The Pitch: Sammy and I received a note from a village that they were interested in "micro credit," specifically requesting funds for a storage building and bushels of groundnuts for planting. We immediately hiked along an inland valley swamp farm and met with the village, interested in hearing what they had to say. As in most requests, they wanted a small fortune to pay for a storage shelter and huge amounts of seed (30 bushels @ $40US per) for their project.
The Response: We said no. Dumping huge amounts of money on anyone is unsustainable, impractical and counter-productive.
An Alternative: We noticed a storage building in the village, made of sticks, mud bricks and thatch roof. We asked "who made this?" They responded proudly "we did." We made them a deal, on the spot. If they would build another storage building using locally available materials, we would deliver five bushels of groundnuts (5x$40 US), and provide technical assistance. Each bushel yields five after harvest, so the initial five would become 25. The 25 bushels would be stored in their new "facility" and replanted in the next season. The 25 would become 125 bushels, giving them the capability to pay back the loan with interest.
Total Investment: $200 US (out of my pocket)
The Progress: to date (May 08) the storage building has been completed, the seed has been delivered, and planting is proceeding.
An Alternative: We noticed a storage building in the village, made of sticks, mud bricks and thatch roof. We asked "who made this?" They responded proudly "we did." We made them a deal, on the spot. If they would build another storage building using locally available materials, we would deliver five bushels of groundnuts (5x$40 US), and provide technical assistance. Each bushel yields five after harvest, so the initial five would become 25. The 25 bushels would be stored in their new "facility" and replanted in the next season. The 25 would become 125 bushels, giving them the capability to pay back the loan with interest.
Total Investment: $200 US (out of my pocket)
The Progress: to date (May 08) the storage building has been completed, the seed has been delivered, and planting is proceeding.
