Total loan: $50,000
Mexico City, Pue., Mexico / Education
Finae's loan finished fundraising,
but these similar borrowers just need a little more help to reach their goals!
A loan helped to provide loans and career services for the lowest-income students in Mexico.
FINAE is requesting a loan of $50,000 USD from Kiva lenders to pilot a program that provides loans to the lowest income students in Mexico (socio-economic level E). In addition, FINAE will implement a career management pilot program to help students not only to get jobs faster but also find the ones that better fit their aspirations and skills. FINAE is a social impact financial institution specialized in student loans. It was created in 2006 by a group of Mexican entrepreneurs in order to support low-income Mexican students (socio-economic levels C and D) who have demonstrated a good academic performance, but don’t have enough economic resources to pay for their undergraduate tuitions in a private university. This Kiva loan will be used to pilot a program that reaches beyond FINAE’s traditional work with socio-economic levels C and D—to the lowest-income students in level E. Higher education is already difficult to achieve in Mexico. Their public universities are at full capacity and more than 50% of their applicants are rejected due to limited space. Even though many students have strong academic credentials, the number of rejected applicants is estimated to be more than 350,000 per year. And those who do not have the financial resources needed to attend a private university cannot obtain a college degree. The situation is even more acute for the families with the scarcest resources. By funding this loan, Kiva lenders will be supporting the lowest-income students in Mexico and helping FINAE learn how to best provide higher education access to this group. In addition, through the career management tools, lenders will be helping current low-income students (like the ones pictured above) get hired more quickly, and find a job that’s more aligned with their goals and capabilities developed through college education. In doing so, lenders will be assisting FINAE to increase the quality of life not only for these students, but also for their families. Nearly 70% of the students supported by FINAE are the first members of their families pursuing a college degree. Consequently, by helping students to access higher education, the positive social impact is multiplied. Primarily, because the total household income is expected to increase as the student has a job; and subsequently, the odds that their children will go to college increase substantially.