Success Stories from Aceh - FBA’s Beneficiaries

A piece by Elaine Wong, our senior grants officer who has just returned from her trip to Aceh...

During my trip to Aceh, I met with these few enterprising women, who not only have gotten back to the feet after the tsunami but moving forward to expand their businesses. Out of the 96 women who received micro-credit loans from Forum Bangun Aceh (funded by FON), these 8 women showed excellent resilience and creativity.

1. Siti Rafidah – traditional medicine home industry (Kuta Alam, Banda Aceh) Loan : USD662.98 (IDR6 million)

Siti learnt how to make traditional medicine from her grandmother. She worked in Malaysia for a number of years and returned to Aceh just before the tsunami. Having lost everything during the tsunami and with the loan from FBA, she was able to purchase a grinding machine and raw materials such as roots and turmeric to start making traditional medicine again. She gives traditional massages for women afterbirth and her medicine caters to women after delivery, as well as to women who are hoping to conceive. She receives a net profit of about IDR 1 million (USD107) per month and her monthly repayments of IDR 280,000 (USD30) is not a problem at all. “I would like to expand my business by packaging and branding my product. Perhaps one day, I may even be able to sell my medicine in Malaysia!” Siti enthuses.

2. Zuraidah – convection (Jaya Baru, Banda Aceh)
Loan : USD3,448.28 (IDR30 million)

Having lost her small catering business in the tsunami and with 4 children in tow, Zuraidah got right back to work in the immediate aftermath of the tsunami by cooking for the clean-up team. Then, with IDR25,000, she bought cloth to sew pillow cases as there seemed to be a demand for it. Moving on from there, and with FBA’s loan, she has now expanded her business, bought raw material, 8 sewing machines and is hiring 15 staff to produce cushion covers, tiffin covers, curtains and clothes. Her products are sold en masse to shops and households. She makes IDR15 million (USD1,619) a month, with a net profit of IDR4 million (USD432) on normal months and IDR10 million (USD1,079) during the Lebaran Festival. Out of her 15 staff, 10 of them are school dropouts. “ I believe in offering school dropouts an opportunity to learn a skill whilst they continue to pursue their dreams. This will continue to be my purpose as I eye expansion of my business,” says Zuraidah. One of her employees has saved enough money after working with her for a year to now start attending computer classes part-time. Zuraidah hopes to expand her business further by renovating and extending her house, and purchasing a computer-generated commercial sewing machine. Zuraidah’s initiative, acute business sense and perseverance was a real inspiration to me, and to those around her.

3. Mikrad – wedding organiser (Ingin Jaya, Aceh Besar)
Loan : USD1,292.82 (IDR11.7 million)

Before the tsunami, Mikrad was working as a tailor. With the loan from FBA after the tsunami, she was able to buy materials to sew wedding clothes, purchase 5 sets of matching wedding outfits, 3 sets of wedding dais in different colours, and all types of wedding accessories. With 3 staff working for her, she caters to about 3-4 weddings monthly at IDR1.5 million (USD162) per wedding, earning a monthly net profit of IDR 3 million (USD324). She has attended the FBA book-keeping trainings and was thankful for them as the trainings added to her management skills and provided her with an opportunity to network with other entrepreneurs. Currently, Mikrad’s business is the first of its kind in her village but there are 5 others in her sub-district. “I hope to expand my business by providing tents and adding catering into my wedding packages. I am also saving up to purchase three more sets of dais in different colours by the end of 2008.” “I hope to expand my business to the whole of Aceh Jaya,” Mikrad adds enthusiastically.
For me, it was awesome to see beneficiaries utilizing the networking platform provided by FBA, to not only get back on their feet, but to start businesses with sustainability and longevity in mind.

4. Juariah Umar – rattan handicraft (Lhok Nga, Aceh Besar)
Loan : USD1,149.43 (IDR10 million)

Juariah started her handicraft business in the 90’s but the tsunami destroyed everything. FBA’s loan enabled her to buy rattan at IDR8,000 (USD0.80) per kg and restart her business. Besides weaving rattan herself, she also trains students and provides them with rattan to work with. She currently has a pool of 33 workers who are on call if large orders come in from shops or Non-governmental organizations (NGOs). Another 7-10 men help her deliver the products to the 3 shops that buy from her. She also markets her products to Medan and Bali, earning her a net profit of IDR 5 million (USD540) a month. In spite of the scale of her business, Juariah does not believe in keeping written accounts. “All the calculations are done in my head and I have been doing it for over 20 years now,” she explains. With a thriving business, more than 30 staff and a heart to see the skill of rattan weaving passed down to the next generation, I doubt a lack of book-keeping skills will stop this tenacious character from expanding her business beyond the shores of Aceh.

5. Aminah – rattan handicraft (Lhok Nga, Aceh Besar)
Loan : USD1,149.43 (IDR10 million)

Aminah is Juariah’s daughter. Having learnt the rattan weaving trade from her mother, Aminah has rented a shop in Banda Aceh to sell her work. A sizable laundry basket cost IDR50,000 (USD5) to make but is sold at IDR150,000 (USD16), raking in a net profit of IDR100,000 (USD11). Rattan is bought as raw material at IDR8,000 (USD0.50) per kg. Then, it is dried before weaving but during the rainy season, they will not be able to dry the rattan, hence no production. Aminah is applying the skills she has learnt from FBA to her business and is keeping good accounts of inputs and outputs.

6. Dharwani – clothes seller (Jaya Baru, Banda Aceh)
Loan : USD552.49 (IDR5 million)

Dharwani is in her 60s and she lost her husband in the tsunami. With FBA’s loan, she buys clothes from the wholesaler at the Meru market three to four times a month, and sells them from door-to-door on foot in her village. She carries the clothes in two big plastic bags and does her rounds in the evenings. When neighbours see her approaching, they will invite her in to look at the clothes. Dharwani allows her clients to buy the clothes on credit, accepting payments by installment for up to 4 months at times. The prices of the clothing vary but if she buys a piece at IDR32,000 (USD3.50), she will sell it at IDR60,000 (USD6.50), earning her twice the purchase price. If she is unable to sell the clothes, she brings it back to the wholesaler and exchanges them for new pieces. On a monthly average, she earns a net profit of between IDR1 – IDR3 million (USD108 – USD323). “My dream is to go on a pilgrimage visit to Mecca and that is what I am saving up for at the moment,” said Dharwani. This plucky lady showed me that age is no barrier when it comes to achieving your dreams if you possess perseverance and a willingness to work hard.

7. Mariani – peddler (Jaya Baru, Banda Aceh)
Loan : First loan USD618.78 (IDR5.6 million), Second loan USD2,696 (IDR25 million)

Mariani and her husband ran a little store in Jaya Baru before the tsunami. Right after the tsunami, they set up their store again and with a loan from FBA, they were able to purchase materials to sell in their store. After repaying the first loan, she took out a second loan to purchase a more comprehensive and complete range of stocks. She also runs a small eatery beside their convenient store. 8 women from the neighbourhood supply their cakes and crackers to be sold at the store daily. Mariana earns a daily income of about IDR1.3 million (USD140). “My husband and I decide on how to utilize the profits we make together. We are pleased to have a much bigger and well-stocked store now than before the tsunami.”

8. Nurhayati – pangki-maker (Lhok Nga, Aceh Besar)
Loan : USD114.94 (IDR1 million)

Nurhayati makes and supplies ‘pangki’ to building material shops as her main source of income prior to the tsunami. Pangki-making is a dying trade in Aceh. FBA’s loan enabled her to purchase rattan to restart her livelihood activity. Nurhayati makes an average of 5 pangki’s a day, out of which she can sell about four to five. The cost of making one pangki is IDR10,000 (USD1) and Nurhayati sells them at IDR25,000 (USD2.50), earning her a net income of IDR 1.8 million (USD195) a month.


It does not matter whether the loan is big or small, whether the home industries are large of tiny, the most important thing to take to heart is that these women, and all the rest of the other beneficiaries, have found a renewed sense of hope and a means of rebuilding their lives after everything had been so hastily taken from them by the tsunami. Although we cannot eradicate the pain and loss caused by the tsunami, it is nevertheless an overwhelming joy to see the survivors’ self-esteem and sense of integrity restored.
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