I had the most wonderful surprise this past weekend.  Upon checking my feeds on Twitter, someone had mentioned that I was listed on SocialEarth’s 113 Microfinance Tweeters to Follow.  I was listed under the subcategory of “Microfinance Supporters”.

Given that I’m still a relative novice to the field of microfinance, I was totally flabberghasted to be recognized with such great company.  I’ve been participating recently in online conversations about microfinance on Twitter, so I’ve built up a considerable network of knowledgeable resources who are experts in this field (many of whom are also on the list).  I hope that topics and issues that arise from those discussions will result in more information that can be shared on this blog.

If you are not on Twitter already, I would encourage you to sign up and start following some of the other Microfinance Tweeters recognized by SocialEarth.  You can also follow and/or participate in discussions about microfinance in a Twitter forum called “Microloan Mondays” hosted by OptInNow.  Once you’re on Twitter, search the character string #mifimon to find out when the next discussion will take place.

You can follow my tweets on the sidebar of this blog or directly on Twitter.

I’m in the middle of reading In the River They Swim, a collection essays written by various individuals from the governmental, for-profit, and not-for-profit sectors with a common thread of fight poverty through enterprise solutions.  Once I’ve completed the entire book, I’ll compose another blog entry to record my thoughts and observations on the whole collection….a personal book review of sorts.

Right now, I can’t help but be encouraged and inspired by the first essay written by President Paul Kagame of Rwanda.    The Rwandan leader’s personal view of his country’s future is one full of optimism and great promise.  In a Financial Times op-ed piece, President Kagame suggests that Rwanda and other African countries must wean themselves off of foreign government assistance (not to be confused with humanitarian aid).  Instead of relying on foreign aid, governments should be providing the infrastructure that encourages economic development — which leads to job creation and poverty reduction.  President Kagame states that he continues to support existing industries — such as coffee, tea, and tourism (as stated in the FT piece) — and looks to develop new industries — such as communications/information technology, financial services, and education (as indicated in his essay).

When asked what he wanted to do when he was older, a young man told President Kagame he wanted to start his own private business.  President Kagame and his administration are committed to making that young man’s dream a reality.

The end of his essay sums up his role:

“Our job in leadership is to provide opportunities.  We must use the means available institutionally to do the things that will help people develop their capacities, their potential, and their talents and then allow them to compete….I consider entrepreneurship to be, simply, the backbone of a new Rwanda….” (p. 14)

How’s does someone living on the other side of the world support President Kagame’s campaign to encourage entrepreneurship and alleviate poverty?  In my case, I made a Kiva microloan to a Rwandan entrepreneur named Helene.  Helene runs a stationery store/photocopy center and is using her microloan to expand her business.  Thanks to Kiva, individuals from around the world can help create the opportunities mentioned by President Kagame.

On a personal note — I am very enthusiastic that, in my homeland of the Philippines, President Gloria Macapagal Arroyo has made microfinance and the development of small/medium enterprises (SMEs) centerpieces in her administration’s agenda.  There are several microfinance instiutions operating in the Philippines, and Kiva is currently partnered with eight organizations that provide microloans to Filipinos.  I am grateful to Kiva for the opportunity to help others out of poverty through economic development, not just in the Philippines, but in all parts of the world.

Special Note:

This blog post is part of Zemanta’s “Blogging For a Cause” campaign to raise awareness and funds for worthy causes that bloggers care about.

Loan #91

Perlita Sanchez (Philippines)  - Perlita is a seamstress who operates a dress shop out of her home.  She has been in business for almost 30 years.  Her original loan requested stated that she would use her loan to purchase additional materials for her business and possibly invest in a new business.  When the loan officer performed the verification check on Perlita’s loan, he indicated she used the funds to purchase fabric and have repair work done on her sewing machine….which is a good thing since it means Perlita stays in business and doesn’t fall behind on customer orders.  I chose to loan to Perlita because she is an established businesswoman and her loan term would be completed in five monthly installments.

Loan #92

Timoteo Tabaranza (Philippines)  - Timoteo and his wife operate a retail business selling various fuel sources – such as coconut shells, charcoal, and gasoline.  This business enables them to support their five children.  Timoteo will use the loan to increase his inventory of charcoal and coconut shells.  I chose this loan primarily for the short loan term – five monthly repayments.

Loan #93

Pacita Pantila (Philippines) - Pacita has a “rolling store” (as evident by her motorbike) in which she travels to different neighborhoods selling vegetables and ready-made snacks.  She will use her loan to purchase additional food items for her business.  Pacita has five children; her income helps support her two youngest children who are still in school.  I selected this loan because of my affinity to food-related businesses and its short term (7 monthly payments).

Loan #94

Josephine Baysa (Philippines) – Another food business.  Josephine sells prepared meals outside of a local school.  She has worked as a food vendor for six years.  Josephine plans to use her loan to restock her inventory of ingredients used in food preparation.  This loan will be paid back in 7 monthly installments.

Loan #95

Lynneth Embargo (Philippines) – Lynneth is a barbecue vendor, selling primarily grilled chicken.  She was raised by her grandmother after the death of her parents.  Lynneth was forced to drop out of college and go into business so that she could support her grandmother.  She requested this loan so that she could purchase a large volume of whole chickens.  An update from the HSPFI loan officer indicated that Lynneth was able to generate more income so that she could pay for her grandmother’s medication.

Loan #96

Annalyn Rubis (Philippines) - Annalyn currently pursues two business ventures.  She is a traveling snack vendor and also raises chickens.  Her loan will be invested into her snack business; she will be purchasing more merchandise for food preparation and resale.  Annalyn and her husband have three young children.  She hopes the additional income will enable her children to finish their education.

Loan #97

Luzviminda Evangelista (Philippines)  - Luzviminda is a traveling frozen foods vendor.  She travels throughout her neighborhood on her motorbike selling meats, fish, chicken and vegetables.  The loan will be used to purchase additional products for sale.  Upon a visit from her loan officer, Luzviminda indicated that she now generates a higher income and is able to keep up with the demands of her customers.

Loan #98

Evelyn Bantilan (Philippines) - Evelyn has been a member of the PMPC cooperative for two years.  The support and services provided by the cooperative have enabled Evelyn to remain in business as a coconut vendor.  Her current loan request will be used to increase her inventory of whole coconuts and coconut shells.  Evelyn’s business is her family’s only source of income, since her husband is unable to work because of illness.

Loan #99

Teresita Poligrates (Philippines) - Teresita works as a fish vendor at a local market.  She has been a member of the PMPC cooperative for four years and has already paid back six previous loans.  Teresita’s current loan will enable her to purchase fish in bulk.  When she is not selling at the market, Tersita travels throughout the neighborhood delivering fish to her customers.  I selected Teresita’s loan because of her excellent repayment history.

Loan #100

Elizabeth Habunal (Philippines) - When Elizabeth started in the food business, she sold only three types of dishes.  She then heard about the services provided by the PMPC cooperative and joined more than a year ago.  Her first loan was used to establish her restaurant location and she successfully paid it back.  With this current loan request, Elizabeth looks to expand her restaurant.  During a loan verfication visit, Elizabeth’s loan officer took note of the increased variety of food being offered to customers.

You might be wondering, “WHY?”

Two reasons….First, I came across the blog for ACCION USA and, you guessed it, it was called Main Street Microfinance.  One of the key rules in marketing (not that I’m trying to sell anything here, just share thoughts and ideas) is to differentiate yourself from the crowd.  Second, my interest in the topic of poverty alleviation has expanded to other channels beyond microfinance, such as international development and social entrepreneurship, and how everyday individuals can become part of these solutions.  The name change reflects the widening of this scope for discussion topics.

What won’t change:

- My level of interest in microfinance.  I’m still a committed P2P microlender, and I will continue to share the individual stories of entrepreneurs in the developing world who are taking the initiative to improve their lives, the well-being of their families, and their communities.

- The URL address, Twitter page, and e-mail will remain the same.  So there’s no need to reset any bookmarks if you have the blog saved as a favorite page.

Most of all, I want to thank everyone who has taken time to visit the site, contribute to the discussions, and share their microfinance experiences.  Learning is definitely a two-way street and I continue to be enriched by all who participate.

Eisenhower Manlabao and his wife operate two businesses.  He started out as a meat vendor, operating his own stall in the local market.  After establishing a regular stream of customers, he opened a refreshment stand adjacent to his meat vending stall.  The second business was to slow to generate income, but now both ventures are operating with a small profit.  Eisenhower is requesting a loan to purchase cooking equipment of the refreshment stand and meat for his butcher stall.  He hopes to generate enough income to reinvest in a third business — a small grocery store.  Eisenhower and his wife are proud that their businesses have created employment opportunities in their community.  In addition to being a respected businessman, Eisenhower also serves his community as a village councilman.

Below are pictures of Eisenhower at both of his businesses:

Loan #81

Ellen Payla (Philippines)  – This is my first loan with Hagdan sa Pag-uswag Foundation, Inc. (HSPFI), Kiva’s newest Field Partner in the Philippines.  Ellen travels throughout her neighborhood and nearby villages selling cooked foods.  She is requesting a loan to purchase more food items and building materials so that she can establish her own food stall.  I selected Ellen because she has proven herself as a creditworthy borrower — she has sucessfully repaid two previous loans with HSPFI.  I’m also glad she is taking the initiative to set up a central location for selling her food instead of spending the majority of her day traveling.

Loan #82

Jocelyn Nomocatcat (Philippines) - Jocelyn owns and operates her own general store. The revenue generated from her store helps to supplement her husband’s farming income.  She also has to pay school fees for her three children.  Jocelyn’s loan is also administred by HSPFI.   She will use the loan proceeds to purchase more inventory for her store.  Jocelyn plans to repay her loan over the course of five months, so the short repayment was the main reason why I chose to fund this loan.

Loan #83

Mastura Karimova (Tajikistan) – Mastura is a cottonseed oil distributor.  She purchases the oil wholesale from a local factory and sells it to retail food stores.  Cottonseed oil is widely used in Tajik cooking, so demand for the product is always high.  Any product that is a consumer staple to the local area is always safe bet.  In addition, this was a one-month bridge loan that enabled Mastura to make a wholesale purchase of cottonseed oil.  As of this writing, Mastura has already repaid her loan.  You’ve got to love it when your borrowers pay you back in full!

Loan #84

Folashade Adelale (Nigeria) - Folashade owns a retail shop that is both a grocery store and a pharmacy.  She has been in business for ten years, which indicates she has an established clientele.  I am always to look to fund health care loans with repayment periods of one year or less, so Folashade’s loan profile met my criteria.  As with other Kiva loans from Nigeria, this loan will be repaid over an eight-month period.

Loan #85

Debbie Bonite (Philippines) – Debbie runs a small general store in her neighborhood.  She is requesting a loan from PMPC, the local Kiva Field Partner, so that she can buy a supply of coconuts and become a distributor.  I find it wise when small business owners look for new ways to diversify their income stream, which is why I decided to support Debbie’s loan.  Since PMPC is a local cooperative, clients of the institution are also members.  Debbie became a PMPC client through her mother, who was a long-time member.  Shortly before she passed away after a long illness, Debbie’s mother transferred her PMPC membership to her daughter.  Since then, Debbie has been taking advantage of all of PMPC’s services.

Loan #86

Sabina Simons (Ghana) – Sabina sells handmade soaps.  I decided to fund Sabina’s loan because soap is a consumer staple that is always in demand.  Sabina will use her loan to purchase materials used in making soap.  With the increased profit she anticipates from her sales, she hopes to expand her business.  This is the first loan I have made that is administered by Christian Rural Aid Network (CRAN).

Loan #87

Diana Luka (Sudan) – This is my first loan from the Sudan.  At first I was apprehensive about making a loan to the Sudan because of the news attention regarding the conflict in Darfur.  However, the local Field Partner — BRAC,  is a highly regarded organization doing wonderful work around the world.  (Read about their operations in the Sudan here.)  They are making great strides in helping war refugees that are returning to South Sudan and reestablishing their communities.  Diana sells onions, rice and beans.  (Consumer staples are becoming a recurring theme for this post!)  She will use her loan to expand her business by buying more inventory.

Loan #88

Nana Kamara (Sierra Leone) – Another first….this time my first loan from the West African nation of Sierra Leone.  Nana operates her own retail business in which she sells clothing, shoes, fabric, and jewelry.  She already repaid back one previous loan, so she has proven herself to be a reliable borrower.  The proceeds from her loan will be used to increase her stock of goods for resale.

Loan #89

John Kintu Were (Uganda) - This health care loan was too good to take a pass.  John is a medical officer at a local hospital and he also manages a medical and eye clinic.  He is requesting a loan to purchase medicine and equipment that will be used in the clinic.  This is my second loan with BRAC Uganda; the first one was fully repaid early their year.  Read about BRAC’s work in Uganda, particularly in the area of public health.  Supporting loans like this one, I feel like I’m helping an entire community, not just an individual business person.

Loan #90

Nguyen Thi Tam (Vietnam) – Mrs. Nguyen Thi Tam runs a refreshment shop and Internet cafe.  She is an established client of TYM, the local Kiva Field Partner, having first joined back in 2000.  Mrs. Nguyen is requesting a loan to purchase additional computers and increase her stockpile of bottled water for resale.  It had been awhile since I found a technology loan to fund, so Mrs. Nguyen’s loan appeared at an opportune time.

Check out my Twitter profile to see who I’m following and subscribe to my “tweets”.

Source: http://news.bbc.co.uk/2/hi/asia-pacific/8008512.stm

Eurasianet.org reported that remittances to Tajikistan dropped by about a third for the first quarter of 2009.  To make matters worse, the remittances that are coming in are worth less since the Russian ruble has lost 35 percent of its value over the last six months.  An article from the BBC notes that many Tajik families with loved ones working abroad in either Russia or Kazakhstan have not received any remittances since December.  The shortage of jobs that have resulted from the current global economic crisis is forcing many migrant workers from Tajikistan to return home.

How does this affect my lending strategy?  For the moment, I will take a “wait and see” approach.  I recently made another short-term loan to a Tajik shish kabob vendor, and all of my borrowers have proven themselves to be reliable with their repayments thus far.  I will probably hold off of making any new loans at the moment and see how my current loans from Tajikistan fare in the next repayment cycle.  At that point, I will decide whether to curtail any future loans to the region.

TLM is the first Kiva Field Partner to offer a “cashless” loan to its borrowers.  Borrowers who participate in the TLM cattle fattening program receive an actual cow.  As a Kiva lender, I provide capital to TLM towards the initial purchase of the cattle.  Over a twelve month period, borrowers are responsible for the care and maintenance of the animal in hopes of selling it at market for a huge profit.  Once the animal is sold, borrowers reimburse TLM the original cost of the animal plus interest.  TLM also provides appropriate training to ensure that the cattle are raised properly.  The Stanford Social Innovation Review notes that TLM provides participants with guidance in the “best practices in cattle husbandry and offers them support services, such as vaccinations”.  In addition to the cattle fattening program, the SSI article notes that TLM also provides seaweed farmers valuable training in cultivation techniques and business management.  Kiva Fellow Kieran Ball also provides some additional information and a video about TLM’s operations.

As I’ve stated in previous blog entries, I’m not crazy about group loans or end-of-term loans.  However, the unique approach utilized by TLM for helping the poor help themselves took a back seat to my personal dislikes.  I participated in a loan to purchase cattle for the Tunas Baru B Group.  I wish these farmers the best of success in this year-long endeavor!

The Tunas Baru B Group – Recipients of a Brand New Cow

I recently made two Kiva loans with Esperanza, one in the Dominican Republic and the other in Haiti.  Esperanza (meaning “hope” in Spanish), by coincidence, is now affiliated the larger Christian microfinance organization Hope International.  Now that I am aware of Dave Valle’s inspiring story, I look forward to funding more loans with Esperanza International.

The World Vision Report interviewed Dave Valle a few months back.  You can listen to it here.  In that interview, Valle tells the story of Milan Tapia — a seamstress who received a microloan from Esperanza.  After Milan used her loan to establish a successful tailoring business, she adopted a young boy who was abandoned by his parents.  She discovered the boy was illiterate and proceeded to teach him how to read and write.  Word spread of Milan’s natural teaching abilities, that soon after, other parents were sending their children to Milan so that she could teach them.  Milan now runs her own school in a two-story building that can accommodate over 500 students.  Esperanza, along with a partnership with Microsoft, has helped to provide resources to equip Milan’s school.  (Pictures from Milan’s school are at the end of this post.)

Reader’s Digest and the Seattle Times also ran pieces about Dave Valle’s work with Esperanza.  Both are great reads.

Dave Valle visits with students in the Dominican Republic

Milan Tapia, a client of Esperanza International and former seamstress, operates a school that educates over 500 children