The goal of our microfinance program is to provide a social and economic safety net to poor women through microloans ($25-$200) integrated with financial, health, and general literacy. Our program targets primarily women because they bear the brunt of poverty, and empowering a woman is empowering a family, a village, and future generations.
Credit Methodology
Inspired by microfinance pioneers such as Mohamed Yunus and the Grameen Bank, we adhere to a group-lending model and credit rotation system. The group-lending model is a substitute for collateral and helps members repay not only their own share of the loan, but also of their defaulting peers, otherwise the entire group is denied any future loans. Group lending helps increase repayment rates and fosters social and economic welfare. Our integrated education services include financial, health, and general literacy classes.
Projected Impact
We provide loans as small as $25 associated with financial, health, and general literacy, which will:
- Provide Steady income - The loan serves as working capital to start a small business such as buying and reselling clothes, shoes, food, etc. The revenues help women meet basic household needs, build savings, and reduce vulnerability to shocks (human and asset loss, natural disasters).
- Reduce vulnerability and disease prevalence rate - As their health knowledge increases, their vulnerability to diseases will diminish, and they will lead healthier lives. An income will also provide the opportunity to purchase prevention methods, such as insecticide-treated bed nets!
- Restore hope and selfhood - group lending provides a strong support system as women help motivate one another; it boosts self-esteem, restore hope and greater purpose in life.
Ongoing Projects
Our staff recently provided microloans of $25 to 60 men and women in Danane, Cote D’Ivoire. Each group is currently receiving financial literacy training and is required to attend all group classes. Each individual within the group is in the process of starting their own small business. We are currently accepting donations to sustain the HIV Dignity & Hope Campaign which will provide micro-loans to men and women who are HIV positive. Our goal is to increase the number of loan recipients to 300 within the next year.
Empowering the Poor
Empowering the Poor, Inc. (ETP) is a 501(c)(3) nonprofit organization that travels worldwide to empower men, women and children with the resources they need to take control of their lives and prosper.
Website by Dave Moore.
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