10%
Of small-scale fishers in Kenya have access to formal loans, according to a 2022 report by the Food and Agriculture Organisation.
$55,000
In seed capital and venture-building support from the Triggering Exponential Climate Action (TECA) programme.
38
Fishermen onboarded onto their platform during their pilot project on Kiwayu Island.
The problem
Small-scale fishers along Kenya’s coastline face significant challenges that threaten their livelihoods. The seasonality of fishing leads to irregular incomes, making it difficult to plan for lean periods. A 2022 FAO report found that many small-scale fishers in Kenya struggle with low and inconsistent earnings, with annual incomes often falling short of household needs. Additionally, less than 10% have access to formal financial services, limiting their ability to manage emergencies or invest in their businesses. Climate change further exacerbates these issues, causing declining fish stocks and reduced fish quality, putting their survival at even greater risk.
The solution
VUA Inc., a forward-thinking social enterprise, is responding to these challenges by offering a platform that enables fishermen to save during the high fishing season and access their savings in the low season. With $55,000 in seed capital and venture-building support from the TECA programme, Vua successfully piloted its solution on Kiwayu Island and onboarded 38 fishermen. The platform enhances financial inclusion by providing fishers with better access to financial tools, including an AI-powered financial literacy tool developed with additional funding secured through TECA’s network. By equipping fishermen with the knowledge and resources to make informed financial decisions, Vua is helping to improve their economic stability and resilience.
The impact
This simple yet impactful intervention provides a safety net for the fishermen, allowing them to better manage household expenses and respond to unexpected situations. For example, one fisherman was able to pay for his child’s medical treatment during the low season by using the savings he had accumulated through Vua’s platform.
In addition to facilitating savings, Vua has piloted a small-scale loan programme, which provides fishermen with access to essential tools like sustainable fishing reels, enabling them to adopt more environmentally friendly fishing practices. Vua also offers training on good hygiene standards to ensure the fish caught is safe for consumption, further improving the quality and value of their produce. Through these initiatives, VUA Inc. is not only helping fishermen cope with seasonal income fluctuations but is also fostering long-term sustainability in the local fishing industry.