Case study: Kuwala (‘Shine’) project in Malawi

Hear tea worker Eliza Taibu's story.

Tea worker Eliza Taibu's story 

Eliza Taibu, 34, is a weighbridge clerk at Ruo tea estate. As a single mother of two, she is economically vulnerable as she bears the sole responsibility of supporting her children’s welfare and education with only one income. The risk of falling deeper into poverty can lead to some turning to potentially dangerous loan sharks with unfavourable rates for money.

“As a single mother, raising the two children alone and providing for their daily needs has not been easy. I used to access high-interest rate loans that I promised to repay, but unfortunately, I was failing to settle them,” she said.

“As a single mother, raising the two children alone and providing for their daily needs has not been easy.”

In 2020, the Ethical Tea Partnership launched the Kuwala (‘Shine’) project with Tata Consumer Products Limited, aiming to improve the lives and livelihoods of tea estate workers in Malawi. “When the project was introduced, we were first trained to appreciate the ethical operations of a Village Savings and Loans Association (VSLA) and how we can benefit as members of such associations. After the training, I joined forces with 15 other colleagues and formed a VSLA,” she said. 

VSLAs are informal self-managed groups of 15-20 people that provide their members with skills training and coaching on financial literacy and management. Members put individual savings together in a joint fund which they borrow from at an agreed interest rate. The group makes profits as members repay their loans.

VSLAs are informal self-managed groups of 15-20 people that provide their members with skills training and coaching on financial literacy and management.

“After my first saving share, I started borrowing from the group and repaying my loan.

“After six months we shared our savings and profits, and I used this money to acquire land where I planted tea.

“In 2021, I saved with the VSLA again and used this money to start constructing a house.”

Eliza harvests and sells tea from the farm she bought using funds received from the VSLA, earning an additional income every month from sales.

“When I receive this money, I save some of it at the VSLA so that it can generate interest. This means that when collecting my shares, I get more money which I use to buy basic needs for my household,” she said.

“I can testify that through the Kuwala project, my life has improved a lot because I can afford the things such as building a house and owning land; these are things I could not afford before this project.”

“I can testify that through the Kuwala project, my life has improved a lot because I can afford the things such as building a house and owning land; these are things I could not afford before this project. I also managed to start a small business with money from the VSLA.

“I can support my children’s education, provide them with food without problems, and I can see a brighter future for my children and me,” she said. 

Click here to read our 2022 Annual report, and read more about our work in Malawi here.

Share

Find out more...