Kiva: person-to-person micro-lending
Share the excitement of when 620,000 lenders fund 615,000 entrepreneurs, students, and other microfinance borrowers around the world. (You can watch the video directly on YouTube here)
The simple story of Pedro, his family and Kiva.
(Watch this video on YouTube by clicking here).
Rabiya from Kyrgyzstan is 53 years old, widowed and has one son. She has been raising cattle as a primary source of income since 1994, when she purchased her first animals with $212.
Moises Elias from El Salvador lives with his wife and three-year-old son in their own home. His loan of $500 enabled him to buy curative medicines, vitamins and dietary treatments.
This case study appears in these showcases
Such a simple idea that has achieved remarkable results in a relatively short time. Kiva has attracted people who possibly wouldn’t have dreamt of giving their money to charity, as well as helping those with smaller incomes to make a difference to the world.
Medium of communication:Online.
Type of charity:International relief/development.
Country of origin:USA.
Name of exhibitor:Kevin Waudby.
Date of first appearance:2005.
Kiva is a nonprofit organisation with a mission to connect people through lending to alleviate poverty. Through the Internet and a worldwide network of microfinance institutions, Kiva lets individuals lend as little as $25 to support entrepreneurs and help create opportunity around the world
Matt Flannery began developing Kiva in late 2004 as a side project while working as a computer programmer at TiVo, Inc. In December 2005 he left his job to devote himself to Kiva full time and within a year it had lent over $1,000,000. From the start Kiva was winning a heap of accolades, including the New York Times Magazine ‘year in ideas’ 2006. Kiva really hit the big time when it was featured on the Oprah Winfrey Show with Bill Clinton in support. Since then over 760,000 people have lent almost $320,000,000 worth of loans to help entrepreneurs in developing countries work themselves out of poverty.
Matt has received a Skoll Foundation award for social entrepreneurship, is an Ashoka Fellow and was selected to Fortune magazine’s ‘top 40 under 40’ list in 2009. In 2011, he was chosen for the The Economist ‘no boundaries’ innovation award.
Kiva has enabled the emergence of strong communities to unite in lending – and to compete with their lending. So the atheists compete with the Christians to out-lend each other. And the communities get together offline too. In 2011 10 events in 10 cities across the world saw Kiva lenders getting together to get to know each other in the flesh.
As of May 2012:
From the launch in 2005 until May 2012:
In 2011 alone Kiva’s total revenue was $13.6m, it spent 84 per cent of that on its programme and it lent $87.4m to entrepreneurs. Voluntary donations,grants, corporate sponsors and foundations cover all operational costs so 100 per cent of public donations go directly to the entrepreneurs funded by Kiva .