Financial Resilience

DMDO Savings Groups offer a reliable, community-based way to mobilise capital, manage risk, and grow small-scale income. With minimal external input, groups self-govern their financial activity, building the habits and discipline that support resilience, investment and liquidity in rural communities.

Learn about how Savings Groups are changing lives here.

How it Works

Each group includes 10–25 members, usually from the same village. They save weekly by purchasing shares at a set value. These pooled funds are used to:

  • Issue Loans: Members borrow up to three times their shareholding and repay with interest, usually 10%.

  • Manage Emergencies: Each group sets aside a social fund for members facing unexpected costs.

  • Run Business Ventures: Many groups invest in trading, agriculture, or livestock and reinvest the profits.

  • Apply Penalties: Members pay fines for missed payments or meetings, which go into the group fund.

At the end of a 12-month cycle, all profits are distributed based on shares held. The group then reconstitutes for the next cycle, often with growing membership and capital.

DMDO’s Role

DMDO does not operate savings groups. Instead, we:

  • Establish new groups and help communities define practical rules.

  • Train local facilitators to manage meetings, loans, and record-keeping.

  • Introduce digital tools like the DreamSave App for financial tracking, visibility, and security.

  • Support long-term performance through occasional check-ins, re-training, and peer exchanges.

Photos from the Field

  • Mr. Erick Mbeyale, a Branch Manager from National Bank of Commerce (NBC). DMDO connects Savings Groups with Microfinance institutions.

  • Ms. Magreth Mpwaji, a Savings Group facilitator, provides training.

  • Ms. Witness Gerald, a gender specialist. To get positive results, the community savings groups should be gender consciousness when it comes into its formation and decision making

  • Mr. Benedict Nayopa, Savings Group trainer from DMDO. He graduated from our training course and now passes on his knowledge.

  • Our agents demonstrate new Savings Groups how to manage their meetings

  • A group photo of savings group agents of change, and facilitators after training

  • A bambaranut farm field owned by savings group at Chiuta village. That is an income generating project for the group and its members.

  • Faith leaders from Mnara and Mandwanga wards were trained on the empowered world view to facilitate changes to communities they serve

  • A group of community leaders demonstrating their empowered world view knowledge during the training

  • Developing Savings Groups' constitutions at Nambahu and Nyundo I villages

  • Savings Groups at Malungo village opening bank accounts before National Bank of Commerce (NBC) sales staffs.

Success So Far

  • 15+ groups active across Mandwanga and Mnara

  • High repayment rates and strong financial discipline

  • Increasing digital adoption across all new groups

  • Inclusion by design, with participation by members of different literacy levels and physical ability

  • Growing demand for new groups in neighbouring areas

Impact Tracking

DMDO tracks all active savings groups via DreamSave. This enables real-time insight into:

  • Group membership and shareholding

  • Weekly savings performance

  • Loan volume and repayment

  • Annual profit distribution

The public dashboard is available here (username: office@dmdo.org password: Dmdo2025!), allowing us to see which savings groups are performing well in terms of member engagement and loan and enterprise activity.