Chapter 3.

Introduction to Best Practice

Modules

This chapter presents an outline of the 8 core
SLG facilitation modules, integrated with
other key trainings, to be delivered in the first
year of group formation. After undergoing
facilitation and supervision for 12 months,
SLGs should be adequately prepared to
proceed independently, with occasional
support from external facilitators such as
community-based trainers and community
development assistants.

Table 2. Summary of step-by-step core SLG modules plus integrated training session space
holders

Step Phase Summary of activities

1. Preparatory Lasts up to 1 month
Prep. Week 1
• Community sensitisation & leadership awareness on SLG programme
Prep. Week 2
• Mapping and identification of household livelihood profile
Prep. Weeks 3 & 4
• Meeting each livelihood profile and addressing them separately to
sensitise communities about SLGs and to allow self-selection within
each profile:
- Ways of raising money to save in SLGs explored and agreed upon
among potential members
- SLG self-selection, ‘SLG Meeting B’ (1st meeting with newly
formed groups) – setting personal and group goals and objectives
of the SLG
- Introduction to engaging men to empower women
2. Intensive SLG Modules 1–4 are delivered in one week for 4 consecutive days. This is to
Phase – start allow groups to start saving as soon as possible. Savings activities cannot
counting start until after the group undertakes the 4th training module. Groups meet
weeks and close to members’ homes and trainings take up to 2.5 hours – no need for
months from meal budgets.
here Week 1 (day 1)
• Module 1: Groups, leadership and elections
Week 1 (day 2)
• Module 2: Social fund, share purchase and credit policies
Week 1 (day 3)
• Module 3: Development of group constitution
Week 1 (day 4)
• Module 4: First share purchase meeting
Week 2
• Supervisor present, observation and support; SLG rolling baseline
data collection
Week 3
• Supervisor present, observation and support; SLG rolling baseline
continues
 Week 4
• Module 5: First loan disbursement meeting; supervisor present
Weeks 5–7
• Supervisor present, observation and support; integrated training
sessions
Week 8
• Module 6: First loan repayment meeting
Weeks 9–11
• Supervisor present, observation and support; integrated training
sessions
Week 12
• Change of phase from intensive to development phase
• Group supervision meeting with community based trainer
• MIS data collection and verification of group readiness to change phase
to the next level (MIS data to be collected every 3 months hereafter)
3. Development Weeks 13–15
• Integrated training sessions
Week 16
• Supervisor accompanies trainer to observe group meeting; integrated
training session
Weeks 17–19
• Integrated training sessions
Week 20
• Supervisor accompanies trainer to observe group meeting; integrated
training session
Weeks 21– 23
• Integrated training sessions
Week 24
• Change of phase from development to maturity phase
• Trainer accompanied by a supervisor conducts a SLG performance
assessment using the group performance assessment tool
• Integrated training session
4. Maturity Weeks 25-35
phase • Integrated training sessions
Week 36
• Module 7: Group performance assessment, Action
audit/share-out
Weeks 37–40
• Integrated training sessions
Weeks 41 - 42
• Module 8: SLG networking
• Group performance assessment
• Lessons learnt documented and shared
Week 43+
• Graduation to SLG networks
• SLGs graduate and form networks at community level
• Integrated training sessions
Chapter 4. Programme Design
Savings and loan group programmes should be designed to respond to the financial service needs of low
income groups. Many people in rural areas of Malawi, especially women and people from poor and
marginalised groups, find it difficult to access financial services. SLGs can fill this gap by providing people
with a mechanism through which to save and access credit in their own community.

This chapter looks at the preliminary processes in the programme design phase of the implementation of
SLGs:
• Choosing the location
• Targeting
• Partnerships and coordination
• Service delivery

Choosing the location for SLG implementation

Implementing organisations should consult the District Council to select the location they will work in.
Every district council should set up a database of areas currently reached and areas unreached by SLGs for
access by all organisations wanting to implement SLGs. District Councils must endorse locations where
each implementing organisation will operate. Implementing organisation field officers (FOs) should form
an initial 25% of the target number of SLGs in the first year at strategic locations in the area to allow an
adequate locus for the community based trainer (CBT), who is selected from among the SLG members to
form his/her own group caseload. CBTs are selected from the initial groups formed by FOs. The fee
mechanism should be introduced from the beginning of the project and not towards the end of project
funding. The CBT continues to form and train the rest of the groups to achieve the project targets until the
end of the project funding. This will provide space for implementing organisations to concentrate on
building the capacity of existing SLGs at the higher network level. It is important to emphasise that the
quality of the initial groups, whether formed by staff of the implementing organisation or CBTs, will
determine the quality of the groups that form subsequently.

Targeting
One of the core activities prior to group formation is to map and identify potential beneficiaries using
standard criteria to categorise each household according to their livelihood profile. Categories may include
ultra-poor without labour, ultra-poor with labour, moderately poor and the like.

Once potential beneficiaries have been identified and categorised, households with the same livelihood
profile can be invited to attend SLG sensitisation meetings before self-selecting to form their own groups.
Appropriate livelihood interventions can be designed and integrated with savings and loan facilitation. For
example, the ultra-poor without labour could be supported with unconditional social cash transfers and
may form SLGs after appropriate training. The ultra-poor with labour could be targeted for public works
programmes and encouraged to save a proportion of their earnings from public works activities. The
moderate poor could be supported with livelihood programmes including irrigation promotion, livestock
farming, agricultural production and processing, agricultural marketing, crafts marketing and the like.