CONTRIBUTION OF VILLAGE SAVINGS AND LOAN ASSOCIATION SCHEME TO THE LIVELIHOOD EMPOWERMENT OF WOMEN IN NADOWLI-KALEO DISTRICT IN UPPER WEST REGION

Abstract

This study was set out to assess the contribution of Village Savings and Loans Association (VSLA) on the socioeconomic livelihoods of beneficiary women in the Nadoli-Kaleo District of Upper West Region. This study used the mixed method approached in elucidating data from the respondents with a survey and interviews of participants of a VSLA intervention in Nadowli and non-participants in the same location. In terms of methodology, the study adopted a survey design method. The study categorised respondents into two (benefices and non-beneficiaries), of which 346 beneficiaries and 176 non-beneficiaries were sampled based on a simple random sampling technique. Survey questionnaires and key informant interview guides were used as instruments for data collection to generate both quantitative and qualitative data to establish the contribution of VSLA programme based on beneficiary’s experience of changes that are attributable to CAREs VSLA intervention in the study area. The data was analysed with the aid of descriptive statistics and a simple linear regression. The findings of the study showed that a significant number of the VSLA beneficiaries acknowledged that they had access to small loan facilities compared to that of the nonbeneficiaries, however, the value of the loan of the non-beneficiaries were higher than the beneficiaries. It was also found that the VSLA activities have significantly enhanced women's participation in decision making processes at the community and household levels based on the output of the linear regression. That is, women are able to take actions to improve their lives, speaking out and contributing to issues during community meetings, influencing decisions of their spouse, gaining recognition at both community and household levels, they also gained respect from their family and non-family members. It was further found that the VSLA treatment interventions have contributed to increases in the income levels of their beneficiaries. However, poor attitude towards routine meetings, low repayment of loans taken from the VSLA, poor records keeping and non-compliance with the VSLA rules were identified as challenges facing the VSLA operations. The study therefore concluded that, the VSLA programme has contributed to the socio-economic livelihood of members participating in the programme. It therefore recommends the education of members on alternative means of keeping accurate records in their administration of the VSLA schemes; VSLA model should be reviewed in order to identify the gaps such that activities of the VSLA operations would be linked to attendance of meetings; there is the need for these VSLA groups to be linked to MFIs; and also the VSLA groups that are successfully created and sustained should be networked and linked to National Board for Small Scale Industries (NBSSI).