Mercy Foundation Provides Loan
Entrepreneur Receives MicroloanJosefina del Carmen is a very hardworking woman. She has given herself to her general store and the well-being of her family with all her heart. As a merchant, she discovered the way to get ahead without neglecting her home. She counts on the unconditional support of her husband and their two children. And her children offer her their help upon arriving from school. At her 41 years of age, she desires to make her business grow until she turns herself into a distributor in her community. This exemplary woman has applied for a loan to buy school supplies like notebooks, pens, correction fluid, backpacks, pencils, among other school supplies to offer them to her customers. In this season, these items have a large boom and they leave a good percentage of profits. Therefore, she doesn't want to let this opportunity pass. Having only finished primary school, Josefina is an excellent businesswoman, for which her main impulse is making her children professionals. In Nicaragua, where Josefina Del Carmen works, the average annual income is just $4,800. This means that a microloan of even just a few hundred dollars can have a strong positive impact on Josefina’s business.
Microloan PartnerThe field partner for this microloan is Micredito. Kiva chose to partner with MiCredito because of its interest in funding student loans. MiCredito piloted a loan program for students at an agricultural school to help them buy their first plots of land and purchase crops and animals. The organization recognizes the importance of teaching students to manage credit from a young age, a skill that is crucial in Nicaragua given the recent "No Pago" backlash against microfinance institutions, which hurt the country's culture of repayment. Following the pilot program's success, MiCredito is pursuing more university partnerships, and plans to use Kiva's interest free, risk-tolerant funding to expand this lending program to more people who have had no access to credit. With the help of Micredito, the Mercy Foundation successfully funded this microloan to Josefina Del Carmen! This is excellent news for her, her family, and every one purchases items from her store. However, there are still countless entrepreneurs who need access to funding. If you would like to fund a microloan to an entrepreneur, please visit kiva.org today! Notes
- This article is based on https://www.kiva.org/lend/830834.