Motshelo · Botswana
Motshelo: how it works and how to run one
Motshelo is a savings group in Botswana: members contribute an agreed amount in pula, usually monthly, and the money is paid out to members in turn or shared at the end of the year. Many motshelo groups also lend to members at an agreed interest rate and share the profit in December. It is the Botswana equivalent of a South African stokvel.
Types of motshelo
Rotational motshelo
Each member contributes every month and one member receives the full amount, in an agreed order, until everyone has been paid.
Lending motshelo
The group pools contributions and lends to members (and sometimes others) at an agreed monthly interest rate. At the end of the year, usually in December, the savings and the interest earned are shared among members.
Year-end share-out
Members save through the year and share out the pool before Christmas, often for groceries, school fees or January expenses.
Rules every motshelo should agree
- The monthly contribution in pula and the due date.
- The payout order, or the date of the share-out.
- For lending groups: the interest rate, the maximum loan, the repayment period and what happens if a borrower does not repay.
- Fines for late contributions.
- Who holds the money, and how many people must approve a withdrawal.
Our stokvel constitution template works for a motshelo too. Add a lending section if your group lends.
Keeping the motshelo record
Disputes in a motshelo usually come down to the record: who paid, who borrowed, and how much interest is owed. PulaPool keeps that record in pula (BWP), with proof of payment for every contribution and a statement every member can open on their phone. The money stays in the group’s own account.
Questions
What does motshelo mean?
Motshelo is the Setswana word for a group savings scheme where members contribute regularly and share the pool, the same idea as a stokvel in South Africa.
How do motshelo groups make money?
Rotational groups don’t: they help members save a lump sum. Lending groups earn interest on loans to members and share it at year-end, so each member gets back more than they put in if loans are repaid.
Can I track a motshelo in pula?
Yes. PulaPool supports Botswana pula (BWP) and shows every contribution and payout in the group’s currency.
Run your group on PulaPool
Contributions with proof of payment, the payout order, votes and statements every member can check. Your money stays in your group's own account. Free for one group.
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