A monetary hand-up now; financial stability for the future.
The Challenge Over half of the Nicaraguan population lives on less than $2 per day, and in extreme cases in rural areas that amount drops to less than $1 per day. In a predominantly agricultural economy, many rural farmers rely on high-interest loans from financial institutions, creating a cycle of debt that is hard to escape.
The Opportunity Amigos for Christ provides low-interest capital and technical assistance to rural farmers in order to maximize profit, increase savings, and eliminate the cycle of debt in rural Nicaragua.
Through our Micro Credit program, Amigos for Christ strives to assist rural farmers who are interested in investing in their own small agricultural businesses. We provide low-interest loans, access to superior materials, and technical assistance over a period of five planting seasons. Throughout the five cycles, the farmers are required to open a savings account and deposit at least 20 percent of their net income from the harvest. In addition, the interest they pay on each loan is returned to them at the end of the five cycles as a “match” to their own savings account. Ultimately, our goal is for each farmer to become financially stable enough to manage their business independent of Amigos or any other organization. With that kind of stability, families can move from merely surviving to thriving.