Yuri has been planning to start up a family dairy farm for one year, but he didn’t have enough money. He couldn’t get credit from financial institutions because of his poverty and lack of business experience. His loan request was approved in the frames of a new joint initiative between Kiva and Credo. The start-up loan program provides business start-up and restart-up credits with soft conditions to the country's rural poor, who do not have access to credit products, being regarded as “high-risk borrowers” due to their low-income status. With the received credit, Yuri will purchase a cow. Rita will produce cheese, and Yuri’s mother will sell it on the local open market. The income of the family will double, and Yuri will be able to provide better living conditions for his little daughter. In addition to the above mentioned, Yuri’s family will have enough income to access regular credit products available on the country’s capital market, in case of need.
More information about this loan
This loan is part of Credo's startup loan program targeting particularly vulnerable clients who live at the subsistence level and have been unable to obtain credit due to lack of income from an existing business. This program offers them a longer repayment term and an annual interest rate that is 5% lower than the standard interest rate. By funding this loan, you are supporting a program that gives borrowers a second chance to start and grow small businesses. This has the potential to alleviate the effects of poverty, significantly improving borrowers' incomes and their families' quality of life. Learn more about Credo's startup loan program on the Kiva Blog.
About LLC Micro Finance Organization CredoLLC Credo (Credo) is a microfinance organization in Georgia that provides sustainable credit services to alleviate poverty in rural areas, including business loans, agriculture loans, household loans, crop insurance and more. Kiva lenders’ funds are used to help the organization expand its outreach to even more entrepreneurs, farmers and households in remote areas.
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