Do no harm.

Careless lending harms borrowers. We take great pains to ensure that we only lend when we are confident that the borrower will benefit. We are enthusiastic adopters of the Client Protection Principles which mainstreamed into all aspects of our operations. All new staff are inducted into the CPPs and prepare a CPP review in which they examine all aspects of our operations for compliance with the standards. The recommendations arising from their review are incorporated into our systems and procedures.

Social performance management.

At present, there is no Progress out of Poverty Index for Zimbabwe. This index, prepared on a country specific basis, is the most commonly adopted poverty assessment tool. We are working with our industry representative body and other like-minded MFIs to create such a tool for Zimbabwe. In the meantime, we have developed our own tool to enable us to measure changes in poverty likelihoods over time. We have also recently introduced our own training evaluation tool to ensure that our training develop capacity over the long-term.

Thrive together with Lend with Care and the University of Portsmouth has started to undertake an impact assessment study that will run for at least three years. The findings are expected to further increase our understanding of poverty and how microfinance can play a role in the fight gainst.

As at December 2016 Thrive is now Social Performance Indicators 4 (SPI4) compliant.

Outreach.

Thrive has a pro-poor focus and is based in South-East Harare and Chitungwiza, areas of significant un-met need. By December 2016, Thrive had trained and lent to over 7000 women and disbursed $5m in loans. Typical business include cross-border traders, manufacturers of floor polish and cleaning materials, furniture makers, rearers of poultry, stall-holders, tailors & peanut butter makers. Most borrowers work on their own or with1 or 2 employees, generally from their families.

Costs.

We charge $1 per person per session for the training. Interest is charged at 3% per month flat (APR 59%) for loans up to $275, 4% flat per month (APR 78%) for loans between $276 and $325 and 6% per month flat (APR 97%) on loans above $325. Approximately 20% of first loans qualify for the 3% rate and 30% for the 4% rate. We use flat rates in all discussions with borrowers as it enables them to better calculate and understand the actual cash cost of borrowing.

Financials.

Thrive is not a charity - it is run for profit with all surpluses retained in the business for the benefit of its borrowers. We are currently operating at breakeven and aim to make modest surpluses to fund future growth. When we can, we reduce costs to borrowers or improve services.

Our current loan book is about $1m. We are expanding our loan book by about $25k or 15 net new groups per month. We have been successful in attracting external funding from Kiva, Lend with Care and the Zimbabwe Microfinance Wholesale Facility.

Our bad debt write-offs are under 2% of total loans advanced - we are very careful not to lead people into over-indebtedness.

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