Abel lives in the Nyamira area of Kenya, which is a popular banana growing region. He has one child and has been a farmer for three years, with his main income sources being milk, eggs, tea and other crops. He states that his profits are the thing he most enjoys about farming, while lack of finances are his biggest challenge. His highest monthly expenses are business related.
Abel chose Juhudi Kilimo for this loan because of the agency's convenience for him and he learnt about its loan process during Juhudi's compulsory micro-finance training session. When asked 'How will this loan benefit your family?', Abel replied 'Increase income.'
As part of Juhudi's loan appraisal process, each borrower's assets are evaluated and any change in living standards that result from loans are measured. Currently, Abel owns cattle and poultry but not pigs, a pump, bicycle, motorcycle or automobile. His household has a mosquito net but does not have electricity, solar power, running water, a sewing machine, TV or DVD player.
Note: To create this loan profile, Juhudi Kilimo used a mobile device to gather information in the field and send the data to a central online repository, thus reducing paper use, making the process more efficient, and keeping costs down.
To facilitate a partnership between Kiva and Juhudi Kilimo, K-Rep Group (Juhudi Kilimo’s 100% owner) has guaranteed Kiva funds in the event of institutional default. Lenders should be aware that the risk of borrower default remains borne by the lender.
About Juhudi Kilimo:
Juhudi Kilimo is a for-profit social enterprise working with small-holder farmers in Kenya to finance purchases of dairy cows, chickens, agricultural equipment, and other assets that create immediate cash flow. Many of the assets are insured to prevent devastating business losses, and targeted technical assistance is provided to farmers, from agricultural training to basic book keeping and local market research.