Rafael lives in the Kisii area of Kenya, which is primarily a banana and sugar cane growing region. He has 6 children and has been doing this work for 30 years. His primary income sources are crops and personal business.
He stated what is most enjoyable about farming: 'Crop and dairy farming!' His biggest challenge is 'lack of capital.' Animals on the farm have been given the names Ruto, and Ngilu.
Rafael was asked why he chose Juhudi Kilimo for this loan, to which he replied: 'Because they offer farming loans.' This client was also asked what was learned during Juhudi's required micro-finance training session: 'That recordkeeping is very important for a group to survive.'
His highest monthly expense is school fees. When asked how this loan will benefit his family, Rafael replied 'They will have milk for consumption and sale to substitute his income.'
As part of Juhudi's loan appraisal process, each borrower's assets are evaluated. Rafael owns the following: a cow, poultry, and a bicycle but does not own a pig, pump, 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 and TV but does not have electricity, solar power, running water, a sewing machine, or a DVD.
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.