Fanny is a member of the Virgen Asunta Village Bank in the town of Urco, located just outside the larger town of Calca and about an hour from the city of Cusco. Fanny is 29 years old and is the single mother of two school-age children. Until recently, Fanny worked in a local restaurant. She decided to quit because of some health problems with ulcers and gastritis. She is now launching her own business selling milk in the plaza of the nearby city of Urubamba. Fanny has two cows of her own, which produce about 20 liters of milk per day. She buys an additional 30 liters from other local farmers. She buys the milk for 1.30 soles (US 42 cents) per liter and resells it for 1.40 soles (US 45 cents) per liter. Fanny works seven days a week at this business.
Fanny is requesting a loan of 1000 soles (US $325), with which she plans to buy a young calf that will eventually produce milk (in about two years). She has been taking out loans from Asociacion Arariwa for about three years. Her very first loan was for 300 soles (US $95). Fanny has pledged to repay her Kiva loan in full and on time.
About Asociación Arariwa
Asociación Arariwa is a large non-governmental organization that started offering microcredit in 1994 to improve the quality of life, skills and equity of the population in the rural Cusco region of Peru. Arariwa serves the southern Andean provinces of Peru, and is distinguished by its efforts to reach the very poor, who often live in isolated rural areas. Arariwa fosters village banking, supports savings accounts, promotes access to education, and empowers women entrepreneurs (who make up 78% of its borrowers).