Solidarity Group Lending
Solidarity Group lending is Fonkoze's core program, available to women who already have a good commerce or business. Groups of five friends organize themselves into solidarity groups, become members of Fonkoze and receive credit. The solidarity methodology creates a system of accountability and support. If one member of the group cannot repay her loan, then the other four are responsible. The women work it out among themselves.
Solidarity groups are then organized into Credit Centers of 30-40 women that become long-term associations of women devoted to individual and community economic and social development. Center meetings take place bi-monthly, and at the center meetings there is singing, networking, training, encouragement, and loan repayment. Women might also receive health assessments, or line up to put money in their savings accounts.
Starting with three-month loans of $75, women can grow within this program until they are borrowing sums as large as $1,300 for six months.