I finally took the plunge and opened a Kiva account a few days before Christmas. I wanted to give my sister a Kiva gift certificate as part of her gift, and I figured that I should also open an account while I was there. I had heard and read a fair amount about Kiva, but hadn’t really explored their website (http://www.kiva.org). so I put $100 in to get the experience.
My initial impression was one of disappointment. I thought about the things that I would want to support, and my mind immediately went to artisans. But there weren’t any soliciting funds in that category (note: there are 4 at present). Then I decided that I wanted to support someone in India based on the time that I had spent there… but again, struck out!
My third strategy to sort through the loans was to look for loans that were about to expire (Kiva puts a 30-day limit for someone to receive their funding) — being able to make a difference in making a difference by getting something there by topping it off. But then I discovered that many of the loans are actually pre-disbursed — the money has already been given to the entrepreneur, so completing the loan isn’t as critical as I expected. It was also tough to find loans that were expiring without being funded, which is great to see!
But after this initial disappointment of not finding the things that immediately came to mind, I tried a different approach and began browsing the loans that were available, rather than thinking about ones that weren’t. All of the sudden, I found myself racing with others to complete a loan because they were getting funded so quickly! It was such an exciting process to look through the different loans, see what entrepreneurs were doing in the developing world, and how people in the developed world could — and were — supporting them!
So what did I end up sponsoring with my initial foray into Kiva?
Rufina, a fish seller in Peru — I was drawn by the mention of ceviche, having just had some yummy ceviche a few days before at a restaurant in Philadelphia. Perhaps someday I will go to Peru and taste the fruits of my investment! Rufina needed just $325 to grow her business, a reminder of the astonishingly small amounts of money that can make a difference in the developing world!
The Madina Nakandi Group, who needed $925 to expand their restaurant in Uganda by another room. What attracted me to this loan was the fact that it was a group loan, with 4 people individually signing on to support each other in repayment. And again… it was food related (I am already sensing a theme, based on my love for food from different cultures!)
Pheung Sreyaun, who took out a $500 loan to support her husband in his boat building business in Cambodia. I was drawn to this loan because of the way that Pheung was helping her husband in his business, and the fact that the lending agency is connected to World Relief, an organization that I have supported over the years. I also liked seeing young people get started with Kiva — Pheung is just 19 and yet supporting her husband’s business in critical ways!
Kiva even set up a “lender page” so I can share all of this with people and motivate them to get involved in their own ways.
And to those of you who might consider a Kiva gift certificate as a gift, I definitely endorse that. My friend printed it out for me and made it all pretty, putting it in a nice envelope she handmade with a bow, so the gift certificate itself looked quite fancy.
I also gave my sister a book, Philanthrocapitalism, by Matthew Bishop and Michael Green. I haven’t read this, but will get to it at some point. I completed the gift with an Onyx vase from Pakistan that I picked up at Ten Thousand Villages as an example of the types of businesses she could theoretically support. It was a nice combination and well received by my sister — I am curious to see what she will invest in!
Happy New Year! It should be an exciting one for Profugo and all of us!