Soeurt, a local farmer from Battambang province of Cambodia, is 43 years old and married. She has five children, but currently only two children depend on her. She tackles her family hardship by selling food and farming rice, while her husband helps supplement her income by working as a village chief. Soeurt has been involved in this current business for 20 years, and she has completed seven successful previous loans with VisionFund (Kiva’s partner). She has fully repaid her past loans, and used them to cover the basic needs for her family.
For this loan, Soeurt formed a group of two. As the group leader, she will spend her loan portion to buy fertilizer and rice seed for her crops. She hopes that she can gain a good yield from her agricultural business with a good income in return.
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.