He plans to maintain his plantings so that they won't suffer any damage, and production won't be lost. This way, with his coffee-growing project he will be able to generate more income to contribute to his family.
He doesn't have the necessary capital for this purchase nor for this hiring, as he is a low-income person and does not have the means to acquire the money necessary for this. So he applied for a loan. This is the first loan he has received from Fudecosur. He had not had other loans before from regular banks, but Fudecosur has offered him a loan with better terms and at a much lower interest rate.
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FUDECOSUR works in one of the poorest regions of Costa Rica, where microfinance institutions (MFIs) are scarce or have a hard time keeping up with demand for small loans. By providing mostly agricultural loans, FUDECOSUR reaches rural borrowers that many MFIs consider to be too risky. However, this has also made it more difficult for the organization to find stable sources of capital to lend. Kiva's flexible, risk-tolerant capital plays a critical role in helping FUDECOSUR grow its portfolio and support even more borrowers.
About FUDECOSUR:The Foundation for the Development of Southern Communities (FUDECOSUR) is dedicated to economically empowering its clients by providing credit and training programs that help improve living conditions for micro-entrepreneurs and their children across Southern Costa Rica. You can learn more about this Field Partner at fudecosur.org.
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