Rose lives in the Muranga area of Kenya, which lies in the central Rift Valley. She has three children. She has been farming for 12 years. Her primary income sources are milk, eggs, tea, crops, and personal business.
She stated what is most enjoyable about farming: Farming gives her a source of income. She said her biggest challenge is high input prices. Animals on the farm have been given no names.
Rose was asked why she chose Juhudi Kilimo for this loan, to which she replied that the previous loan had helped her to expand her dairy farming projects, and now she wants to buy a chaff cutter (a tool for chopping up cattle feed efficiently.) This client was also asked what was learned during Juhudi's required microfinance training session, and she replied: 'Microfinance gives loans with better terms than other financial institutions.'
Her highest monthly expense is school fees. When asked how this loan would benefit her family, Rose replied that she will be able to improve the family's living standard.
As part of Juhudi's loan appraisal process, each borrower's assets are evaluated. Rose owns a cow, poultry, pump, and bicycle, but does not own a pig, motorcycle, or automobile. Juhudi Kilimo also tries to measure any change in living standards based on this loan. This borrower has in the household a mosquito net, electricity, running water, sewing machine, TV, and DVD, but does not have solar power.
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.