SSDO

The Road to Financial Sustainability: The OVC Project

The 4GATES Orphaned and Vulnerable Children (OVC) project is a global action toward HIV epidemic control in sub-national units in Nigeria. It is a five-year comprehensive HIV care, treatment, and prevention program funded by the Center for Disease Control. With a mandate to work with non-profit organizations and healthcare facilities.

Enugu was one of the red states identified during the assessment and as such, the project is being currently implemented in the state. South Saharan Social Development Organization(SSDO) is an implementing partner alongside the Catholic Caritas Federation of Nigeria (CCFN). So far, the project has been able to reach over 10,000 beneficiaries. Linking them to treatment and monitoring their progress to attain viral load suppression. 

Of all the positive beneficiaries enrolled, 96 percent have been able to attain viral load suppression. Reducing the amount of HIV in the blood to a very low level. This makes it possible for the immune system to function and reduces the risk of illnesses. But importantly, it also keeps the risk of transmission at a low. 

Through the project, SSDO has been able to support beneficiaries with cash transfers and other forms of support. Beyond health, we understand that other facets of the beneficiary’s life matter in attaining wholeness. For us, the goal is not just to see them attain health stability but also financial and psychosocial stability. Here’s how we’re empowering beneficiaries to be financially stable and economically viable citizens. 

Income Generating Activities

IGA is a business model that offers beneficiaries the capital and support to improve their household income through livelihood diversification. We provide beneficiaries with financial support to startup small businesses. The goal of IGA is to ensure the financial sustainability of households. Some of the businesses include petty trading, chemical production, and agricultural byproduct sales. 

We currently have 67 beneficiaries of IGA in the OVC project. They have been able to provide for their families and built a sustainable source of income. Another such initiative is cash transfer. 

Cash Transfer

A cash transfer is a direct payment of money to a beneficiary who is in dire need. It could be temporary assistance for needy families, social security, or workers’ compensation. But in this case, it is made available to beneficiaries who have an urgent need for cash. Often, the beneficiaries are incapacitated or unable to run a business due to health or age factors. So far over 40 beneficiaries have benefitted from cash transfers. 

Adolescent Vocational Training

Understanding that financial sustainability is a long-term endeavor, we focus on empowering adolescent beneficiaries with valuable life skills that can help them learn. Rather than wasting time after their secondary school before taking the tertiary entrance examinations, adolescents are enrolled to acquire skills. And for those who are unable to continue with tertiary education, it becomes a valuable path to economic sustainability. 

To guarantee consistency and dedication, adolescents are allowed to choose skills of their choice from a wide range of options. They include welding, fashion designing, carpentry, plumbing among others. The training fees and startup kits are usually provided for beneficiaries. There are currently about 20 beneficiaries of this initiative. 

Building a Savings Mindset: Implementing Village Savings and Loans Association

One way to improve the financial stability of a family is by creating a financial plan and following through with the process. Savings is one such habit that can help a family in dire times. It provides a financial backstop for life’s uncertainties and gives a feeling of security. It helps with emergencies and purchases and can be a good starting point to financial independence. 

We understand the importance of savings to the stability of beneficiaries and as such encourage Village Savings and Loans (VSLA) in our catchment areas: Enugu South, Nkanu West, and Nkanu East LGAs. South Saharan Social Development Organization (SSDO) in partnership with the Catholic Caritas Foundation of Nigeria through the 4GATES Orphaned and Vulnerable Children Program empowers beneficiaries to make healthy decisions to improve stability. 

It is not enough to offer quick, one-time donations to beneficiaries. Beyond the emergency period, there has to be a sustainable mechanism to ensure beneficiaries can generate income for themselves. One such avenue is leveraging VSLA. 

VSLA is a self-select savings group that uses members’ savings to lend to each other so they can grow their business. This way, members can increase their income, cultivate a savings habit, and imbibe an investment mindset. 

This methodology enables members to save weekly or bi-weekly according to the agreed number of shares. It helps build savings that can be reinvested into the business or used to take care of emergencies or general household running.

Benefits of a VSLA 

The savings scheme helps increase the income of a household head. When it is time for a savings group member to access loans, they can use the bulk payment to start or fund an existing business. 

It teaches members the importance of frugality and the need for savings. Rather than being extravagant, they learn how to invest in business and agriculture.

Current Reality

Under the catchment areas that SSDO manages, there are 64 beneficiaries in three VSLA groups. And they run a cycle of 9 to 12 months. 

The Household Economic Strengthening Officer is always on the ground during meetings to supervise the proceedings, monitor the progress, and offer psychosocial support.