6. What is Microfinance? Half the world lives on <$2/day Microfinance is the provision of financial services to the poor Microfinance = Savings, Insurance, Credit
11. Provides Capital for MFI Sources of Funding How Does Kiva Fit in? Individual lenders and donors Gifts-in-kind, Commercial Lenders Government grants Major Donors, Churches, Foundations, Corporations
12. How Kiva works Internet Lender Online marketplace Local Partner (MFI) Entrepreneur Money Information
14. Why Does Kiva Matter? Value for all Stakeholders: More Borrowers Receive Loans MFIs have more capital Lenders have easy and effective ways to give Changing perceptions of the developing world Breaking the bottleneck of wealth / poverty Doing this at scale Borrower MFI Lender Kiva Mutual Value
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16. Where is Kiva today? Mexico Guatemala Honduras Nicaragua Haiti Dominican Republic Samoa Ecuador Peru Bolivia Paraguay Senegal Sierra Leone Cote d’Ivoire Ghana Togo Nigeria Cameroon DRC Mozambique Tanzania Kenya Uganda South Sudan Indonesia Vietnam Cambodia Nepal Pakistan Afghanistan Tajikistan Lebanon Gaza Iraq Azerbaijan Ukraine Moldova Bosnia Bulgaria Kiva has lent over $ 194 million in loans through 126 Microfinance Partners in 58 countries and is still growing United States Chile Mongolia South Africa
17. Why Does Kiva Work? It is about connecting people Stories Technology Viral Accessible Press Crowdsourcing Transparency & data
18. New loan categories Scale Break Even Innovate $1 Billion for 2M borrowers Self-sufficiency at scale The next 5 years: 3 aspirations
19. Interesting Facts Kiva is international (lenders from 210 countries) Equal playing field High Risk Areas: Iraq, DRC, Palestine Unique Loan Products Proliferation of Technology
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21. Become a Kiva Fellow! - Work overseas with one of Kiva’s Field Partners to help facilitate connections between Kiva Lenders and Borrowers http://www.kiva.org/fellows Join Kiva’s Loan Review & Translation team - Volunteer your time remotely to help review and translate loan profiles that are posted by our Field Partners http://www.kiva.org/volunteer Intern in Kiva’s San Francisco Headquarters - Volunteer with Kiva in a part-time capacity for 4-8 months, it’s a great opportunity to learn more about Kiva’s model http://www.kiva.org/volunteer Join Kiva’s Developer Community - Are you a developer, designer or tech-fanatic? Learn more about our API and join our awesome developer community! http://build.kiva.org/ Take it to the Next Level: Want to get more involved or know someone who might?
25. Result: 30,245,763 loans found Kiva and “Increasing Returns on Data” World’s largest DB of microfinance investments Long Term : Entrepreneurs could use Kiva as a public credit bureau… Short Term : MFIs could use Kiva to build credit worthiness to other funders…
Suggested Notes: The poor are typically excluded by financial service providers: No collateral No credit history Illiteracy The poor need financial services, and already use them informally: Borrowing money from loan sharks with interest rates so high that it may be impossible to ever pay back Savings accounts kept in the home, vulnerable to theft Investing in livestock which is vulnerable to disease Microfinance works to provide the poor with these financial services, in a safe and controlled environment, through a microfinance institution
First loans made in Uganda, 2005
Suggested Notes: With Kiva, you can be micro-lender You can act as a banker and provide the funds to microfinance institutions that they then lend to entrepreneurs
Suggested Notes: There are thousands of microfinance institutions around the world, and they all vary a little depending on the region they are in and people they are targeting to help Some focus on women in places where women don’t have the same rights as men and so have no economic empowerment Some focus on the rural population in areas where people are isolated and cannot travel to cities to access services Some focus on a comprehensive program which includes business training with financial products What ties them all together, however, is a desire to help the poor by providing them with financial services The Good and the Bad of Microfinance: (Optional Notes) What are the good things about Microfinance? With a relatively small amount of money, poor people can start or improve their business Most formal lending institutions won’t lend to them. Why? Microfinance can help women and girls Microfinance works inside communities Microfinance is empowering Microfinance is person to person development What are the bad things about microfinance Takes a long time to get a loan Borrowers have to do a lot of things to get a loan So borrowers look for MFIs with the fewest requirements What does this mean? It costs a lot to give a loan, so interest rates are high How high? Not everyone wants a business, some wish they could be an employee
First loans made in Uganda, 2005
Deck 3.
*** Please fill in X’s with numbers from the Kiva Facts and History Page. Go to this link to find the latest numbers http://www.kiva.org/about/facts Also, please, carefully read the statistics and double check that your presentation represents the correct numbers. The stats in red are responses to these facts on the Kiva website: - Total value of all loans made through Kiva Number of Kiva Field Partners (microfinance institutions Kiva partners with) - Number of countries Kiva Field Partners are located in
First loans made in Uganda, 2005
$1B in cumulative loans via 3m lenders
First loans made in Uganda, 2005
Deck 3.
-- Startup MFI in Ecuador , stanford classmates -- Established MFIs like ProMujer -- Banks, NGOs and NB Financial Institutions -- MFIs part of networks like Accion and Opportunitity and even Save the Children Deck 3.
-- Startup MFI in Ecuador , stanford classmates -- Established MFIs like ProMujer -- Banks, NGOs and NB Financial Institutions -- MFIs part of networks like Accion and Opportunitity and even Save the Children Deck 3.
