Loans That Change Lives

Today I was out running errands with my daughter and listening to Marketplace on NPR (KERA, my local station). They interviewed Nicholas Kristof about a unique opportunity to participate in the practice of microlending (also known as microfinance) through an organization called Kiva. From the Kiva website:

Kiva lets you connect with and loan money to unique small businesses in the developing world. By choosing a business on Kiva.org, you can "sponsor a business" and help the world's working poor make great strides towards economic independence. Throughout the course of the loan (usually 6-12 months), you can receive email journal updates from the business you've sponsored. As loans are repaid, you get your loan money back.

I was impressed enough by the program (you can read or listen to it here) and by the information on the website that I made my first loans to four different people. You can see my portfolio here.

I don't believe that microcredit alone can save the world, and I don't believe that charitable organizations and government programs are wrong or ineffective. I support anti-poverty organizations financially, and I support government anti-poverty efforts politically. But this is one more potentially powerful tool for empowering people to follow their dreams and gain a greater measure of independence.

If you can part with as little as $25 for a year or so, you can help an entrepreneur in a developing country increase his or her self sufficiency. Given the incredible wealth and opportunities that we have here in the United States and other "first world" countries, doesn't this seem like the right time to check out Kiva.org?

Have a happy July 4th!