There is growing interest within the international community over the role of self-help groups (SHGs) – of which there are many different models globally – in poverty reduction and building resilience and food security among poor communities. Tearfund has been working with SHGs in Ethiopia since 2002. Our local partner, Ethiopian Kale Heywet Church (EKHC), inspired by Myrada's SHG model, was supported by Tearfund to introduce the approach into their programming. Initially, five SHGs were started in Nazareth, Ethiopia involving 100 women. By 2016 the number of Tearfund-supported SHGs across Ethiopia had risen to over 20,000 across five partners involving more than 1.8 million people in urban and rural areas. We have benefited from the collaboration with Tear Netherlands and Tearfund Ireland, and a number of donors in growing this work. Tearfund now supports over 27,000 SHGs in sub-Saharan Africa.
We are building evidence of the impact of our SHG programming. We believe it is important to document this evidence, draw out key learning, and share lessons learnt for the broader evidence body around SHGs for the benefit of the local, national and international community. In 2016 we commissioned six research studies to assess the impact of our approach to SHG programming on people living in poverty in the Horn of Africa. Each study generated learning and recommendations relevant to all organisations supporting – or seeking to support – SHG programmes. Tearfund has made summaries of the six research reports, focusing on recurring themes and bringing out key learning points that are useful for us and can be used as a guide for other SHG-supporting organisations. Our summaries are included in this report.
Tearfund's approach to SHGs
Tearfund's SHG model is built on the belief that people living in poverty can be agents of change rather than merely recipients of aid. Our SHGs promote economic, social and political empowerment, and have a focus on personal development, relationship-building, collective problem-solving, collective action, self-reliance and self-learning. Group members are encouraged to become drivers of change in their own lives and in their communities. Mutually supportive relationships are key; members often view the groups as sanctuaries where they can discuss their problems and build trusting relationships that support them through personal crises.
The SHGs have 15 to 20 members, and are intentionally targeted at the poorest sectors of the community. Many groups are women only. Members save a small amount each week, starting at around 2p. Saving regularly enables them to build group capital to allow them to take out small low-interest loans for education and healthcare costs, urgent consumption needs and, ultimately, for establishing or extending micro-enterprises. The groups are selfgoverning but facilitation-intensive, and are financed entirely by member savings.
Tearfund believes that SHGs are most effective for addressing poverty reduction when they are combined with training and advisory services in disaster risk reduction (DRR), adaptive and diversified agriculture, business development, health and sanitation, advocacy, literacy and other skills. In summary, the SHG plus additional activities and support maximises its potential for livelihood resilience and poverty reduction.
Many Tearfund-supported SHGs are organised in a pyramid structure. When 8 to 12 SHGs have reached maturity (after two to three years) they can form a cluster-level association (CLA), which provides support for existing and new SHGs. A federation-level association (FLA) is established when ten or more CLAs have reached maturity. FLAs provide groups with more support such as collective purchasing and opportunities to engage with local government on policy. CLAs and FLAs are integral to Tearfund's approach, being crucial for political change and long-term sustainability.
With the exception of Somaliland, our SHG programmes in the Horn of Africa are primarily run by the development departments of church denominations. The local church is involved in each SHG, although SHGs are comprised of community members irrespective of faith or church affiliation. The principles of our approach are consistent with the mission of the church and its biblical mandate to serve poor and marginalised members of a community. In Ethiopia our church partners have wholeheartedly embraced the SHG approach and replicated it with their own resources.
