Update from Kiva

In early 2008, Life in Africa closed their operations and stopped administering loans in Kampala, Uganda. By June 2008, Life in Africa sent all outstanding loan repayments to Kiva, and they were returned to Kiva lender accounts.

Original description
 

Life in Africa is both a virtual and a physical space that belongs to a member owned community enterprise in Uganda. A group of buildings at Life in Africa's WE Center in Kampala houses a loan programme, craft workshops, an education programme, IT training and savings programmes for both adults and children (the latter is particularly unique here in Africa). It is a place for Ugandans to connect with each other and opportunities in the outside world to plan for a secure future.

In it's relationship with Kiva, LiA is pioneering a community guaranteed lending model. All loan applications listed at Kiva have been vetted, reviewed and approved by a committee of WE Center Kampala members that includes would-be borrowers before they apply. An ability to repay, an established level of trust and WE team participation, and attendance at 4 loan information workshops (including a review) are pre-requisites for applying for a loan. Each case is reviewed very seriously, since the WE Center Kampala community agrees to back the loans listed at Kiva with a 100% guarantee. Once a loan is approved by the review committee, the borrower is asked to announce which WE Team they designate to receive 25% of the interest to be paid on the loan. This ensures that the LiA loan program benefits the entire LiA community in a bottom-up, democratic way.

LiA's loan applications are prepared and presented for community review by LiA members who are part of LiA's Internet4Change job creation program. Trained i4c Agents earn 25% of the interest on their client's payments each month. In addition to loan applications, i4c Agents also create a blog for each borrowing member that includes supplemental cultural content contributed by the borrower to LiA's growing collection of grassroots voices online. By the end of 2006, i4c Agents hope to learn how to sell individual member craft products directly from their blogs.

Life in Africa job creation programs began in Gulu in war-torn Northern Uganda in March 2006. LiA anticipates that some WE Center Gulu members will be earning enough to service small loans by the end of the year.


Repayment Performance on Kiva

    This Lending Partner All Kiva Partners
  Start Date On Kiva Apr 17, 2006 Oct 12, 2005
Total Loans $37,700 $1,962,045,250
Amount of raised Inactive loans $0 $898,755
Number of raised Inactive loans 0 437
Amount of Paying Back Loans $0 $154,663,925
Number of Paying Back Loans 0 180,233
Amount of Ended Loans $37,700 $1,775,886,350
Number of Ended Loans 135 2,382,964
Delinquency Rate 0.00% 11.48%
Amount in Arrears $0 $10,646,073
Outstanding Portfolio $0 $92,699,447
Number of Loans Delinquent 0 44,536
Default Rate 0.00% 1.82%
Amount of Ended Loans Defaulted $0 $32,352,443
Number of Ended Loans Defaulted 0 84,926
Currency Exchange Loss Rate 0.00% 0.49%
Amount of Currency Exchange Loss $0 $12,026,994
Refund Rate 0.00% 0.54%
Amount of Refunded Loans $0 $10,526,300
Number of Refunded Loans 0 9,596

Loan Characteristics On Kiva

    This Lending Partner All Kiva Partners
  Loans to Women Borrowers 67.41% 78.24%
Average Loan Size $279 $392
Average Individual Loan Size $279 $589
Average Group Loan Size $0 $1,892
Average number of borrowers per group 0 8.3
Average GDP per capita (PPP) in local country $1,800 $5,599
Average Loan Size / GDP per capita (PPP) 15.51% 7.00%
Average Time to Fund a Loan 1.28 days 8.94 days
Average Dollars Raised Per Day Per Loan $217.89 $43.85
  Average Loan Term 8.27 months 11.47 months

Journaling Performance on Kiva

    This Lending Partner All Kiva Partners
  Total Journals 342 1,181,733
  Journaling Rate 89.68% 42.25%
  Average Number of Comments Per Journal 0.61 0.02
  Average Number of Recommendations Per Journal 5.84 0.57

Borrowing Cost Comparison (based on 2009 data)

    This Lending Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower N/A 57.00% PY 27.02% PY
  Profitability (return on assets) N/A 4.5% -3.10%
  Average Loan Size (% of per capita income) N/A 61.00% 0.00%

Country Fast Facts

Lending Partner Staff

Laura Darling