Last updated May 25, 2013

Partner Description:

Fundacion Namaste Guatemaya (Fundacion Namaste) is a non-profit organization in Guatemala that empowers women with microloans and mentoring. Founded in 2004, it initially funded other microfinance institutions, providing grants of $25,000 for a variety of projects. But since 2008, it has been providing a more comprehensive set of services directly to clients. Its flagship program is the Namaste Business Development Program (NBDP) that combines personalized mentorship, financial literacy and customized microloans to help women entrepreneurs formalize their business models and increase their profits.

In Guatemala, less than half of all girls complete primary education, and in rural and indigenous communities, only 5% do. Lacking education and training, 69% of women work in informal economy jobs -- jobs that do not provide security, fixed hours, wages or benefits. Since women are largely excluded from the formal workforce, there are very few support networks or role models to promote equality and advancement.

Furthermore, without formal business experience or formal jobs, these women cannot easily access capital that takes into consideration their lack of credit history or collateral. This is why MFIs like Fundacion Namaste are essential to empower Guatemalan women and improve their livelihoods. Kiva lenders’ funds enable Fundacion Namaste to reach even more women with the credit they need to succeed.

A unique lending approach:

The Namaste Business Development Program (NDBP) aims to provide low-income women entrepreneurs in Guatemala with the tools they need to build businesses. Potential clients form their own groups and apply for loans through Fundacion Namaste. In addition to receiving loans, these groups get three months of training to learn how to invest, separate personal and business funds, calculate profits, keep track of sales and income, and market their products.

After this crash course, NDBP provides monthly coaching with a personal business advisor that supports clients with information about their businesses and cash flow. These advisors are local, trusted and experienced entrepreneurs who have had some college training.

To date, approximately 1,000 women have completed the NBDP program, and over 500 women are actively enrolled. On average, women who participate in the program increase their business profits by over 40%.

Fundacion Namaste joined Kiva through ourExperimental Partnership Program, and has therefore received a lighter level of due diligence. Accordingly, loans associated with this partner carry a higher level of risk than typical Kiva loans.



Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Jun 24, 2013 Oct 12, 2005
Total Loans $86,450 $582,146,150
Amount of raised Inactive loans $0 $415,000
Number of raised Inactive loans 0 382
Amount of Paying Back Loans $65,300 $116,344,325
Number of Paying Back Loans 28 122,618
Amount of Ended Loans $21,150 $465,386,825
Number of Ended Loans 15 591,866
Delinquency Rate 2.14% 3.78%
Amount in Arrears $897 $2,849,683
Outstanding Portfolio $42,008 $75,381,279
Number of loanDelinquent 9 11,821
Default Rate 0.00% 1.15%
Amount of Ended Loans Defaulted $0 $5,334,794
Amount of Ended Loans $21,150 $465,386,825
Number of Ended Loans Defaulted 0 16,796
Currency Exchange Loss Rate 0.00% 0.08%
Amount of Currency Exchange Loss $0 $479,128
Refund Rate 0.00% 0.77%
Amount of Refunded Loans $0 $4,494,225
Number of Refunded Loans 0 5,037

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 100.00% 74.17%
Average Loan Size $347 $418
Average Individual Loan Size $3,579 $656
Average Group Loan Size $1,706 $1,827
Average number of borrowers per group 6.7 8
Average GDP per capita (PPP) in local country $4,155 $3,434
Average Loan Size / GDP per capita (PPP) 8.36% 12.18%
Average Time to Fund a Loan 11.29 days 5.55 days
Average Dollars Raised Per Day Per Loan $30.75 $75.36
  Average Loan Term 11.87 months 10.28 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 116 291,158
  Journaling Rate 100.00% 42.39%
  Average Number of Comments Per Journal 0.00 0.08
  Average Number of Recommendations Per Journal 0.00 1.90

Borrowing Cost Comparison (based on 2013 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 37% PY 31.00% PY 33.64% PY
  Profitability (return on assets) N/A 4.5% -1.40%
  Average Loan Size (% of per capita income) N/A 18.00% 41.35%

Country Fast Facts

Field Partner Staff

Eugenia Duran
Bernardino Garcia
Bob Graham
Robert Graham
Kristin Houk
Kristin Houk
Denise Lorenz
Italia Triquez