Oeurn is 46 years old and married. She has three children, one of whom is still in school and under her dependency. For her, rice cropping and cucumber planting are the primary source of income; she’s been engaged in this for ages and it gives her a decent income: about 19,000 KHR. The main challenges for her are the shortage of working capital to support her farmland and the low yield due to pests. To overcome these challenges, she has formed a group composed of three female members to apply for a new loan. She is a second-time borrower who has repaid her past loan already. The loan has supported her and her husband in a good manner. Moreover, she can afford to buy household items for her kids too including a TV, table, cabinet etc. Now, the total of her group loan is 2,400,000 KHR. For Oeurn, her loan portion will be used to purchase potash, rice seed, and pesticide. She hopes to increase her yield and earn more 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.