End of Microfinance Tour

That's all for the detail I'm going to record with regards to the microfinance tour. The real work begins Monday August, 4th in Trujillo, Peru. I'm going to try to continue to keep everyone informed with weekly updates via this blog.

Thanks to everyone who is prayerfully and financially supporting me! This would not be possible without you.

Sincerely,
Drew

MFI Visit 4 Cont'd

Here is a photo of the hand-woven bags. They are priced between $2 and $6, depending on stitching technique and labor hours.

Here is a finished pinata, wrapped in cellophane, and ready for purchase. I think its Sponge Bob Square Pants inspired?!?

MFI Visit 4: Leon, Nicaragua

After riding on the back of the motorcycle all around Leon, Nicaragua delivering loan payment late notices to delinquent borrowers with microfinance institution employee, Ernesto Henriquez (pictured, left; donning Canadian tuxedo), we sat down to interview a potential borrower (pictured, right). This particular borrower runs a super small shop out of his modest house selling hand-woven bags, hand-made pinantas, and brand name retail clothing (inventory included 8 pairs men's pants, 3 skirts, 15 shirts, 4 belts, and one pair of black men's loafers). His current clients are limited to his next door neighbors and his church congregation so he wants to take out a loan to expand his business and increase his clientèle.

This particular microfinance group takes a very different approach to the loaning process. For example, rather than use solidarity groups and peer pressure to reduce risk (hallmark characteristics of microfinance) and ensure loan collection, this microfinance group loans money to individuals without solidarity groups and takes asset collateral (a stereo, a dining room table, etc.) as incentive to pay back the loan.