Nget is 38 years old and married. He has two children to cater for. He covers the daily cost of living for his entire household via pineapple farming which he has been involved with for 10 years. Now, Nget is a leader of a borrowers group of two. He and his colleague are first-time borrowers with VisionFund (Kiva’s partner) and they are seeking a loan of 1,000,000 KHR each. As the leader, he will spend his loan portion to buy fertilizer to boost the output of his cash-crop. He hopes that he can make more income from his business to improve his living.
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.