What is Kiva.org?
Kiva.org is a non-profit that's revolutionizing the fight against global poverty by enabling
people like you to make small loans to low-income entrepreneurs in the developing world. These loans provide affordable working capital -- money to buy sewing machines, livestock, etc. -- thus empowering the poor to
earn their way out of poverty.
"Innovation of the week: Kiva.org uses smart design to make a little cash go a long way" - Business Week
How does it work?
Kiva partners with microfinance institutions (MFIs) around the world. These MFIs post profiles of qualified low-income entrepreneurs on Kiva’s site, and then Kiva users browse through these profiles and choose entrepreneurs to fund. Kiva pools the money from these individual lenders (you!) and transfers it to its MFI partners who administer the loans. As loan repayments are made by the entrepreneurs, the MFIs send funds back to Kiva. Once loans are repaid, Kiva users can choose to withdraw their principal -- or re-loan to other entrepreneurs. Journal updates are issued throughout the course of the loan (usually 6-12 months), so lenders can see how their loan is making a difference.
We show you where your money goes
Unlike donations which usually go into general funds, through Kiva you see exactly WHO your money goes to, WHAT they are doing with it, and HOW you are making a difference. Best part? It's a loan, not a donation :) The below diagram describes how money gets from you to a borrower in the developing world, and back!
Make a small loan, make a big difference
Most of the poor in the developing world are self-employed entrepreneurs, and a small loan can dramatically improve the life of these entrepreneurs, their families, and their communities. Over
80,000 "loaners" have discovered Kiva as a way to fight global poverty in a direct, connected, and sustainable way; on behalf of our borrowers, our MFIs, and ourselves, we invite you to
join them!
"If you've got 25 bucks, a PC and a PayPal account, you've now got the wherewithal to be an international financier" - CNN Money
You, too, can be a banker to the poor. Nicholas Kristof of The New York Times visits his loan recipient: a baker in Kabul!
D.I.Y. Foreign Aid
Get Involved!
Visit
Kiva.org, register for a free account and choose someone to help! Discuss Kiva and microfinancing with other users at
KivaFriends.org.
