1. Product Development Division OPPORTUNITY INTERNATIONAL In Search of a “Recipe” for Empowerment and Transformation Lisa Kuhn Fraioli Micro-lending Product Manager Opportunity International Network March 12, 2003

2. Product Development Division OPPORTUNITY INTERNATIONAL Background—Sinapi Aba Trust Headquarters—Kumasi, Ghana 16 branches—all 10 regions of Ghana 41,000 clients—93% women Financially sustainable Trust Banks—large group lending methodology Training on business, social, health, family, spiritual topics Clients choose topics

3. Product Development Division OPPORTUNITY INTERNATIONAL Objectives Greatest empowerment for greatest number Greatest social return on investment Understand process of transformation Identify which program elements critical for success “Recipe” for empowerment and transformation

4. Product Development Division OPPORTUNITY INTERNATIONAL The Study Regional focus groups of Loan Officers In-depth interviews  10 “successful” women clients  11 husbands of women clients  Only 3 were couples

5. Product Development Division OPPORTUNITY INTERNATIONAL Focus 4 Levels Individual/Personal Family/Household Business Community 5 Areas of Change Relationships Skills & Capabilities Spiritual/Ethics Gender Equality/Roles Welfare/Economic

6. Product Development Division OPPORTUNITY INTERNATIONAL Overall Findings Loan officers said: Money = Power Education = Power Heritage = Power

7. Product Development Division OPPORTUNITY INTERNATIONAL Money + Knowledge = Empowerment Access to capital opens new opportunities BUT… Without training, women interviewed would not have been prepared to fully capitalize on those opportunities

8. Product Development Division OPPORTUNITY INTERNATIONAL Business Impact Supplier credit + cashMore inventory Purchasing w/ cashBreaking dependence on one supplier Diversification Cash flow smoothing More variety & inventory New & bigger customers

9. Product Development Division OPPORTUNITY INTERNATIONAL Information: The Missing Link Supplier credit + cash More inventory Inventory Management Credit Management More inventoryMore profit + + + Pricing

10. Product Development Division OPPORTUNITY INTERNATIONAL Information: The Missing Link Purchasing w/ cash Breaking supplier dependence Advice from Trust Bank Members Better and cheaper goods More profit +

11. Product Development Division OPPORTUNITY INTERNATIONAL Information: The Missing Link Diversification Market assessment & customer insight Planning turn-over Cash flow smoothingSteady income + +

12. Product Development Division OPPORTUNITY INTERNATIONAL Information: The Missing Link More inventory and variety Management of customer accounts Marketing & customer relations New & bigger customersMore income + +

13. Product Development Division OPPORTUNITY INTERNATIONAL Bridging the Gap Income & Business Success Empowerment

14. Product Development Division OPPORTUNITY INTERNATIONAL Empowerment Within the Family Women experienced increased respect and role in decision-making in extended family Need help from family Loan Business success Able to help family Family notices success & begins to solicit opinions Trust Bank leadership experience & training More confidence & ability to express herself effectively Woman helps solve family problems

15. Product Development Division OPPORTUNITY INTERNATIONAL Empowerment Within the Family Within immediate family—process the same She no longer asks for money Fewer arguments She helps out with “men’s” responsibilities Gets a “say” in major decisions like education Education in Trust Banks on gender equality and importance of educating girls More girls are in school and believe in their equality

16. Product Development Division OPPORTUNITY INTERNATIONAL Empowerment in the Community Women are perceived as “serious” in business Increased respect from businessmen Family seen as “well-to-do” Women participate in market & church groups Help organize new Trust Banks Contribute labor and finances to community development projects Share learning and advice with others Greater respect and self-respect

17. Product Development Division OPPORTUNITY INTERNATIONAL What Do Men Think? Take the loan as a serious commitment Appreciate the additional income & savings Willing to help out at home Contrary to conventional wisdom, wives have not become haughty—continue to be respectful Wives’ success and role in community brings honor to the family

18. Product Development Division OPPORTUNITY INTERNATIONAL Key elements Loan Training  Customer relations  Marketing & Market Assessment  Credit Management  Inventory Management  Pricing  Self-expression & family relations Experience with leadership and decision- making

19. Product Development Division OPPORTUNITY INTERNATIONAL Limitations Even though men have changed behavior, they have not changed beliefs Women leading women, but not men Women taught to be respectful or “submissive” to keep peace at home Cases where men reduced support to family

20. Product Development Division OPPORTUNITY INTERNATIONAL Practical Implications for Sinapi Aba Strike balance between client agenda and high-impact standardized training Rotate leadership so more clients get experience with decision-making & leadership Self-expression and relationship skills critical How to involve men to build support? Need to emphasize mutual respect & cooperation Balance affirmation of women’s traditional contributions with support for workforce roles