With no collateral, credit history or access to formal financial institutions, the majority of families living in poverty are “unbanked” and unlikely to qualify for traditional baking services. This means that no matter how hard they work, it is almost impossible for families in developing communities to build a brighter future free from poverty.
However, thanks to you, families are receiving a hand up in Cambodia. By providing access to micro-loans, families can receive much needed funds to repair their homes.
This includes Sreymom’s family. Earning a limited income as cow farmers Sreymom and her husband Narith were unable to put aside savings to rebuild their home. Their income always had to go immediate needs such as food, water and providing for their children.
A microloan has meant the family have been able to build a safe and secure home with Habitat for Humanity with access to water and electricity and the ability to be expanded in future.
“The new house will give more security and space than the old house,” Sreymom says. “We can keep the cows below and have a large open area.” She also plans to set up a business of selling meat and drinks in a shop they will build where the old house is located. Each month, Sreymom and her husband pay off a small, affordable loan suitable for their circumstances and income earning ability.
Microfinance programs like this not only allows families to access housing, but plays a key role in empowering families to have a say in their future. It paves the way toward financial independence.
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