Microsavings through Village Savings and Loan Associations

A group of women sitting on the ground facing the ground and a bowl holding items.
Education and Skills

For more than 30 years, community alternatives to banks known as Village Savings and Loan Associations (VSLAs) have enabled women to lift themselves and their families out of poverty.

CARE’s Village Savings and Loan Associations (VSLAs) help women take control of their money and build better futures for themselves and their communities.

These savings groups are typically made up of 15-25 people from the same village or community. These neighbors meet regularly to pool their resources and offer each other small, low-interest loans to grow their businesses, send their kids to school, and meet emergencies head-on.

CARE has helped nearly 21 million people across 67 countries save and lend more than $1 billion—most of it in some of the world’s poorest and most remote places, where traditional banks can’t or won’t go.

Once established, these community-led groups operate without external funding, meaning they deliver one of the strongest returns on investment in global aid: stronger families, more stable supply chains, and more resilient communities that survive crises.

30 years of impact and counting

Over the past three decades of innovation, evidence from across CARE’s programs shows that VSLAs have helped women strengthen their financial footing and improve their families’ well-being:

  • VSLA members see an average income growth of 275% by year five.
  • VSLA members were 50-60% less likely to face food shortages than non-members.
  • Members of VSLAs are up to 85% more likely to have savings to draw on in emergencies.
Since 1991, CARE has directly and indirectly helped over 20 million people to join savings

Since 1991, CARE has directly and indirectly helped over 20 million people to join savings

VSLA members experience an average increase in income of 2.75x over five years 

VSLA members experience an average increase in income of 2.75x over five years 

A platform for growth

These gains reflect the power of a model that grows with women. What began as a simple tool for saving has become a powerful entry point to entrepreneurship, market access, civic engagement, and connection to formal financial systems. For millions of women, VSLAs are not just a safety net—they’re a springboard to greater prosperity.

We’re well on the way to reaching our goal of 50 million women—65 million people overall—by 2030. Many VSLA members are already building on their success, turning individual progress into collective momentum.

With over 20 million members worldwide, the collective potential of savings groups as a market for services and products, as suppliers of essential goods to the world, and as platforms for social change, is immense. CARE walks alongside these women at every step of their journey to lasting economic growth.

Celebrating 30 years of VSLA

Our vision for the future

Building on VSLAs
Positioning savings groups as the foundation for programs in agriculture, health, education, and more—strengthening impact across sectors and serving as an entry point for holistic development in rural communities.

Partnering with Governments
Engaging governments as scaling partners to drive policies that strengthen savings groups and expand, rather than restrict, women’s economic opportunities

Embedding VSLAs in Markets Collaborating with the private sector to connect savings groups to supply chains and unlock market-driven opportunities.
Adapting for Crisis Settings
Redefining what humanitarian assistance looks like through savings models that function in emergencies and strengthen communities towards recovery.
Co-Creating Digital Solutions
Collaborating with women, companies, and local tech providers to expand access to capital, services, and opportunity.
Centering Women’s Voices
Shaping programs around what women say they need and ensuring solutions are responsive and locally led.

Get in touch!

Interested in learning more? Contact Vidhya Sriram at vidhya.sriram@care.org.

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