Loan recipient Victoria Gumede runs a school lunch program for public schoolchildren in South Africa.
International (MNN) ― Clementine Uzabakiriho and Andre Habiyabmere, sorghum processors in Rwanda, became Opportunity International's one millionth active loan clients in 2007.
At the end of the year, over 1.1 million people had received micro-loans from the ministry, which works through indigenous partner organizations to provide small business loans, other financial services, training, and counsel to the poor all over the world.
"The stories we tell are about transformation - transformation of individuals, families, and entire communities, and it all starts with the multitude of financial services we are bringing to people who desperately need them," says Christopher A. Crane, CEO of Opportunity International.
He is especially pleased with the progress made by the "multiplier effect" in 2007. Every $100 donated to Opportunity International now makes $274 available to finance entrepreneurial projects undertaken by the world's poor. This multiplication is made possible by savings accounts that Opportunity International manages for its clients.
Donations are combined with the money in the savings accounts to finance more micro-loans for the poor, who use the loans to build successful businesses. They then invest their profits in a savings account, making funds available to finance more loans. Since 98 percent of the loans are repaid, every donation to Opportunity International goes to work repeatedly to finance entrepreneurship in poor communities.
Loan clients join Trust Groups, which are groups of people who guarantee one another's loans. They also meet weekly for training from loan officers. 84 percent of loan recipients are women. Opportunity International also provides micro-insurance and innovative banking solutions to people who would not normally have access to banking services.
