Iringa Hope visits 2013: A Day At Ihemi

This morning we took a drive to the IHESA SACCOS. IHESA is the name of the SACCOS that is associated with the Ihemi parish. Ihemi is normally a 45 minute drive down the road from Iringa – this morning it took about 2 hours. Starting from Iringa at a little after 8 we first stopped to pick up Peter, our intern, and Enock, the Director of the MFI. We then went down the hill (Iringa is located on top of a plateau about 600 feet above the main – and only- highway) to pick up Brown from the Diocese. Brown had dropped his wife off for work in Ipogoro and planned to meet us near her workplace. We turned down a deeply rutted road and found Brown waiting for us. As we were turning around to go back to the road Brown said “Don’t go there – I know a short cut.” Well, you guessed it, after straddling ditches 4 feet deep, driving up and over dirt mounds and down small trails we eventually did emerge on the road – but it seemed like a long way for a “short cut.”

We took off down the road to Ihemi. About half of the way there Tom went to shift and the car stopped. Coasting to the side of the road a cloud of black smoke arose from under the hood. We stood around until it quit smoking, then went and got some water for the radiator. When we poured a little water in out came black mud and a small rock! We poured and poured water into the radiator until, after about three buckets, it was finally full – it must have had no water in it at all. After a little while it started up and away we went!

When we got to Ihemi we had to have chai first (you always have to have tea first). As we had chai we chatted with many old friends – after all we have been coming to Ihemi for 12 years now. Finally we went over to the SACCOS meeting.

The Ihemi SACCOS currently has 110 members. This is approximately the same number as last year. They have another 13 members “pending” – but they have been pending for about 1 year now. In addition, there are about 50 that they have taken no action on at all. The limit here is the rule that they should be able to give about half of their members a loan at any one time. We are concerned that if people have to wait more than one year to get a loan they will become disillusioned and the SACCOS will suffer.

At our meeting today 53 of the members were present. We gave brief greetings and reminded them of the basic principles of a good SACCOS (informed members who demand their rights; good leaders who answer all questions; no secrets about loans, capital, and expenses; and ongoing education and training for leaders and members of the SACCOS). Sandy showed them the calendar we had made last year – pointed out the IHESA members who were highlighted. As it turned out one of them was at the meeting so everyone got a laugh at the “calendar girl.” Enoch then talked with the Secretary to select three members for us to interview. The members chosen had to have taken out several loans, been members for at least 2 years, and have not been interviewed before.

The members selected went outside with us and we did our interviews while Enock gave a class on the basics of good governance. The first lady we talked to was Argentina Mtisi, 63. She and her husband, Zebedee, have four children – all now grown – and 4 grandchildren. She told us that she and her husband have been members since the SACCOS first started in 2008. They were going to get their 4^th loan today for $315. With the profits from their first three loans they have built a brick house; have grown their land from 1 acre to 4 acres; and sent their children to post secondary school (one became a primary teacher, one became a secondary science teacher, one has a business degree, and one is still in medical school). They told us that before they got a loan they had been used to harvesting 5 bags of maize from their one acre. This meant that their income was $234/year. Since then their loans have allowed them to make use of fertilizer and better seed (taught by our sister program – the “companion village plot” program or CVP) increasing their yield to 20 bags/acre. With their increased land they now make $3,750/year – amazing! They are now planning on sending their 4 grandchildren to secondary school and who knows after that!

We next talked to Maria Masika, 30. She has four children ages 11, 8, 6, and 2. Maria’s husband was killed in a traffic accident and since then she has worked as a business woman supplying food to a Catholic secondary school. Since she joined the SACCOS she has taken out four loans; the first three were for $310 and the fourth was for $625. From a $625 loan she sees a profit of about $220 per month, which she uses to increase her business capital and take care of her family’s needs. She is able to repay her loan in six months. Maria is not a member of the Ihemi parish, but belongs to the Catholic Church.

Lastly we talked with Victor Mkundi, 55. Victor and his wife Belta have 10 children and 8 grandchildren. Seven of their children are now grown while 3 are still at home. Victor has taken out 3 loans from Ihemi. Using his loans he first bought fertilizer and better seed to increase his yields. Using the profits from this together with his next loan he bought more acres of land (growing from 1 acre to 3 acres for crops and 2 acres of timber) and began to install an irrigation system. With his last loan he finished his irrigation system. He told us that when he started he was earning 200,000 Tsc ($125) from his farm. With the irrigation and the increase in land he now earns 2,100,000 Tsc ($1,321) from his farm. Additionally, he has sent all of his children to primary, and now to secondary school. He told us that he has also been able to build a 6 bedroom brick house for his family (this year he will finish roofing it).

When Enock finished the lesson we moved over to the SACCOS office and looked over their books. We looked over several of their loan applications. A “typical” application we looked at was a woman asking for a $350 loan. With this she planned to plant using the CVP methods. She expected to make a $610 profit after paying back the loan (the Secretary told me this was conservative. He said they thought she would make over $750 from this loan). Overall the IHESA members earned (a conservative estimate) $37,500 in profits last year! In addition, the SACCOS earned $1,300, after expenses, from their loans! With 56 members receiving loans this means that the “average” member had their income increased by $670.

I asked about how many loans had not been repaid. “Why all of the loans are repaid,” I was told. Overall we were humbled by the hard work, care, and pride in the accomplishments of our members. From a “gift” of $14,750 to start their SACCOS they have increased their capital to over $28,000 while increasing their community’s income by over $37,000/year. In addition, the Ihemi parish can now boast many college graduates and successful business owners. Finally, I asked them how many children were being sent to primary and secondary school from the profits from loans this year. “We are not sure since we have not yet gathered that information. We believe it is about 100 or so.”

We thought that our meeting was over so we started to leave. “You can’t leave yet, you have to give out loans!” They told us. They said that since Iringa Hope was responsible for their SACCOS the members had decided that it would be a great honor if we would hand out some of the loans today. We handed out loans and the honor was ours.

On our way to Ihemi the car stopped and started to smoke. When we poured water into the radiator mud and a rock erupted!

At Ihemi we first had "chai." We met many old friends - we have been coming here for 12 years now!

Of the 110 members, 53 (plus the officers) came to the meeting.

Sandy showed them the Ihemi members that were in our calendar. One of the women was present. There was a lot of laughs for the "calendar girl."

While Enock gave the seminar we went outside to do interviews.

Argentina Mtisi, 63 and her husband have sent four children to college, built themselves a home, and are planning to send their 4 grandchildren to secondary school.

Widow Maria Masika, 30, is sending her 4 children to school and taking care of her family.

Victor Mkundi, 55, has sent his 10 children to primary and now to secondary school using his profits. He is now completing a 6 bedroom home for his family.