Whiphold Ltd, the multi-billion Rand Soweto stokvel
which is listed on the Johannesburg Stock Exchange provides one of the best examples of the power of collective saving.
This theme is discussed in the context of NGO involvement and success in Botswana at the time development aid providers pulled out; and development challenges in Ghana that are linked to poor education status of women which the author believes Ghana's development approaches has to take into consideration, as well as well as the role of community based financial groupings in improving economic well-being of the stokvel
members and development in general.
Heidi Kruger, the BHF's Head of Corporate Communications, compared a medical scheme to a stokvel
is a savings club where a group of friends contribute money each month and take turns taking home the month's collection.
No recipient could afford to participate in a stokvel
, (where money or food is pooled and rotated amongst members).
The people's benefit scheme: A generic financial instrument to enhance stokvel
group savings and provide access to geared loans.
This includes rotating savings and credit associations, like tontines and stokvels
, which operate by regularly pooling member deposits and disbursing the entire sum to a different member each period.
We need only look at the enormous popularity of stokvels
offering funeral cover to see how important this is.
These schemes have been vested with legal status and legislation has been introduced that deals specifically with stokvels
(South Africa, 1996).
Participants in the invitations will be black people and black groups, including partnerships, trusts and un-incorporated groups such as stokvels
(community savings schemes).
I am always amazed to see the statistics on stokvels
in South Africa.
For more than a century, black South Africans shut out of formal financial establishments, organised their own 'banks' called Stokvels