Community-based savings and household financial resilience after the Lombok earthquakes in Indonesia

Following the 2018 Lombok earthquakes, this study examines whether community savings groups strengthened household recovery or redistributed its burdens. A mixed-method design combined survey data from 412 earthquake-affected households, analysed using multiple linear regression, with interviews and focus groups involving 49 participants. Savings-group participation was associated with greater financial resilience and stronger social solidarity after controlling for covariates. The association with financial resilience was stronger among agricultural households, while the association with solidarity was stronger among women respondents. Qualitative findings showed that savings groups provided emergency liquidity, encouraged routine saving, supported emotional coping, and coordinated recovery activities. However, they also generated repayment pressure, reputational scrutiny, and unequal authority. Drawing on household finance, social-capital theory, and a critical institutional perspective, the study conceptualises savings groups as social infrastructure with uneven benefits and burdens. Effective recovery programs should therefore promote gender-responsive facilitation, transparent governance, accessible grievance mechanisms, and links to formal institutions.