Ekaterine works as a housekeeper and earns a monthly income of 300 Laris per month. This is the only source of income for the family and it is hardly enough to pay for their food. According to Credo estimations, the family belongs to the "subsistence poor" category.
Ekaterine has requested a loan from Credo to start a family business. Her request was approved through a new joint initiative of Kiva and Credo. The start-up loan program provides loans with soft conditions to the rural poor, who do not have access to credit products because they are regarded as “high risk borrowers” on account of their low incomes. With the loan, Ekaterine will start a clothing business. She plans to purchase clothing in Turkey at wholesale prices and then resell the clothes to her neighbors at higher prices. This will increase the family's income. The new business initiative, financed with a Kiva start-up loan, could significantly improve the living conditions of the family.
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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