I’m a big fan of Kiva, the peer-to-peer micro-lending platform, which is marking ten years since its founding. Kiva’s innovation was to bring two major trends together into one – crowd-funding and microfinance. Their website allows ordinary people to chip in towards a small business loan for an entrepreneur in a low income country. Since everyone contributes $25, the risk is well spread, although repayment rates are admirably high.
When the loan is repaid, users can pick another borrower to lend to and send their money out into the field again. In the last decade, Kiva’s 1.4 million lenders have served 1.8 million borrowers, and lent $861 million so far.
If you’re not one of those 1.4 million lenders, why not join me and try it out this week? And if you are, pop across and see their new website.