Case Studies

The Communities/Case studies

The rural villages supported by Lotus are located in remote areas approximately 40 – 60 km outside Siem Reap where access to clean water, healthcare, education, and economic opportunity is limited. Most families rely on small scale farming, but with unpredictable weather, droughts, and floods, even meeting basic needs is a constant struggle. Many households live on less than $2 a day, and without external support, the path to sustainable growth remains out of reach.

One of the core challenges is chronic financial instability. With little access to capital or formal banking services, families are often forced to borrow from informal lenders who charge interest rates as high as 20% per month. These debts – often taken on to cover essentials like food, medical care, or school fees – can trap families in poverty for years and, in some cases, force migration.

Our aim is to help families break this cycle and replace it with a cycle of opportunity and long-term resilience.

Community Rice Bank – Tra Peang Veng Village (RB2)

The process began with the construction of the rice store for Rice Bank 2 (RB2) by the villagers. In addition to funding the construction, Lotus also donated a deposit of 6,667 kg of rice. A total of 84 families from the village became members of RB2. The members, along with the village elders, elected a three-person committee to manage the Rice Bank.

Objectives of the Rice Bank:

To reduce borrowing from local money lenders who charge high interest rates.
To address short-term food shortages.
To reduce migration.
With the support of the Lotus-READA staff and the participation of all members, the committee established the following regulations:
- Interest for members: 20% per annum.
- Dividends for the management committee: 3% of the 20% paddy rice interest.
- Administrative expenses: 1% of the 20% paddy rice interest.
- Social support fund: 1% of the 20% paddy rice interest.

Additional Regulations:

Members are required to contribute an extra 10 kg of paddy rice per year, in addition to their loan repayments.
The committee is responsible for:
- Facilitating meetings for the distribution and collection of paddy rice.
- Keeping records of borrowings and repayments for each member.
- Collecting paddy rice with interest from members.
- Disseminating information to members.

The Lotus-READA staff worked closely with the committee and members, providing technical assistance and training to build capacity and strengthen operations. As a result, the Rice Bank continued to develop and expand.

In 2025, a total of 21,600 kg of paddy rice was collected and stored. With the consent of the members, the committee sold paddy rice worth US$1,300 to create a Rice Bank fund. The cash raised was deposited with the Tra Peang Veng Savings Group and will earn interest for the Rice Bank.

With the agreement of its members, the Tra Peang Veng community Rice Bank contributed to the following social projects:

2015: US$200 to construct bridge and bridge inauguration ceremony.
2017: US$247.5 to construct community road.
2018: US$135 to repair and maintain community road which was destroyed by floods.
2019: US$25 towards hiring labour to remove tree stumps for school building fence.
2019 US$45 for funeral in community.
2020: US$150 for local road maintenance.
2020: US$112 to support community Youth Club.
2021:1200kg of paddy rice to families affected by Covid-19.
2022: 900Kg of paddy rice to families affected by floods.
2022: US$200 towards the costs of the community centre.

Due to its participation in social projects and community development the Tra Peang Veng Rice Bank currently has only 14,933kg paddy rice in the store. In 2024 the borrowing of paddy rice by members decreased to 60 families.

Mr. Lim Son, chief of the Rice Bank committee and representative for members, would like to express his sincere thanks to the Lotus-READA staff who provide ongoing support on techniques, skills and agriculture knowledge, including providing seeding. He would also like to thank Lotus for its continued support.

Mr Lim Son said that he is committed to helping the Tra Peang Veng community Rice Bank to further develop and become stronger.

Bantoat Boas Village Savings Group

A community Savings Group was established in Banteat Boas Village, Danrun Commune, Sotr Nikum District, Siem Reap Province, on November 1, 2017, with technical support from the Lotus-READA staff.

The primary objectives of this Savings Group are:

To enable easy saving and borrowing activities.
To reduce the need to borrow from high-interest local lenders.
To prevent the outflow of interest payments to external parties.

With these goals in mind, the Bantoat Boas Village Savings Group was formed. It began with just 20 members and an initial capital of 265,000 Riels (approximately US$ 66.25). The group also received a loan of US$1,750 from the Lotus funded Small Loans Project.

To ensure smooth operation, the group elected a three-member committee consisting of a chairman, a cashier, and an assistant. The committee is responsible for:

Organising monthly meetings.
Recording all group transactions, including income, expenses, and loan contracts.
Collecting interest from members.
Preparing monthly financial reports.
Providing reminders and updates to members regarding repayments.

Interest Rates

The members of the Savings Group agreed the following interest rates:

Individual member savings: 1.5%
Loans to members: 2.5%
Loans to non-members: 3%

Additionally, the group collectively contributed US$20 to support the committee members attending a training session on hygiene and water sanitation in Siem Reap Province.

As the families in Bantoat Boas village could see the convenience, profitability and trust among members, the Savings Group grew significantly. Additionally, the member families received training from the Lotus-READA staff who implement this project.

Progress Overview

	Start	Now
Number of Members	20	39
Total Capital	US$ 66.25	US$ 8,093.35
Interest on Individual Savings	1.5%	1.5%
Interest on Loans to Non-Members	2.5%	2.5%
Reserve Fund	N/A	US$ 550
Loan from Small Loans Project 4	US$ 1,750.00	–
Loan from Small Loans Project 6	–	US$ 3,900.00

Acknowledgements

Mr. Dith Kimsat, the group chief and representative of the Bantoat Boas Village Savings Group, expressed his gratitude to the Lotus-READA staff for their continued technical support and for sharing valuable skills and agricultural knowledge. He also thanked Lotus for its continued support of the community. He reaffirmed his commitment to further developing and strengthening the Bantoat Boas Savings Group.