Wednesday, February 04, 2009

Of hens and goats

Velerie belongs to a savings group in Kayenzi that meets every Tuesday. She puts in about $1 every week; $0.90 goes into the rotating amount that goes to one member per week, $0.10 goes into an accumulating savings account.

Before belonging to a savings group, Velerie probably never thought that she might be able to put away an extra $1 per week. She never would have thought that if she could put away $1 for 4 weeks in a row that she could buy a hen for $3.65. Now that she's saving in a group of others who support and encourage her, she sees a bigger picture. Velerie comes each week, puts in a dollar, and soon the ROSCA rotates to her and she receives a lump sum of $13.50!! Velerie buys two hens and is left with money to spare for household expenses, health insurance … I don't know, chicken feed? The ROSCA payout provides her with a large sum of money at once. Money that would have never been around if she just had a little bit each week that seeped away into other, smaller, pedestrian purchases. Now, she has two hens.

Velerie cares for her hens for months and sells eggs in the community. During this time, she has built up $5.50 in egg money. Velerie sells her two hens, adds in her egg money, and she's got another large sum of $12.80 – which just happens to be the going rate for goats.

Velerie now owns a goat. She's not counting her eggs before they hatch (awful metaphor choice – we've moved on to goats now), but she's hoping to sell baby goats when her goat gets old enough to give birth, if she could be so fortunate [her words]. In case you're wondering, the Rwandese aren't big on consuming goat milk or goat cheese, just the goat.

An interesting part of this story, looking at it from our point of view, is that Velerie could have bought a hen without the group if she just disciplined her saving over one month. Only within the group, however, was she able to see a bigger picture and receive a bigger lump sum of money than she would ever otherwise have to spend. The "before" Velerie would never have bought those hens, even if we think she could have. The "after" Velerie invested in hens, sold eggs, and then attained a goat. The "after" Velerie is in business.

For reference: Hens cost 2,000 RWF; egg sales totaled 3,000 RWF; goats 7,000 RWF; Velerie saved 600 RWF weekly.

1 comment:

  1. Anonymous9:31 PM

    I love the title of this blog as much as the story! You have always had a gift for titles, as well as the exact "correct" position to sign your name on a painting. You just seem to have such confidence and conviction in all that you do!

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