How a merry go round has shocked its pioneers

When Tuinuke Pamoja Credit Capital Ltd, Kamulu in Njiru District, Embakasi Constituency started as a merry go round with just six friends, none of the pioneering members imagined it would grow into what it is today only two years later.

It has evolved into a sizeable organization that promises to continue improving the lives of many by empowering them financially.

Members are hopeful that come next year, their group will graduate into a bank.

This revelation was made recently by the group’s chairman Mr Benson Kimani fondly known to members as Chief Kimani during a ground breaking ceremony for their newly acquired 10 acre farm at Kamulu, near Brookshine School.

The company started in 2011 as Tuinuke Merry Go Round with only six members.

“We used to meet every Tuesday and contribute Sh200 each.

These contributions would be saved or given out to members in form of loans that would earn some interest,” says Mr Kimani.

As they progressed, many interested Kenyans from all walks of life enrolled and slowly they changed to Tuinuke Self Help Group when the membership hit 15.

They continued to loan each other money raised from their contributions and did a lot as individuals.

They bought land, furnished their houses, educated children and some managed to build houses for themselves.

Towards the end of the same year, they were registered by the Central Bank as Tuinuke Pamoja Credit Capital Limited.

The membership has since risen to 150 and the company can now afford to give loans of Sh200, 000 to Sh300, 000 to several members every Tuesday when they meet. Their investments at present are valued at slightly over Sh25 million.

Members are drawn from all Kenyan communities irrespective of age, religion or political affiliation. “We have Kikuyus, Luhyas, Luos, Kambas, Maasai etcetera. It is not easy for us to talk of tribalism here,” declares the chairman.

Already, several banking institutions have shown interest in working with Tuinuke Pamoja Credit Capital Ltd.

Among them are Rafiki Deposit Microfinance who have loaned their company Sh7.5 million and Jamii Bora Bank that has pledged Sh10 million once they start building.

According to Bishop George Kamunya of the Church of Grace, Ruai, “What has made us grow this fast is the group’s sound management. We have a lot of confidence in our leaders.

They have been a pillar of our success.”

He adds, “Though our initial intention was to help us raise funds for our small projects, we can now see it moving to another level. It is now a big business attracting the attention of many other partners who want to grow financially.”

“We plan to start with the construction of about 20 to 30 modern units, a project that will take three to four years to complete. Selling will be done with priority to members.

Others will be considered on a first come, first serve basis”.

Officials say buyers of the houses will be allowed to pay in installments for a period of up to 10 years, a flexibility aimed at enabling as many members as possible to acquire modern and affordable housing for their families without straining themselves financially.

“Members will pay in installments depending on their convenience and in accordance with the laid down rules and regulations of the group.
Our aim is to ensure we improve the welfare of our members economically and socially,” the chairman, Mr Kimani said.

Tuinuke is but one of the many such groups in Kenya that are helping to change the lives of many and galvanising savings needed for cheap supply of credit.

Currently the cost of borrowing is at stratospheric levels. Most banks are currently lending at at least 17 per cent which is considered very high. Access to credit is also confined to a few Kenyans who have a substantial income.

To ensure their property is well protected, the company has insured itself with the Co-Operative Insurance Company (CIC ).

Their books of accounts are audited regularly and officials advised accordingly on how to spend their finances well for the advantage of all members.

As the name of the group suggests, the chairman says very soon they will embark on the construction of houses affordable to low income earners.