Increasing Income of Chuda Raha Food Vendors Group Through Establishment of Village Community Bank

CHUDA Raha VICOBA project was established in March 2018 and came into being after the CNA conducted in Chuda Raha Youth Street whereby the real needs of Chuda Raha food vendor’s community were identified through data collection methods like focused group discussion, questionnaire, observation, documentary and interviews. The analysis of findings was done by using SPSS and the total sample is 36 respondents.The assessment of CNA indicated that capital was a core problem cause CRFVG fail to expand their business and start up other IGAs. CRFVG was done business for long time but still their poor because they have no capital. Also the assessment of CNA indicate that community failed to access soft loan as a capital from MFIs because of high interest rates, requesting business license, title deed, TIN and collateral, those restrictions hinder CRFVG to take loan. The CED student in collaboration with community revealed that establishment of VICOBA project was the only solution to solve the problem of capital as identified in CNA, also from the experience VICOBA scheme proved to boost poor people income according to its smooth criteria. The outcomes which was achieved after implementation of the project are establishment of Chuda Raha VICOBA Scheme, accessed entrepreneurial skills, group constitution, Group Registration Certificate, opened bank account, group members owned 3600 shares as at 30th August 2018 and have already collected TZS 7,200,000, also 23 members have been able to access soft loans as a capital, and other 7 members are in waiting list to take loans by the end of September,2018. Also the rest have already make repayment, the members income increased and UWAVITA CBO continue to provide sustainable support in the project