Village Savings and Loans Associations: The Business/ Income Case
This report presents research commissioned by the World Cocoa Foundation that explores the financial and business case for supporting Village Savings and Loans Associations (VSLAs), a key part of cocoa sustainability strategies.
The study finds that in terms of net profits, the VLSAs impact as low. For every $1 spents by VSLAs the study found that approximately $0.52 is returned as profit to participants. However, when other benefits, both financial and non-financial, are considered, such as the access to cash, the opportunities to invest small loans in businesses, and their general empowerment of women.
Potential steps to improve the impact of VSLAs are also explored, such as through gender integration to specifically target women’s needs in the community and closely linking VSLAs to the implementation of income generating activities.