Over MWK 952 Million Seed Capital Boosts Livelihoods of Vulnerable Households

Sensitization and bank account opening with the selected SLGs and FLEs at Mpherembe in Mzimba north.

More than 1,600 vulnerable enterprises across Zomba, Mzimba North and Mzimba South have received a significant economic boost following the disbursement of over MWK 952 million in seed capital under the Social Protection for Gender Empowerment and Resilience (SP-GEAR) Project.

Implemented by the Creative Centre for Community Mobilisation (CRECCOM) in partnership with UNICEF and with funding from the European Union and the Government of Ireland, the SP-GEAR Project is strengthening the livelihoods and resilience of Social Cash Transfer Programme (SCTP) beneficiaries through sustainable economic empowerment initiatives.

The seed capital has been provided to 640 Savings and Loan Groups (SLGs) and 960 Female-Led Enterprises (FLEs) following a comprehensive assessment and screening process to ensure beneficiaries met the established eligibility criteria. The exercise focused on business viability, group performance, financial management practices and readiness to effectively utilize the funds.

As part of the intervention, beneficiaries were supported to open bank accounts with various financial institutions, promoting financial inclusion, accountability and secure management of project resources. Before accessing the funds, all beneficiaries also received orientation on business planning, financial literacy, record keeping, accountability, gender-sensitive decision-making and fraud prevention.

The supported enterprises include agricultural production, livestock farming, trading, bakeries, butcheries, beekeeping and other small businesses with the potential to improve household incomes and build resilience.

SLG leaders opening bank accounts in Mzimba South

Bank officers engaging with FLE's during bank account opening sessions at Kafukule in Mzimba north.

Following the disbursement, CRECCOM commenced coaching and mentorship sessions to strengthen beneficiaries' business management skills and support the sustainable use of the seed capital. The mentorship focuses on financial management, record keeping, profit reinvestment, business growth strategies and enterprise sustainability.

Speaking on the intervention, CRECCOM Programme Manager, Linice Sanga, said the seed capital is helping vulnerable households move beyond social assistance by creating sustainable livelihood opportunities.

"This intervention is about empowering households to become more resilient and self-reliant. By combining seed capital and financial literacy, business management training and continuos coaching, we are equiiping the beneficiaries with the skills and resources they need to establish sustainable enterprises, increase household income and improve the wellbeing of their families. We are encouraged by the committment shown by the beneficiaries and remain confident that these investments will contribute to lasting socio-economic transformation in the communities we serve", she said.

Coaching and mentorship to the SLGs and FLEs after seed capital disbursement.

The exercise also strengthened collaboration with the District Councils of Zomba and M'mbelwa in Mzimba, Community Development Offices and financial institutions, ensuring transparency throughout the assessment, verification and disbursement process.

The SP-GEAR Project is being implemented in Zomba, Mzimba North and Mzimba South to strengthen gender-responsive social protection systems while improving economic resilience and sustainable livelihoods among vulnerable households.