Kiva's New Frontiers | Premal Shah | Talks at Google

TL;DR

Kiva is a non-profit organization that connects lenders to working poor entrepreneurs in developing countries through a crowdfunding platform.

Transcript

Presenter: Hi everyone. Alright, what a crowd, this is awesome. Iím Winnie Lam and itís my pleasure to host our guest, Premal Shah who is the president of Kiva, to Google today. And Gary Briggs is from Google and heís gonna be hosting the fireside chat but I guess weíre kind of missing the fire. I mean, the fireís in them. [Laughter] Presenter:... Read More

Key Insights

• 🔨 Microfinance is a promising tool for poverty alleviation, but it has its limitations and challenges.
• 👾 Mobile finance, such as M-Pesa in Kenya, is a game-changer in reaching the under-served population, reducing costs, and facilitating financial transactions.

Questions & Answers

Q: How does Kiva ensure the loans are used for productive purposes?

Kiva has a network of field partners, such as microfinance institutions and NGOs, that vouch for the borrowers and ensure the loans are used appropriately. Additionally, Kiva provides transparency by allowing lenders to see the borrowers' profiles and track their progress.

Q: What challenges does Kiva face in scaling their operations?

Kiva faces challenges such as reducing costs for reaching rural areas, where the working poor are often located. Additionally, Kiva aims to reach the 2.5 billion people who are currently left out of the formal financial system.

Q: How does Kiva handle fraud and malfeasance?

Kiva acknowledges that fraud is a fact of life and is proactive in addressing it. They vet their field partners and provide transparency by sharing information about any partner that has been closed down due to fraudulent activities.

Summary & Key Takeaways

• Premal Shah is the president of Kiva, a non-profit organization that raises over a million dollars every week to help the working poor in 60 countries.

• Kiva utilizes an online crowdfunding platform, where users can lend as little as $25 to entrepreneurs in need.

• Kiva focuses on providing loans to women in agriculture, as they tend to have higher repayment rates.