Engishon Microfinance Limited is a pioneering institution in Tanzania, distinguished as the first microfinance initiative established by pastoralists, specifically for the empowerment of marginalized women and youth within their communities. Founded in 2009 as a sub-program of the Pastoral Women Council (PWC), Engishon has played a vital role in enhancing women’s empowerment. In 2018, it was registered as an independent social enterprise, taking on the name “Engishon,” which translates to “prosperity” in the Maa language, emphasizing its commitment to fostering economic growth and self-sufficiency.
Operating across the Longido, Monduli, and Ngorongoro Districts in the Arusha region, Engishon is not merely a financial institution; it is a social enterprise driven by a mission to address the unique challenges faced by pastoralist women and youth. By offering loans with nominal interest rates, Engishon enables beneficiaries to effectively manage and develop their businesses. Its model is particularly innovative in that it facilitates access to loans without requiring collateral, thereby breaking down barriers that often prevent marginalized individuals from obtaining financial assistance.
One of the most significant aspects of Engishon’s services is its comprehensive approach to capacity building. Engishon goes beyond traditional lending by providing training programs that equip women with the knowledge and skills necessary for making informed financial decisions. This empowerment strategy is crucial, since many formal microfinance institutions often overlook the specific needs of marginalized pastoralist populations.
Engishon’s product offerings include a range of Water Supply and Sanitation (WSS) solutions, which have had a transformative impact on community life. By facilitating access to affordable WSS services through loans, Engishon enables families to improve their living conditions and overall well-being. Additionally, the organization has expanded its portfolio to include solar loans, retrofitting 25 existing solar products to enhance energy accessibility for rural households.
The effectiveness of Engishon can be further attributed to its team of credit officers, who possess a deep understanding of pastoralist contexts. This local knowledge enhances their ability to communicate effectively with community members, simplifying the processes of loan disbursement and repayment. Engishon’s lending models include both individual loans and group lending through Village Community Banks (VICOBA), providing flexible options that meet the diverse needs of its clients.
To date, Engishon has served over 4,000 clients, offering financial literacy training and facilitating the disbursement of more than 600 loans. The organization’s impact extends beyond mere financial assistance; it has played an instrumental role in transforming the lives of countless women and their families.
In conclusion, Engishon Microfinance Limited stands as a testament to the power of community-driven initiatives in fostering economic empowerment. By addressing the unique challenges faced by pastoralist women and youth in Tanzania, Engishon is not only contributing to individual prosperity but also paving the way for broader community development.
If you have insights or inquiries regarding Engishon and its initiatives, we welcome your thoughts. Your engagement can play an essential role in furthering the dialogue on empowering marginalized communities and enhancing their access to vital resources and opportunities.