VisionFund Ecuador
Kiva conducts regular, ongoing monitoring of all Lending Partners, but only posts status updates here in response to relevant, major changes at the partner.
June 9, 2020 - COVID-19 Update:
Kiva has been in contact with VisionFund Ecuador 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. Ecuador has imposed temporary moratoriums on loan payments, affecting not only microfinance, but the economy as a whole.
As a result, borrowers and VisionFund Ecuador 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 VisionFund Ecuador. 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 VisionFund Ecuador to support them and their borrowers through the COVID-19 crisis. VisionFund Ecuador is sending regular updates to Kiva, and we'll update Partner Pages as we learn more.
On behalf of Kiva and VisionFund Ecuador, we’re grateful for your continued support through this difficult time.
Update: April 1, 2015
As of 2015, Kiva Lending Partner Fondo de Desarrollo Microempresarial (FODEMI), a partner of WorldVision International, formally changed its name to VisionFund Ecuador, to better align itself with other VisionFund International microfinance organizations and to reflect its transition to a more rigorously regulated microfinance institution in Ecuador.
Partner Description:
VisionFund Ecuador, formerly FODEMI, is a microenterprise development fund that supports groups of entrepreneurs who have no access to formal financial systems. The organization works with vulnerable populations, especially women, in the marginalized urban and rural sectors of Ecuador. Its clients work in a variety of sectors including agriculture, artisan crafts and the commercial and service sectors.
Founded in 1995, the organization helps poor people in rural areas to start or expand their businesses by offering microloans and a wide range of training and business services. Those who apply for a loan through VisionFund Ecuador receive supervision and guaranteed support from a team of technicians in charge of ensuring safe utilization of funds, as well as training in ‘soft’ skills to help them succeed in their businesses.
To date, the organization has helped more than 300 clients in Ecuador to establish or improve their businesses. Kiva lenders’ funds are used to expand the organization’s services to the poor living in more rural parts of Ecuador.
A unique lending approach:
VisionFund Ecuador offers short term loans to micro-enterprise owners who require funding to develop their businesses. The guarantees and the requirements are minimal because the organization is targeting poor people in rural areas. According to the organization, the most important requirement is clients’ solidarity and moral responsibility.
VisionFund Ecuador's financial services include community banking, individual credit and solidarity group loans. Community banking loans are designed to help people with common goals access finance without substantial collateral. In contrast, individual credit is offered to micro or small business owners who have the capacity to pay, are financially solvent and meet all of the credit requirements. Group loans are designed to give access to credit without personal guarantees through the formation of a group whose members mutually guarantee each other’s commitment.
Repayment Performance on Kiva
This Lending Partner | All Kiva Partners | ||
Start Date On Kiva | Apr 28, 2011 | Oct 12, 2005 | |
---|---|---|---|
Total Loans | $20,543,625 | $2,043,632,365 | |
Amount of raised Inactive loans | $0 | $314,375 | |
Number of raised Inactive loans | 0 | 175 | |
Amount of Paying Back Loans | $3,554,075 | $159,113,005 | |
Number of Paying Back Loans | 2,901 | 191,440 | |
Amount of Ended Loans | $16,989,550 | $1,843,318,805 | |
Number of Ended Loans | 16,097 | 2,482,233 | |
Delinquency Rate | 4.04% | 12.31% | |
Amount in Arrears | $83,717 | $12,068,428 | |
Outstanding Portfolio | $1,702,894 | $98,006,179 | |
Number of Loans Delinquent | 290 | 65,730 | |
Default Rate | 0.37% | 1.83% | |
Amount of Ended Loans Defaulted | $62,976 | $33,658,280 | |
Number of Ended Loans Defaulted | 97 | 88,833 | |
Currency Exchange Loss Rate | 0.00% | 0.47% | |
Amount of Currency Exchange Loss | $0 | $12,608,670 | |
Refund Rate | 0.14% | 0.54% | |
Amount of Refunded Loans | $28,225 | $10,936,620 | |
Number of Refunded Loans | 25 | 9,669 |
Loan Characteristics On Kiva
This Lending Partner | All Kiva Partners | ||
Loans to Women Borrowers | 71.20% | 78.46% | |
---|---|---|---|
Average Loan Size | $1,016 | $393 | |
Average Individual Loan Size | $1,046 | $586 | |
Average Group Loan Size | $4,174 | $1,910 | |
Average number of borrowers per group | 6.6 | 8.3 | |
Average GDP per capita (PPP) in local country | $10,600 | $5,593 | |
Average Loan Size / GDP per capita (PPP) | 9.59% | 7.02% | |
Average Time to Fund a Loan | 15.38 days | 9.11 days | |
Average Dollars Raised Per Day Per Loan | $66.07 | $43.11 | |
Average Loan Term | 15.4 months | 11.5 months |
Journaling Performance on Kiva
This Lending Partner | All Kiva Partners | ||
Total Journals | 6,223 | 1,218,131 | |
---|---|---|---|
Journaling Rate | 34.82% | 41.90% | |
Average Number of Comments Per Journal | 0.00 | 0.02 | |
Average Number of Recommendations Per Journal | 0.00 | 0.55 |
Borrowing Cost Comparison (based on 2017 data)
This Lending Partner | Median for MFI's in Country | All Kiva Partners | ||
Average Cost to Borrower | 23% PY | 20.00% PY | 26.44% PY | |
---|---|---|---|---|
Profitability (return on assets) | 2.31% | 1.8% | -1.35% | |
Average Loan Size (% of per capita income) | N/A | 49.00% | 0.00% |
Country Fast Facts
- Country:
- Ecuador
- Capital:
- Quito
- Official Language:
- Spanish
- Population:
- 15,654,411
- Avg Annual Income:
- $10,600
- Labor Force:
- agriculture: 27.8%, industry: 17.8%, services: 54.4%
- Population Below Poverty Line:
- 25.60%
- Literacy Rate:
- 91.60%
- Infant Mortality Rate (per 1000):
- 17.93 deaths
- Life Expectancy:
- 76.36 years
Lending Partner Staff
Lorena BurgosJessica Calapi
Franklin Changoluisa
Diana Minda
BRENDA PIARPUEZÁN
Soledad Tua
Katherine Vilañez
Silvia Yugcha