Last updated August 13, 2012

Partner Description:

FAPE, the Foundation for the Assistance of Small Businesses, is a nonprofit, socially-minded institution founded on November 29, 1984. The microcredit arm of FAPE was established on March 6, 1986 to achieve FAPE´s principle objective of providing small monetary loans to micro-entrepreneurs around Guatemala. FAPE has one central office in Guatemala City and serves over 3,300 clients.

FAPE´s vision is to be a leader in the Guatemalan microfinance sector while maintaining its core principles and values – providing attention to the entrepreneurs it serves through credit, technical assistance, business training and auxiliary services to improve its clients’ lives. Through its work and by the hand of God, FAPE hopes to see communities positively impacted and poverty alleviated in the areas it serves.


To stimulate the development of micro-entrepreneurs, small business owners and their communities through financial services, training, and Christian orientation – all provided with personalized attention.


FAPE offers credit and financial services principally to women and to individuals below the poverty line, especially those who work in the agriculture, manufacturing, commerce and service industries. It also offers technical assistance and training in business management as a way of supporting the holistic development of the small business entrepreneur in Guatemala. FAPE also offers free medical services to its clients as well as insurance plans that cover debt balances, hospitalization costs and funerary services.

FAPE offers three principal loan products: Individual Loans, Solidarity Groups, and Village Banks, of which village banking is FAPE´s primary loan product, which serves the vast majority of its clients. FAPE operates in 26 towns in three departments around Guatemala City (Villa Nueva, Sacatepéquez, and Chimaltenango).

If you’d like to learn more about FAPE please watch this short video:



Status Update - September 11, 2011

As part of an ongoing effort to fully migrate risk ratings to our new and enhanced risk rating system, Kiva has conducted a re-assessment of the level of risk posed by this institution.

During this re-assessment, our analysts were able to gather updated operational and financial information about the institution, as well as speak with key members of the staff.

The information gathered during this process, together with the Kiva's new risk rating system and half-star support, has led us to revise FAPE's risk rating from 3 to 1.5 stars. The analysts have found that FAPE's risk variables, reviewed in the new risk rating model, were most representative of a 1.5-Star rating.

We have prepared a blog post with more information on Kiva's new and enhanced risk rating system, along with a chart showing the relative magnitude of the overall changes for Kiva's portfolio.  To view that, please go here.

FAPE has been informed of our analysts’ findings and their corresponding change in rating.

Status Update - January 14, 2010

Kiva became aware of FAPE’s high delinquency rate on Kiva a few months ago, when FAPE’s spike in delinquency was due to some problems FAPE had reporting repayments to Kiva. However, after those problems were resolved, FAPE’s delinquency rate on Kiva remained high due to the difficulty some Kiva entrepreneurs have experienced in repaying their loans as a result of the global economic crisis.

However, Kiva does not consider most of these loans to be “at risk” because, though they are delinquent, most are delinquent by less than 30 days. Typically, in microfinance, loans are only considered “at risk” if delinquent for more than 30 days.

Status Update - October 27, 2009

Kiva is aware of the high delinquency rate for FAPE. This has been caused by a reporting error, so the delinquency rate for FAPE is overstated. We are currently working with FAPE staff to resolve the problem. We apologize for the inconvenience.

Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Dec 10, 2007 Oct 12, 2005
Total Loans $1,644,050 $591,510,100
Amount of raised Inactive loans $0 $801,625
Number of raised Inactive loans 0 640
Amount of Paying Back Loans $292,850 $116,887,025
Number of Paying Back Loans 366 124,445
Amount of Ended Loans $1,351,200 $473,821,450
Number of Ended Loans 1,694 601,157
Delinquency Rate 10.54% 4.15%
Amount in Arrears $15,402 $3,134,116
Outstanding Portfolio $146,123 $75,521,492
Number of loanDelinquent 79 14,058
Default Rate 2.21% 1.13%
Amount of Ended Loans Defaulted $29,876 $5,346,749
Amount of Ended Loans $1,351,200 $473,821,450
Number of Ended Loans Defaulted 93 16,817
Currency Exchange Loss Rate 0.00% 0.09%
Amount of Currency Exchange Loss $0 $538,403
Refund Rate 0.18% 0.77%
Amount of Refunded Loans $2,975 $4,537,625
Number of Refunded Loans 3 5,064

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 90.05% 74.18%
Average Loan Size $467 $418
Average Individual Loan Size $865 $655
Average Group Loan Size $754 $1,828
Average number of borrowers per group 2.2 8
Average GDP per capita (PPP) in local country $4,155 $3,429
Average Loan Size / GDP per capita (PPP) 11.25% 12.20%
Average Time to Fund a Loan 4.8 days 5.6 days
Average Dollars Raised Per Day Per Loan $97.40 $74.70
  Average Loan Term 8.82 months 10.35 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 1,316 296,133
  Journaling Rate 72.23% 42.36%
  Average Number of Comments Per Journal 0.05 0.08
  Average Number of Recommendations Per Journal 1.76 1.87

Borrowing Cost Comparison (based on 2012 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 58% PY 31.00% PY 33.27% PY
  Profitability (return on assets) 4.5% 4.5% -1.45%
  Average Loan Size (% of per capita income) 7.50% 18.00% 40.88%

Country Fast Facts

Field Partner Staff

Luis Gilberto Canton Merida
Gloria Corona
Rebeca Garcia
Marco Antonio Hernandez
Jose Luis Hernandez Alvarado
Roel Alfonso Hernández Bail
Mabilia Joj Ojer
Manuel Garcia Marroquin
ceili salvatierra