Fundraising Status:closed
Risk Rating:
What to know about this Lending Partner
Impact Category:
Other
Default Rate:
0%
Currency Exchange Loss Rate:
15.25%
Total Loans Raised:
$3,575
Loans at Risk Rate:
0%
Kiva Borrowers:
27
Delinquency Rate:
0%
Interests and Fees:
5% APR
Kiva and Mozambikes have agreed to end their partnership. Mozambikes has fully paid its outstanding balance to Kiva, and these funds have been distributed to lenders. Kiva thanks Mozambikes for its collaboration and continued commitment to providing high quality bicycles to low-income communities in Mozambique.
Partner Description:
Mozambikes is a for-profit social enterprise headquartered in Maputo, Mozambique. The organization imports bicycle parts and assembles them locally in Maputo, using local labor.
The organization hopes to provide Mozambicans living near the poverty line with access to bicycles, positively affecting both the financial livelihoods and quality of life of their users. Bikes can help improve personal health, increase access to education, as well as increase income levels and business efficiency.
A unique lending approach:
Mozambikes currently focuses on selling bicycles to NGO’s and private sector companies, who then donate bikes to their communities, employees, customers or other stakeholders. Each bike is designed to be extremely robust and appropriate for rural conditions, and sells for $130. Companies can also elect to just purchase advertising space on the bicycles, and let Mozambikes sell them into the rural market at the reduced rate of $40.
Bicycles have a positive affect on the professional and personal lives of users-- from decreasing commute time, to becoming a tool for entrepreneurial activity, to increasing access to crucial services like health clinics.
Kiva funding will allow Mozambikes to expand their clientele, and will provide a financing option for bikes for Mozambicans living near the poverty line. Each loan will either be for an individual bicycle, or a bicycle and trailer, at a flat interest rate of 5%. With Kiva’s support, Mozambikes can unlock a new segment of low-income residents in Mozambique who can benefit from a bike.