2 years
% of female VSL members reporting a “full agreement” with the following statements :
2009 2011
I can always resolve problems if I try
hard enough 31% 41%
If somebody opposes me, usually I can
find a way to get what I want 19% 22%
I always find some way to deal with
problems that confront me 27% 42%
I can influence my husband’s decision
making 30% 37%
I can take action to improve my life 37% 51%
I can influence important decisions in
my community 15% 16%

46. Change in women’s
decision making over the past 2 years
% of female VSL members reporting a “high contribution” in decision making
2009 2011
Children’s schooling
30% 44%
Health 36% 42%
Food 38% 48%
Housing 13% 27%
Equipment 33% 31%

47. Change in women’s
contribution to household expenditures
over the past 2 years
% of female VSL members reporting a “high contribution” to HH expenditure
2009 2011
Children’s schooling 25% 33%
Health 32% 33%
Food 33% 36%
Housing 15% 27%
Equipment 31% 32%

48. Where else are we currently doing similar survey ?
TUNISIA ASIA
MOROCCO
WESTERN
ALGERIA
LIBYA •Vietnam
EGYPT
SAHARA
•India
MAURITANIA MALI •Indonesia
NIGER
ERITREA
CHAD
SENEGAL
THE
GAMBIA BURKINA DJIBOUTI
GUINEA
BISSAU
GUINEA
BENIN NIGERIA
SUDAN
COTE TOGO
D’VOIRE CENTRAL
SIERRA
LEONE AFRICAN ETHIOPIA
CAMEROON REPUBLIC
LIBERIA
GHANA UGANDA SOMALIA
EQUATORIAL REP OF
GUINEA THE DEMOCRATIC
CONGO REPUBLIC KENYA
GABON
OF THE CONGO
RWANDA
(ZAIRE)
BURUDI
ANGOLA Zanzibar
TANZANIA
MALAWI
ANGOLA
ZAMBIA
NAMIBIA ZIMBABWE
Countries with an ongoing VSL BOTSWANA
member survey initiative
LESOTHO SWAZILAND
© Copyright Bruce Jones Design Inc. 2004
SOUTH
AFRICA 0 500 1000 Nautical Miles