<p> Tilime (agricultural) loans - conclusions and next steps:</p><p>1. What are Tilime loans?</p><p>In addition to their core work, MicroLoan Foundation Loan Officers have been working with Government Agricultural Extension Officers (AEDOs) to deliver specialized agricultural loans and training to female smallholder farmers. We call this product ‘Tilime’. Tilime training covers the areas of site selection; crop selection; site preparation; crop production; and crop sales; and is accompanied by small loans, which clients invest into farming inputs.</p><p>Why are Tilimie loans important to our clients?</p><p>Tilime loans help clients to improve the productivity of their farms and going forward, will play an increasingly important role in our efforts to reduce poverty and inequality across Malawi. After only two seasons, borrowers receiving tilime loans have already adopted new farming methods, and are now experimenting and discussing techniques they have been taught and practiced. </p><p>Who is Leslie Lyle?</p><p>Leslie Lyle is a retired agricultural economist and long term supporter of the MicroLoan Foundation. Leslie has spent a lot of time in Malawi working with our borrowers to design, implement and monitor the tilime loan product. </p><p>1. What are the current challenges that Leslie has identified? (Cue picture and a few lines)</p><p>MicroLoan Foundation clients are not encouraged to rely on sales of maize as its price is bound to be at its lowest at the time of loan repayment, as illustrated by the diagram below. Large price fluctuations over the year The supply of produce is the main factor influencing the prices obtainable for horticultural produce over the course of the year. Most horticultural crops are produced in two season; rain-fed and irrigated. The timings of these season depends on the geographical area but the average national pattern in shown in the diagram below. Produce supply is lowest in the months of November to March when the majority of crop is in the field thus prices are highest. When crops have been harvested supply is abundant and prices fall; this tends to be over the winter months. It is imperative that farmers understand these fluctuations and target production to coincide with times of peak demand.</p><p>Low Supply: High Supply: Low Supply: High Prices Low Prices High Prices</p><p>Source: FEWSNET 2011 2. What are Leslie’s recommended next steps? The introduction of faster developing crops is recommended for quick sales and early repayments. A greater diversity of crops as well as the introduction of drought resistant crops is are also important to differentiate from competitors at the point of sale and to reduce the impact of low market prices. </p><p>About MicroLoan Foundation The MicroLoan Foundation is a specialist ‘not for profit’ UK microfinance charity that provides microfinance (small loans of on average £70), business education and ongoing mentoring support to impoverished women in sub-Saharan Africa. This provides them with a “hand-up not a hand-out” so they can develop self-sustainable livelihoods for themselves and their families, and work their own way out of poverty. 99% of the loans are repaid and then recycled in full to help more women year after year. In addition to visiting the MicroLoan Foundation, more information is available via Twitter, Youtube and Facebook</p><p>MicroLoan Contact Alice Leslie [email protected] +44 (0)20 8827 1691</p>