Archive for 12 June 2009
Upending microcredit: Cambodians use Kiva to lend to U.S. borrowers
This Wednesday marked a watershed moment for Kiva.org: borrowers from the U.S. made a well-publicized debut on the person-to-person microlending website. It left no doubt that microcredit, seen by many as the province of the poor, had arrived to serve Americans in need.
The floodgates are open, and they sluice both ways.
Kiva’s launch of lending in the U.S. has impassioned many, including a group of people in Cambodia near and dear to me — the staff of Maxima Mikroheranvatho, a Kiva partner microfinance institution where I was a Kiva Fellow from October 2008 to February 2009.
As Kiva ambassador-in-the-trenches at Maxima, one of the things I’d tried to impress upon them was the satisfaction I get out of being a Kiva lender. So when my posting at Maxima ended earlier this year, I’d settled on the perfect gift to help them understand this: a Kiva gift certificate.
Over our farewell dinner in Phnom Penh, I pulled out a printout of the Kiva gift certificate page and presented it to the senior managers at Maxima. As they’re in the business of microlending, minor disbelief ensued. Kiva!? Who would they lend to? When I told them that Kiva was considering launching in the U.S., excitement erupted.
What a difference a government makes
Four weeks ago I left my first placement in Cambodia and came to the Philippines where I started my second assignment with Kiva Field Partner ASKI. With each day at ASKI I have been more and more impressed by the dedication of the staff and the amazing programs that they are running.
Last week I started working on a blog post where I plan to conduct video interviews with staff that work on what ASKI calls, their “Beyond Microfinance” programs. These programs include; health insurance, life insurance, community development, housing loans for government built low income housing units, marketing training, finance training and a whole foundation that provides everything from child care to scholarships to toilets.
As I began to research each program’s operation it became obvious that each one of them were a testament to the staff’s tireless efforts to serve their clients in every possible way. Most of the programs are funded directly through profits earned in their core micro credit business, which I thought was an incredible use of profits. There was something else I discovered that struck me as well; many of these programs would not be possible without partnership with or support from the Filipino government.
I found that the health insurance, life insurance and housing loan programs are in direct partnership with the government, and the community development program helps villages work with the local government to complete valuable infrastructure projects.
I immediately thought back to my time in Cambodia and I asked myself:
The need for entrepreneurship
“Allow me to introduce myself”, I’m Laura Buhler, a member of the KF8 class.
I am from Calgary, Canada and have found the transition to life in Rwanda to be very smooth, given just a couple of bumps in the road.
Exactly two weeks in to my Fellowship at Vision Finance Company (VFC) in Kigali, Rwanda, one baggage loss and one hospital visit later, I have settled in to life here in Rwanda. Since arriving, my mind has been flooded with questions and realizations about this new culture. In fact, I am sure that this constant thinking has been the factor that led to my lack of sleep at night, and my resulting illness! But it’s true… my mind is going a mile-a-minute just fascinated with this place and its infinite complexities— political, cultural, social… and commercial.
The commercial sector is very different here. Entrepreneurship seems to be taking off, but in some ways it still appears to be a new concept. Allow me to illustrate…
Lunch-time. It’s the only time of day when I’m really ready to spend the cash that I have. I am hungry! So I step outside, in very much an up-and-coming business district (Muhima), and walk for 40 minutes in either direction… no café, no brochette stand (basically kabob), and no restaurant to be found. That day, my money got me nowhere.
Ahlan Beirut!
Over 7,000 miles away from San Francisco, I’ve finally arrived in Lebanon to start my fellowship with Al Majmoua , a microfinance institution based in Beirut but with mulitiple branches around the country. Flying from my last connection in Dubai to Beirut, we cross over an endless expanse of desert as we pass over Saudi Arabia and Jordan. The desert starts to make way to rocky mountain peaks as we fly over Syria and finally I start to see specs of green -al-arz (the cedars) – I’ve arrived.
The noise from the screaming kids (in-flight entertainment system was broken-lovely) and exasperated parents dies down to a quiet murmur as we start to get our first glimpses of the Mediterranean and the Lebanese shoreline. The entire plane is silenced by this stunning view – sandy beaches, rocky coasts and plummeting cliffs. All the last-minute nervousness and doubts I had when boarding my plane from the US (quitting my job given the current economic climate, leaving my rent-controlled apartment, getting rid of my goldfish…) melt away as I watch the electric blue waters of the sea and recognize various Lebanese landmarks – this is why I came here.
This country is rich in history and culture , it’s capital –Beirut- was once known as the “Paris of the Middle-East” . Fifteen-years of civil war seriously damaged the country’s economic infrastructure. Lebanon started to recover but the war of 2006 set the economy back yet again. However, what I admire most about this country and its people is their ability to bounce-back- nothing phases them – they just pick-up where they left off and rebuild as necessary . I came here because I wanted to see the power of microfinance in improving these peoples’ lives and in aiding to restore this already-on-the-mend “Paris of the Middle-East” to its former glory – it’s time again for Lebanon to be recognized for its rich heritage, its peoples’ “joie de vivre” and its breath-taking beauty.
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- Ancient Roman Ruins-Downtown Beirut
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- Church and Mosque-side by side
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- Place D’etoile
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- Pock-Marked Building- remains of a 15 year civil war
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- Not sure why I took this picture…
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- View from my apartment-AUB (American University of Beirut) Clock-Tower
Alia Rafeh is part of KF8 and will be working with Al Majmoua in Lebanon for 11 weeks where she will attempt not to completely butcher the language. To fund borrowers from Al Majmoua on Kiva, click here.
