Total loan: $5,000


Ambrolauri, Racha-Lechkhumi and Lower Svaneti, Georgia / Food

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A loan helped to start up a grocery store.

Mamuka's story

Mamuka is 51 years old and he lives in the Ambrolauri district with his wife, son and a brother. Mamuka’s wife works as a teacher at the local school and earns a small monthly income. Mamuka is a tin man, producing stoves and tin pipes in a small workshop. He sells the items he produces from his workshop. In addition, he works as an artisan locally and renovates the houses where there are any orders. He has asked for loans from local financial institutions to start his new business several times but without success. His loan requests were rejected each time because of income requirements and a lack of experience in the new business, which is usually required by local credit providers. However, Mamuka’s loan request was approved as part of the new joint initiative between Kiva and Credo. The start-up loan program provides business start-ups with credit. The program extends soft conditions to the rural poor who do not have access to credit products. They are regarded as “high-risk borrowers” because of their low income. With this loan, Mamuka will cover the costs of renovating the store where he will set up a grocery. He will purchase basic groceries and sell them from his store. Mamuka hopes his business will be profitable and attract many customers from the local community. He plans to increase the turnover in his trade business gradually. The new business initiative, financed with the Kiva start-up loan, will significantly increase the income of the family. Mamuka will work hard and he will be able to improve the living conditions for his family. With this loan, his family will generate enough income to access regular available credit products in the country’s capital market, in the event they need it in the future.