A hot shower is a blessing!

I am back in Nampula City after 2 days in the eastern coastal region near Nacala. We left very early on Monday morning to drive 3 hours. Most the drive was on a paved road but the last hour was typical dirt road in the country. Again, I am struck by the very simple lifestyle of the villages – no electricity, no running water, and lots of friendly waves as we pass by.

The Monday training was in Mossuril District. Under a tree, there were more than 60 adults and several dozen children. Their school teacher had told them to come to the “American” class. My translator, Abdul’s family is from this region and some of the farmers knew his late father (a king) and his aunt who still lives nearby. Many of these villages are illiterate and Abdul translated into Macua, the local tribal dialect.

How do I explain developing a Business Plan and creating Financial Statements in this environment? I explain that the village will begin learning a new language which is hard. I try to say a few words in Macua and everyone laughs as I tell them it is very hard for me to learn their words. I have created 10 flip charts in English which Abdul has translated below each line. I start with the 6 elements of the Business Plan: Summary (written last); Description of Association/Village – #families, #hectares, equipment, animals, buildings; Description of products sold for cash; Description of customers; Strategy for the future; Financial Statements. I then introduce SWOT Analysis and the Ansoff Matrix. With examples, these concepts are understandable to the farmers. Financial Statements follow: Balance Sheet, Income Statement (P&L), and Operating Cycle with Cash Flow. I diagram the relationship of Supplier, Farmer and Customer with the flows of cash. The last flip chart is the Bank Loan Request. In Mozambique, farmers are just learning that a bank loan is not a gift and must be repaid. So the flip describes amount, purpose, and terms. I diagram several different repayments schedules.

We spent the night in a very very basic home in Chocas. The house had minimal electricity, no running water (so no shower) and a toilet that had to be filled to flush. Sounds just like Nametil. However – the house was facing the Indian Ocean so the horizon was excellent. The sand is very fine and white with very few shells. Dinner was nearby and excellent – grilled fresh calamari, boiled cabbage, carrots and potatoes. Abdul and I ate with Ernesto (ADAP Executive Director) and Almeida Zacarias, a Mozambiquan program director with funding by Denmark and Ireland. This program has provided oxen to several villages – pulling the plows and increasing the amount of hectares that can be cultivated. In the morning, the local guard at the house boiled some of my water – so coffee!! As always, I carry energy bars for most meals.

On Tuesday morning we arrived at the second training site, also in Mossuril District. 40+ adults and again, many children. This was a much more prosperous village which had received donor items – plow, oxen, grinding machine. Back to Nampula City in the afternoon – and a HOT shower!!

I will be meeting with the General Manager of the local Banco Terra branch to talk about bank loans. Most of the loans are “guaranteed” by donor programs.

Thursday and Friday will be back in the bush again. I am especially excited about Friday as the village makes pottery and most of the participants will be women.