Abstract:
Village Saving and Loan Associations (VSLAs) have been recognized as an effective means of expanding women's and marginalized groups' access to financial services. Additionally, research has indicated that VSLAs enhance women's involvement in decision-making processes and boost their economic empowerment. Consequently, empowering women through a well-structured VSLA program has demonstrated the potential to fortify their financial independence, vocational abilities, and analytical thinking. These socio-economic empowerment initiatives are expected to enable women to access credit and improve their personal circumstances, as well as those of their families and communities, ultimately making valuable contributions to society at large. This study investigates the impact of Village Saving and Loan Associations (VSLAs) on women's empowerment in Torit County, South Sudan. The objectives include assessing factors influencing women's participation in VSLAs, examining VSLAs' contributions to women's empowerment, entrepreneurship, decision-making, and sustainable livelihoods, and identifying challenges faced by women in these associations. Using a mixed-method approach of qualitative and quantitative design, the study gathered data from 95 VSLA members by questionnaire and conducted key informant interviews and focus group discussions. Results indicate that VSLAs have positively affected members, enabling increased savings, reduced borrowing, and income generation for nearly all participants. Moreover, these associations have improved decision-making at the household and community levels and enhanced women's financial status and welfare. The challenges faced by women participated in VSLAs are short term loans limits long investment and the group does not seek for external sanctions on defaulters. The study concludes that VSLAs play a crucial role in empowering women, recommending measures such as better access to loans, favorable taxation policies for small-scale businesses, and awareness campaigns against harmful cultural norms to promote gender equality in decision-making processes at various levels within society. Based on the findings, the study recommends cultural sensitization and awareness program should be introduced as well as the empowerment workshops should be organized.
