The innovative Saving for Change program is based on the mobilization of savings in small (20 to 25 members) groups. This approach differs from credit-based microfinance in that group members put their own money—sometimes as little as 25 cents a week—into a savings pool which is then loaned out to group members to cover emergency expenses or to start a small business. Saving for Change is now helping half a million people (primarily women, and a few men in Cambodia) with a safe and convenient place to save money, and as a source of small loans.

“This is a population that has been scarcely touched by microfinance institutions and banks,” says Jeff Ashe, the director of Oxfam America’s Community Finance program. Ashe helped introduce the Saving for Change model to Oxfam America in 2005 after carrying out an evaluation of similar programs in Nepal, India, and Zimbabwe.

With support from a grant from the Bill & Melinda Gates Foundation, Oxfam is studying participation in Saving for Change and how this program is helping people provide some financial stability and improve their lives. Early results from studies in Mali are showing that participation in a Saving for Change group provides a valuable buffer against shock – if a household member gets sick, money is available to cover medical costs that might otherwise tip a very poor family into destitution.

“Knowing that their family can fall back on a loan from Saving for Change to deal with an emergency helps reduce stress,” says Janina Matuszeski, research coordinator for Oxfam America’s Community Finance Program. She says that this financial confidence “helps a woman get her head up and say, ‘what’s next?’ and take some control over her financial future.”

Saving for Change is currently operating in Mali, Senegal, El Salvador, Guatemala, and Cambodia. In total, the members in these groups are currently saving more than $9 million. The money these groups save (plus the interest on loans) is distributed to the group members every year when they need it the most, usually just before the harvest when families need food and have back-to-school expenses.

“Saving for Change groups are now starting to be used as platforms to introduce ecological agriculture and business and leadership training,” Ashe says. “We also want to build on initiatives that the women have taken on themselves such as the formation of girls groups and the purchase of grain to tide the members over the ‘hungry season.’”

Saving for Change is continuing to attract members, form new groups, and study the effects of the program on group members. “The objective is to develop a mass-scale and replicable model for building village economies at a modest cost per villager,” says Ashe. “We’ll study the outcomes, and then disseminate this model broadly.”

In any society, developing or not, women are likely to be poorer, less educated, and less empowered than men. Oxfam recognizes women should be valued equally and enabled to reach their potential. What’s more, research has shown that when women earn income, they are more likely than men to spend it on family welfare. And when women are educated, they make decisions that benefit their families and influence their communities.

In the pages that follow, you'll read about how Oxfam is targeting the laws in Mozambique and the gender violence in El Salvador that severely disadvantage women. You'll also learn how Oxfam is equipping women to mediate peace in West Africa and to grow the income of their families. In every case, when it comes to empowering women, men are an equal part of the equation. Oxfam is striving to shape societies that not only permit women to be contributors, but societies that recognize that if they don't seize upon what women can offer, they are failing to leverage one of their most valuable assets.