In the mid-western village of Chhichu in Nepal, a new group of families has been offered hope in the form of a microfinance loan. These small business loans are given once the applicants complete training and formally apply for the loan. This allows for a proper understanding of how to use and repay the loan.
On August 18th, 10 families gathered together with Microfinance Coordinator Peter and were trained about the microfinance program. They were given opportunities to ask questions and were guided through the paperwork.
After completing the application, the families received the loan sums and were able to begin the process of starting their businesses. For some, this is the first time they have been able to make substantial purchases that could lead to money-making opportunities. With the amount loaned to them, families will be able to purchase animals like pigs or goats to farm or even be able to procure a location and the goods to run a small store.
This loan is not only life-changing for the family that receives it, but it also has a huge impact on the entire village. Goods and services become more accessible to everyone and create a stronger community.
On average 90% of these loans will be paid back in full within a year and some families will even apply for another loan to grow their business even larger. With each loan and training, families are also offered Biblical principles and teaching.