Kiva conducts regular, ongoing monitoring of all Lending Partners, but only posts status updates here in response to relevant, major changes at the partner.

Status update - November 13, 2023

Arariwa has honored the repayment agreement contracted with Kiva in January 2022. As a result, Kiva will settle collected funds to lenders and reactivate Arariwa's posting abilities on our platform. Arariwa was impacted by the pandemic and thereafter, subsequent political unrest which has affected the tourism industry in Cusco and indirectly affected Arariwa's borrowers. Liquidity issues have been progressively resolved and Kiva did an on-site visit earlier in 2023 to verify the status of their operations.

Status update — January 27, 2022

Kiva and Asociación Arariwa have entered into a repayment agreement in order to repay their amount outstanding over the next 2 years. As previously stated, Asociación Arariwa has been severely impacted by Covid-19 and the resulting economic shock across Peru. As a result, they have been working to accommodate the needs of their borrowers by rescheduling loans to give clients more time to pay back.

Arariwa remains committed to a paying back Kiva lenders, and by entering into a repayment agreement Kiva aims to help the institution fully recover as they work through these difficult circumstances.

Status update — April 19, 2021

Asociación Arariwa has been severely impacted by Covid-19 and the resulting economic shock across Peru. While many of Arariwa's clients are making partial payments, the lack of full payments has resulted in an ongoing liquidity issue for Arariwa. We are working closely with Arariwa's management team to help them address this issue and also establish a payment plan for them moving forward.

June 9, 2020 - COVID-19 Update:

Kiva has been in contact with Asociación Arariwa to understand how we can best support their business and borrowers during the ever-evolving COVID-19 pandemic. We continue to prioritize the safety and well-being of all staff, borrowers and their families as this global pandemic continues.

While country-specific responses to the crisis vary, most governments have imposed curfews, travel restrictions, and nation-wide shutdowns. Peru has imposed temporary moratoriums on loan payments, affecting not only microfinance, but the economy as a whole. 

As a result, borrowers and Asociación Arariwa may experience difficulty making and collecting loan repayments due to the aforementioned restrictions or fallout effects of the virus. Over the coming months, it’s possible that lenders will see a delay in repayments and new loans posted by Asociación Arariwa. As an impact-first funder, Kiva is committed to serving our Lending Partners, as in past crises. We are sympathetic to temporary increases in repayment delays and delinquency in order to help Lending Partners and borrower communities recover. 

Kiva is working closely with Asociación Arariwa to support them and their borrowers through the COVID-19 crisis. Asociación Arariwa is sending regular updates to Kiva, and we'll update Partner Pages as we learn more. 

On behalf of Kiva and Asociación Arariwa, we’re grateful for your continued support through this difficult time. 

Partner description:

Asociación Arariwa is a large non-governmental organization that started offering microcredit in 1994 to improve the quality of life, skills and equity of the population in the rural Cusco region of Peru.

With a market presence spanning the Cusco, Arequipa, Puno, Apurimac and Madre de Dios regions, Arariwa provides financial and business development services to approximately 14,000 low-income entrepreneurs. The organization is distinguished by its efforts to reach the very poor, who often live in isolated rural communities located four to five hours outside major cities or at altitudes above 4,000 meters.

In addition to disbursing loans, Arariwa fosters village banking, supports savings accounts, promotes access to education, and empowers women entrepreneurs (who make up 78% of its borrowers). The organization's services are tailor-made for micro-enterprise owners who prefer to borrow in groups.

By encouraging development of village banks, Arariwa seeks to create a space where low-income borrowers can learn to generate their own savings, profit from the earned interest, and share experiences and business advice with one another. Today, it supports more than 1,000 village banks in Peru.

Arariwa constantly strives to serve more niche and vulnerable populations. Recent initiatives include a program to assist people with disabilities, and participation in a pilot project to help Peru's poorest citizens lift themselves out of poverty.

Over the next three years, Arariwa will work toward the following goals:

1) Reach the poorest segments of Peru's population.

2) Achieve sustainable finances and portfolio growth.

3) Improve client satisfaction.

4) Continue applying communal banking methodology, and optimizing internal processes like risk management and human resources.

Arariwa's services are guided by the following tenets: 

Mission: Contribute to improving quality of life for low-income women and their families by pairing secure, affordable financial services with education.

Vision: To be a leader in microfinance by targeting poverty in southern Peru with services that are sustainable, effective, transparent and efficient.


Integrity and respect - Treat colleagues and clients with respect, courtesy and kindess. Respect their cultures, beliefs and customs in both actions and words.

Honesty and transparency - Manage information honestly and capture accurate data about clients. Handle client accounts with care and provide accurate and clear information to colleagues and clients alike.

Excellence and commitment - Internalize the mission, vision and objectives of the institution. Follow institutional norms and processes, and be responsible, competent, proactive and organized in one's work.

Collaboration and solidarity - Work as a team with common goals and interests. Support colleagues in problem resolution. Demonstrate a desire to help colleagues and clients improve. Trust in the capabilities of one's colleagues.

Want to get more involved with Arariwa? Join the Kiva lending team: Amigos/as de Asociación Arariwa. Or make a loan to one of Arariwa's borrowers by clicking here.

Repayment Performance on Kiva

    This Lending Partner All Kiva Partners
  Start Date On Kiva Aug 30, 2008 Oct 12, 2005
Total Loans $42,630,815 $1,958,300,470
Amount of raised Inactive loans $0 $202,845
Number of raised Inactive loans 0 165
Amount of Paying Back Loans $568,290 $160,872,085
Number of Paying Back Loans 192 188,297
Amount of Ended Loans $42,062,525 $1,768,236,180
Number of Ended Loans 29,217 2,370,020
Delinquency Rate 0.41% 12.24%
Amount in Arrears $1,727 $12,206,242
Outstanding Portfolio $410,033 $99,725,561
Number of Loans Delinquent 5 72,811
Default Rate 0.03% 1.83%
Amount of Ended Loans Defaulted $13,763 $32,298,216
Number of Ended Loans Defaulted 26 84,743
Currency Exchange Loss Rate 0.00% 0.50%
Amount of Currency Exchange Loss $1,244 $11,931,838
Refund Rate 0.84% 0.54%
Amount of Refunded Loans $356,350 $10,526,300
Number of Refunded Loans 210 9,596

Loan Characteristics On Kiva

    This Lending Partner All Kiva Partners
  Loans to Women Borrowers 80.28% 78.22%
Average Loan Size $443 $392
Average Individual Loan Size $750 $589
Average Group Loan Size $3,735 $1,891
Average number of borrowers per group 10.7 8.3
Average GDP per capita (PPP) in local country $12,000 $5,599
Average Loan Size / GDP per capita (PPP) 3.69% 7.00%
Average Time to Fund a Loan 2.46 days 8.93 days
Average Dollars Raised Per Day Per Loan $180.47 $43.87
  Average Loan Term 4.77 months 11.47 months

Journaling Performance on Kiva

    This Lending Partner All Kiva Partners
  Total Journals 21,236 1,178,470
  Journaling Rate 63.84% 42.26%
  Average Number of Comments Per Journal 0.02 0.02
  Average Number of Recommendations Per Journal 0.08 0.57

Borrowing Cost Comparison (based on 2016 data)

    This Lending Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 36% PY 29.00% PY 27.02% PY
  Profitability (return on assets) 0.1% 1.4% -3.10%
  Average Loan Size (% of per capita income) N/A 42.00% 0.00%

Country Fast Facts

Lending Partner Staff

Ninoaska Saravia Cunza
Ninoska Saravia Cunza
Rolando Villanueva Florez