However, his father's earnings are not enough to cover the cost of food and everyday expenses. For this reason, Goderdzi decided to start a dairy farm. Goderdzi's loan request was approved as part of a new joint initiative between Kiva and Credo. The start-up loan program provides loans with reasonable terms to start-up businesses. These loans are provided to the country's vulnerable poor, who do not have access to credit products because they are regarded as “high risk borrowers” due to their low incomes.
The loan will be used to purchase a milking cow. Goderdzi will house the cow in the cattle shed located in his yard, and he will sell the milk at the local market. He estimates that the family's income will increase by 150 to 200 GEL, which is a 40 to 50 percent increase. The family's living conditions will significantly improve, enabling them to access regular credit products that are currently available.
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.
76View loans »
Success!! The loan was 100% repaid