This April is the Month of Microfinance and here at Opportunity we are delighted to celebrate the power behind it!

Ever since I was little, when watching TV or listening to the radio, I had always been exposed to media campaigns from charities where the call to action was donating money to a cause. As a result, it led me to believe that people were poor because they didn’t have money.

Although a lack of income does play a part in poverty, I have come to understand that it is not solely a matter of money. Poverty is a multidimensional issue which affects an individual’s health, education and access to technology.

At Opportunity, we believe in microfinance as a transformative tool in addressing the multifaceted nature of poverty. Microfinance involves the use of small loans, savings, insurance, pensions and financial literacy training to empower families to start businesses and earn regular incomes. When teamed with community development projects like health education and innovations in technology – people living in poverty have the best chance of making their businesses successful and breaking the poverty cycle for good.

Zuni, a mother from Indonesia is a wonderful example of a life that has been changed through the power of a small loan.

Before receiving a loan, Zuni was determined to provide an education for her three daughters as she wasn’t able to experience the same growing up. A loan of Rp.750,000 (A$76) helped Zuni set up her own dressmaking business, and with the income earned, is able to send her daughters to university.

What is even more amazing is that Zuni's children also help their mum by giving her marketing advice. By marketing her business on Instagram, Zuni's expanded her business and now has 51,000 followers!

Zuni’s story illustrates how a small loan created a ripple effect that would impact the next generation in her children. Big changes like income growth, education and the delivery of innovative technology are the outcomes of sowing a small seed.

All over the world, microfinance is being celebrated because of its incredible ability to help people out of poverty. That’s why microfinance practitioners, students, researchers and communities have come together to support the WhyWeMF campaign. 

I encourage you to do the same by captioning an image or a blurb with #WhyWeMF so that others can also be empowered to make a difference!

 

Anitha is the Supporter Development Intern at Opportunity International Australia.