Microfinance and Financial Literacy
A village meeting with loan recipients to explain the program and begin financial literacy training.
Andando strives to solve the root causes of inter-generational cycles of poverty, and one important factor that holds communities back is economic stagnation due to a lack of access to capital. Andando’s microloan program has been helping rural Senegalese entrepreneurs by providing access to targeted $50 - $150 loans for over 15 years. These small, no-interest cash loans are used by the recipients to start small businesses, invest in seasonal agricultural activities such as purchasing inputs or equipment, or otherwise pursue opportunities that wouldn’t be possible without a modest influx of cash.
From humble beginnings Andando now provides over 200 loans each year to farmers and entrepreneurs in Keur Soce and Podor.
Access to capital can be prohibitively expensive in rural areas, with predatory high interest loans often being the only option available. Andando’s small zero-interest loans provide a much needed alternative and are having a positive impact on small entrepreneurs’ profitability and success. The vast majority of these loans are repaid on time in full. Over Andando’s entire history this program has a payback rate of over 98% with a 100% rate for the past two years.
In collaboration with our Agriculture sector, all loan recipients are now also receiving trees to plant in their fields, homes, or around their businesses. Here the mayor of Keur Soce plants a cashew tree in a farmers peanut field.
Along side each loan Andando provides financial literacy trainings to help recipients to improve their overall financial well being while they utilize the funds to help grow their business. Click here for more stories about our microloan program and check out this video from our last gala fundraiser to hear firsthand from our country director and one of our loan recipients about the benefits of this program!