Shamshad is a 42-year-old woman. She lives in Pakistan with her husband, her son and her daughter. Her husband is a driver, whose income is too low to cover their household expenses. Shamshad herself has been running a beauty salon for two years. As a member of a borrowing group, she has requested a loan from Kiva partner BRAC Pakistan to purchase cosmetic products for her salon, including lipstick and facial creams. With the profits, she will first pay back her loan to Kiva, and then she will purchase a variety of cosmetic products for the salon. Shamshad’s dream is to open a new beauty parlor and to get good profits from it. She wants to thank the BRAC staff for being so cooperative.
More information about this loan
BRAC Pakistan focuses its work in some of the most underdeveloped parts of Pakistan, characterized by poor infrastructure and high levels of poverty. By supporting this loan, you are enabling access to finance for borrowers living in some of Pakistan's poorest areas.
About BRAC Pakistan
BRAC Pakistan is a subsidiary of BRAC, one of the world’s largest development organizations with a focus on microfinance and economic empowerment. It offers micro-loans designed to help small businesses, very poor clients and others, in addition to health and education services. Kiva’s flexible, zero-interest capital will enable BRAC to expand its outreach in underserved regions and to women who have had no access to microfinance 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.