Rem is 22 years old and resides in Battambang province’s Moung Russey district in Cambodia. She is married and a mother of two daughters, both of whom are under her responsibility and too young for schooling. To offer a decent life for the family, Rem has been farming rice, planting beans, and sesame for five years. Rem’s husband also assists in the family’s business and works one more job, which is a paid worker, to complement the family’s income. Each day, this hard-working couple is able to earn around 15,000KHR and save about 9,000KHR after canceling out the daily expenses. To help keep her business in good shape, Rem is leading a loan group of two female members who both are first-time borrowers with VisionFund (Kiva’s partner) to take out a loan in the amount of 1,000,000KHR each. As a group leader, Rem will use her loan portion to purchase fertilizer and to pay for the cost of labor. After receiving and wisely using her requested loan portion, Rem believes that she can strengthen her farming business, generating more income for the family. She is also willing to use the anticipated income to move her family ahead and send her beloved kids to school in the future.
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.