Wednesday, December 17, 2008

Microfinance and the economic crisis - World Vision reports

For those following the effect of the economic crisis on microfinance, World Vision has reported that microfinance in Eastern Europe is thriving despite the global economic situation:

"Since clients predominantly live in rural, mostly agricultural areas and lack access to markets, they are quite insulated from global and even national economic trends."

However that doesn't mean that an effect is not still coming:

"Still, the economic crisis may yet affect World Vision MFIs and their clients. As local economies slump and unemployment and inflation rise, MFI clients will face reduced demand or at least a decline in real income."

Read the full article here.

Kiva has one Field Partner who is a partner of World Vision International, Vision Finance Company in Rwanda.

Kiva has four active Field Partners in Eastern Europe: Microinvest in Moldova, Zene za Zene in Bosnia and Herzegovina, Mikrofond EAD in Bulgaria, and HOPE Ukraine/Nadiya in Ukraine.