Posted by Sophie
Charity update: Kiva Loans26 SEP
brightfive have been lending money through the microfinance website, Kiva, since 2008.
This international non-profit organisation is providing practical help to people in some of the world’s poorest countries. Rather making donations, individuals or companies loan money - from as little as $25 - to empower people by providing them with the resources they need to build a more financially rewarding future.
This is very low risk lending. Loans are divided between lenders, each putting in a small amount thus spreading the risk. You can withdraw the money as soon as your outstanding loans are repaid, or you can use the money to fund more projects. The same $25, over time, could help a number of different people from across the globe.
The hardest part is choosing who to lend your money to.There are over 2000 borrowers from South America, Africa and Asia looking to fund their business ideas, building plans or Education. Picking from so many equally worthy causes is tough, so we try to fund as many different kinds of projects from as many different parts of the world as we can.
Once you have managed to settle on someone, lending through Kiva is very satisfying. You can keep track of your borrowers throughout the life of the loan, it’s great to watch your small amounts of money helping people alleviate themselves from poverty.
So far we have made 10 loans to people from 8 countries. We have four loans currently being repaid: helping a woman start a food business in Tajikistan, a man restock his phone shop in Pakistan, a doctor to buy medical supplies for her clinic in Kenya and a shopkeeper to expand his business in Honduras.
We are happy to see that all our recipients are paying back their loans on schedule, so that we will soon be able to redistribute the money to fund more loans.
So if you have a spare 20 quid, here’s a great way to spend it.