Norm,married, is a 46 year-old mother of six children living in the Moung Russsey district of Battambang Province, Cambodia. Currently, she is living with five children only, two of whom are still in school and the remaining three children are working for others for a fee. For her entire household, she struggles growing paddy rice on one hectare of farmland. To supplement the income, her husband also runs a small thatched place for fixing motorbikes and sometime he also works for others for pay too. Having been with these businesses for five years, they can earn about 18,000 KHR per day.
Norm has been with Kiva partner VisionFund four loan cycle ago. She has used her loan effectively to grow her paddy rice in a timely way and to upgrade her lifestyle. Now, she leads a group of two females applying for a new loan: both are requesting for the same amount, 1,400,000 KHR each. She will use her loan portion to buy fertilizer, insecticides, and to pay for ploughing fees. She expects to receive more crop yield in order to increase her income.
About VisionFund Cambodia
VisionFund Cambodia is a Christian organization and microfinance institution that provides small loans and other financial services to improve the lives of children, empower poor women and their families, and grow successful businesses. The organization works primarily in rural parts of Cambodia and has distinguished itself by targeting the very poor who require smaller loan sizes, regardless of religious beliefs, gender or ethnic background.
Kiva lenders’ funds will help the organization to expand into the northeastern provinces of the country, which have historically been underserved and difficult to reach with financial services.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva's Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower's loan. The other members of the group are not required to use their loans for the same purpose.