Sum of my experience with PHPG in Granada by Lana Balyk

It is hard to believe that I already find myself back in Canada, since it seems like just last month I wrote my last blog entry while preparing to depart for Nicaragua. Five months have passed since then, during which time PHPG has continued to move forward with strengthening its micro-loan programs, and also has seen the arrival of new and talented interns and employees.

The first part of my time in Granada was mainly spent getting to know the program, which was transitioning in a new direction with new ideas and new staff, as well as getting to know the city of Granada itself. The Granada based employees are great staff, and PHPG lucked out finding such great workers who really believe in their organization. If I did not already have an idea about the difficulty of getting set up in a new city and getting work underway during a holiday period in Nicaragua (most of the month of December), I would have learned that very quickly! However that is a very special time to experience Granada, which still holds to the tradition of everyone lighting off their own fireworks intermittently throughout the month, and of course all together at once for hours on Christmas and New Years in a midnight symphony of exciting and slightly dangerous mayhem! I always enjoy a warm Christmas, and the temperature is great in Granada at this time of year.

Juan Carlos, Lana, & Kyle conducting a PHPG informational meeting

Into the New Year another intern arrived, Kyle, and we set out gathering information and making observations about PHPG’s clients and current loan program, as well as planning and delivering a workshop to educate clients on our loan procedures, and prepare them for when Alex and Isabel would arrive in February to organize more loans. During this time the heat continued to climb, and working outdoors in our communities gave me a new appreciation of how people are able to spend all day working outdoors in tropical countries. If Canada had that kind of heat, I think the ongoing highway construction and maintenance that goes on every summer would come to a halt!

Once Alex and Isabel arrived then all of us coordinated, shared ideas, made adjustments and moved forward with preparing PHPG’s clients for the next installments of loans. It was especially great to see our Granada employees have a strong role with the planning as well, as I really feel that they know their communities and their cultural contexts best. The interviews were one of the most interesting parts of my time in Granada, and it was so interesting to see the different businesses our clients have, and what they wanted to do with them. Some of the clients we normally visit are ambulatory vendors who do not necessarily sell their wares or products from their home or have them on hand to view, so the interviews were a great chance to see some different businesses in action, such as people producing leather shoes from scratch, or creating silver jewelry. Once the first loans were dispersed, it was interesting to see what clients used them for, how they modified their businesses, or how one even built a clothing shop in front of her home to display her wares. Unfortunately I returned to Canada before the next round of loans was handed out, so I was unable to take part in that work, but I am glad to hear that it went just as well.

The PHPG team reviewing & signing disbursement documentation

I am very glad that I was still in Nicaragua to be part of the interview and initial loan disbursement process, since that was one of the highlights of my job in Granada. The communities that PHPG work with are very lacking in resources, including regular electricity or in-home running water. However most of the clients I spoke with seem happy with their lives, and feel positive about their children’s prospects. It was really great to see how some people worked really hard to grow their businesses, and how proud they are of their efforts.

My experience in Nicaragua with PHPG was very valuable to me in that it allowed me to learn more about micro-finance in general, as well as gain practical experience about the workings of a small micro-finance NGO. In addition I was able to meet some wonderful people, gain some different perspectives and contribute to an organization that continues to grow and develop.

New loans, improved businesses, and more help in Nicaragua

Kyle and the PHPG team just finished distributing to six new loan groups in Granada (28 individuals in total) for a total of 117,000 Cordobas or around $5,000. The average loan was roughly $175. For folks living on close to $2 per day, these loans are quite significant. As we’ve mentioned in previous posts, PHPG assists these families by providing them enough working capital to increase confidence and financial transparency to a point where that they can focus on medium to long term goals of taking their business to the next level. It was great to see a handful of repeat borrowers this time around. The individuals that successfully completed a prior loan with PHPG have access to more credit and enjoy a faster turnaround time to receiving their loan.

One repeat borrower stood out. Her name is Gema Lisseth and she received her second loan with PHPG for 5,000 Cordobas. When the PHPG team arrived at her house to check on her inventory purchases before distributing the second half of the loan (she sells new and used clothing), we were blown away by her brand new store-front constructed in front of her home. She mentioned in her interview that she wanted to create a little “tiendita” but we weren’t expecting such a quick turnaround. Gema had been selling clothing from a cart that she takes around the neighborhood, but with another loan and more confidence she decided to sell some out of her home too. We could tell how proud she was to show us her new shelves and clothing rack.  Kyle looks forward to stopping by her house each Friday for payment collection.

Gema Liseth & Isela in front of their new storefront

Next week PHPG will be distributing a new round of loans to repeat borrowers on Las Isletas in Lake Nicaragua. A total of 112,000 Cordobas will be distributed across 26 individuals that qualified. The majority of borrowers in Las Isletas are Pescadores (fishermen) requesting loans to fix their boats, purchase new nets, and buy salt for preservation. Many of the fishermen aspire to save enough money to buy their own boat in the future. For now, most loan participants rent their boats and pay the owner in fish after the day’s catch.

PHPG team disbursing new loans

Kyle is keeping busy with all of this, but luckily he will have a few new volunteers joining him over the next month. A few university students are coming down in May for summer internship positions and Kyle is excited to put them to work. There are a lot more improvements to be made and it will be nice to have a fresh set of eager eyes on the project.

Intern #5...!

Hello! 

I’m Alex Bergonia and I will also be working as an intern for PHPG this summer in Granada! I am currently finishing up the last few weeks of my junior year at Claremont McKenna College where I am studying government and economics with a concentration in international development. I am originally from Kenilworth, Illinois and went to high school at Phillips Exeter Academy in New Hampshire. Since high school, I have had the opportunity to embark on numerous adventures abroad, and have come to know many diverse cultures around the world. I have traveled around Europe extensively and have also been to China. I have spent six-weeks living and working in the Salta region of Argentina and have visited Brazil, Mexico, and several Caribbean Islands; however, I have never visited Central America.

While I have been interested in international development since I began college, my desire to work in microfinance was cemented over the past year. I spent a total of six months abroad – four in Cape Town, South Africa where I was also able to visit Zambia, Botswana and Zimbabwe. While there, I conducted an independent study that sought to uncover the reasons why the post-apartheid government’s system of affirmative action, Black Economic Empowerment, has failed to empower the majority of disadvantaged South Africans. I discovered that BEE was based on corruption, favoritism and political patronage, and had only succeeded in empowering crony capitalists and creating a wealthy black elite. There is enormous entrepreneurial potential prevalent in South Africa’s townships and cities. The absence of successful government systems of wealth redistribution necessitates the involvement of outside actors to fill the void. This is where microfinance comes in. My studies and experience in South Africa cemented by belief that a small amount of capital invested in individual business ventures is the most effective way to combat poverty. After my experience in South Africa, I knew that I wanted to learn more about the grassroots implementation of microfinance, and how foreign aid and charity can be sustainably invested and maximized abroad.

I am so excited to have the opportunity to study microfinance this summer with such a young and vibrant organization. I can’t wait to meet my new co-workers and the people of Granada, improve my Spanish and come to know a new part of the world.

I’m counting down the days and can’t wait for this summer!!

See you soon!

Alex

And the third intern is...

Hello all!

My name is Corie White and I will be interning with People Helping People Global this summer for 3 months. I’ll be arriving just after my graduation from the University of Oklahoma (Boomer Sooner!) this May, and leaving in mid-August to begin my legal education at the University Of Oklahoma College Of Law, where I will pursue a joint degree of  Juris Doctor and Masters of International and Area Studies.

My undergraduate degree is in International and Area Studies with a minor in Spanish. My focuses have been Latin America, international development, and trafficking, specifically human and organs trafficking. As a junior, I spent 6 months living, studying, and teaching English in Vina del Mar, Chile. While there, I traveled extensively throughout Chile and Peru, with my highlight being hiking the Inca Trail. I have also traveled throughout much of Central America and the Caribbean.

I have a craving for travel and adventure that can rarely be satisfied, so I am thrilled to be heading to Nicaragua this summer- particularly since I will be buckling down for law school in the fall. I am a huge fan of Mohammed Yunus and the micro-loan model and am excited to see it in action first hand.

I am looking forward to the summer of a lifetime!

Best,

Corie 

A New Intern Joins the Team

Hello PHPG enthusiasts!

As one of People Helping People Global’s newest interns, I will be living in Nicaragua from mid-May through August 2012. And I couldn’t be more excited! The more I learn about PHPG, the more I feel as though my values align with those of the organization, and the more passionate I become about helping this amazing cause.

As an undergraduate student at Skidmore College, I am dedicated to the study of Anthropology and Latin American Studies, both in the classroom and in my extracurricular activities. While building an academic foundation in fields that will aid me in my pursuit of international community development, I have found external outlets to apply all that I have learned from my professors, and to gain field experience. In an effort to improve the lives of my neighbors, I am currently administering needs-assessment surveys to the residents of local mobile home communities so that the Saratoga County Economic Opportunity Council can improve and broaden their services. I am also volunteering at a medium security correctional facility as a workshop leader to open up dialogue among inmates on issues such as employment, stress management, conflict resolution, and family reintegration. These opportunities have awarded me the chance to work with unrepresented and undervalued populations living right next door, and soon (although not soon enough), I’ll learn how to do the same in Nicaragua.

While my micro-lending internship with PHPG in Nicaragua will be a new and exciting experience, I am no stranger to the non-profit sector. From my collaboration with many different NGOs while living in Mexico, Peru, Ghana, and the United States, I have learned a good bit about how different organizations function. And People Helping People Global already strikes me as one of the most organized, well-intentioned, and efficient NGOs that I have encountered thus far. Their dedication to promoting sustainability, empowerment, and cultural pride is refreshing and inspiring. I can’t wait to meet everyone and to be a part of this incredible mission.

Thank you for this wonderful opportunity, and I look forward to helping others to make a difference in their lives through People Helping People Global.

Take care,

Phoebe

Stories from the field: Jaquelina, the Queen of Cashews

Jaquelina Silva is a loan recipient of People Helping People Global. Jaquelina and her family of seven work in the cashew business. Each week they buy sacks of raw cashews to clean, prepare and sell. They are quite happy, because unlike most jobs in Nicaragua their earnings are reliable. A buyer from Costa Rica comes each Sunday to take away however many sacks of prepared cashews they were able to process and bag for that week.

Jaquelina took out a loan from PHPG in October of 2010 to improve her cashew business. One year later not only had she fully repaid her loan, but she had improved her business immensely. With more earned income, she now hires two of her neighbors to help her family with the labor-intensive cashew production. Jaquelina commented, "With more hands to shuck, clean, and toast the cashews, we are able to produce more cleaned cashews at a quicker rate."

On top of adding employees to her family cashew business, Jaquelina has also begun to replace her flimsy scrap metal walls with concrete. "It is a work in progress," she says, "as we continue to make more money from the cashew sales we will continue to improve our home."

PHPG is proud to work with amazing people like Jaquelina. She is both a strong business woman and an amazing role model for the entire community. Not only is she improving the lives of those in her family. She's employing others in her community and helping them improve their lives as well.

Stories From The Field: Living by the Land

Future loan recipient, Apolinar, and her two sons

With all the hustle and bustle of the holiday season, it is easy to forget how wonderful simplicity can be. Meet Apolinar Sanchez and her two sons, Cristobal and Mario. For the Sanchez family, their livelihood depends on agriculture. All year round, year after year, the Sanchez clan plants, tends, and harvests crops in their family fields. They produce the staple crops of Nicaragua, such as beans and corn.

Behind them in this photo, you can see a pile of dried corn. Their task of the day is to manually husk and shuck six bags before sun down. This task may seem tedious to some but to the Sanchez family it is a job they take pride in, and they really enjoy doing it together.

Apolinar's family lives in a community called Piedras Coloradas. The center of their community has an elementary school and a church, but not a single market or stores. A stream runs behind the Sanchez home. This is their only source of water -- for drinking, for cooking, and for bathing. A bed with no mattress stands in the corner of their home. I did not ask where all seven of the family members sleep.

As I quickly tried to take all of this in, Apolinar's two grandchildren came running home from school and jumped onto her lap. A smile stretching from ear to ear appeared on her face, and she told me (in Spanish), "This land has been in my family for decades. Although we do not have much, we have our harvest and each other. What else could I ask for?"

Apolinar Sanchez is part of our first expansion group in Piedras Coloradas, Nicaragua (about 2 hours by bus from the nearest city, Matagalpa). Her lending group will begin receiving loans in March 2012. If you would like to help fund loans for this community, please visit our donation page and indicate in the special instructions "Donation to Piedras Coloradas."

"Local 'People' Helping Foreigners in Need"

Exciting news, everyone. People Helping People Global just got an article published in the Henrico Citizen. The article, entitled "Local 'People' Helping Foreigners in Need," was published in the Henrico, VA newspaper's August 19-September 1 edition. It outlines the general work and origin of the organization, in addition to focusing on the benefits of the new website and its ability to connect our donors with our loan recipients. The article may be posted in the online edition sometime in the next few days, but for now, I have scanned the print version and added it to our website. You can access the article here. Thank you all for your continued support, and just remember that you can help us get more articles like this one just by spreading the word about our organization.

Take care for now,

Alex

Micro-Lending Group Fights Poverty by Connecting Donors with Entrepreneurs Thousands of Miles Apart

Hey guys,

Below is a press release describing our new website features. Please let your friends know, and if you have any connections to media outlets, please forward them the information. Thanks much, and take care.

Alex

Micro-Lending Group Fights Poverty by Connecting Donors with Entrepreneurs Thousands of Miles Apart

Fairfax, VT, Tuesday, August 10, 2010 – People Helping People Global (PHPG) , a Vermont-based nonprofit, has just introduced a new website that will attempt to revolutionize philanthropy as we know it. This new website allows donors from all over the world to donate directly to entrepreneurs in Central America. “Instead of writing a check to a big nonprofit and hoping that your donor dollars make their way to the right place, we’ve set up a system that allows you to choose exactly where your hard-earned money is going,” said Alex Tuck, co-Founder and Executive Director of PHPG.

Informational meeting in Avelardo Enrique

The system is pretty simple.

A member of PHPG investigates which neighborhoods have the highest incidence of poverty while also having a high potential for success. “We like to work in neighborhoods where other nonprofits are also helping out. If education and infrastructure are being addressed by other organizations, then there’s less to distract us from business start-ups and job creation,” says Tuck.

PHPG then has meetings to inform the community about the micro-lending program and passes out applications to those who are interested.

All applications are reviewed, and each person that requests a loan is interviewed. The purpose of the interview is to meet the family, learn about their living situation, current income, educational background, and borrowing history. If the potential loan recipient falls under the lending guidelines of the organization, then he or she is added to the new website.

On the new website, donors may view pictures of the potential loan recipients and read their stories. If the donor would like to contribute to a particular entrepreneur, all he or she has to do is select the desired dollar amount and click donate. The system works just like any retail website. The donor just goes to his or her cart and checks out. After confirming the order, the donor is taken to the PayPal website where the donation is processed.

After PHPG receives the full donation amount, the organization disburses the money to the loan recipient. The loan recipient then pays back monthly payments on the loan over the agreed upon period. After the loan is repaid, the funds are used to facilitate new loans to other members of the community.

PHPG believes that they have a system that sets it apart from the organizations that currently exist in the micro-lending world. “Micro-lending started as a way for impoverished individuals to raise themselves out of poverty. Now, a lot of companies look at it as an easy way to make money. Unfortunately, it’s at the expense of the ultra-poor. Our goal at People Helping People Global is to put the philanthropy back into micro-finance,” said Tuck.

Another differentiating factor for PHPG is its size and intimacy. Isabel Gamm, co-Founder and Program Manager of PHPG, tells of her experience, “Community members trust our organization, because we interact with them regularly. In a community where we work, named Avelardo Enrique, we have meetings under the mango tree. During these meetings, we connect on a personal level. We talk about success stories and how to combat problems. We grumble over the heat. We discuss bookkeeping methods, where to buy the best nacatamales, and laugh as the falling mangos whiz by our faces. Our meetings are formal yet fun. That is what separates our organization other micro-lending groups.”

One of the biggest differences that PHPG has with other micro-lending groups is that it doesn’t charge interest. “We charge absolutely no interest on our loans, because we strongly believe that micro-loans requiring borrowers to pay high rates of interest often leave the borrower in more debt than when they began. Our goal is to raise communities out of poverty, not perpetuate the vicious cycle,” said Gamm.

The new website may be found at http://www.peoplehelpingpeopleglobal.org. There readers may learn more about the organization, try out the new donation system, and access the organization’s social media outlets.

About People Helping People Global

People Helping People Global is a project of Building New Hope, a registered 501(c)3 non-profit organization. It partners with locals in impoverished regions of the world to develop sustainable economic initiatives. It currently focuses on providing zero percent interest micro-loans to individuals living on less than two dollars per day.

Contact:

Alex Tuck

Executive Director

People Helping People Global

(804) 859-5597

alex@peoplehelpingpeopleglobal.org

www.peoplehelpingpeopleglobal.org

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