By | Kiva
More than 50% of all unbanked people in the world are women, with little or no access to financial services. Despite evidence suggesting that women are more likely to use their income to provide long-term benefits to their families and communities, still an overwhelming number lack the economic capacity to do so.
That is why, since its inception, providing capital to women has been one of Kiva’s main impact objectives. Through its partners, Kiva has channeled more than $1.6 billion in loans to nearly 5.3 million people worldwide, with 80% of all its loans benefiting women borrowers.
Now, Kiva has set an ambitious goal of reaching 4 million women by 2028. This objective not only seeks to double Kiva’s historical outreach in less than half the time, but also aims to improve the focus on performance measurement to assess the efficiency of lending.
Recent findings from a report by 60 Decibels, a Kiva partner, highlight the positive impact of lending to women. Interviews with more than 30,000 women borrowers, many of whom were clients of microfinance institutions with which Kiva works, revealed significant benefits: 71% experienced an increase in savings, and 89% reported an improvement in quality of life. These women were also more likely than men to invest in home improvements, education, health care, and nutrition, underscoring the transformative power of equitable financial access.
At Kiva, we are aware that not only inclusion, but also the transformation of our financial ecosystem, will be necessary to advance women’s economic empowerment and ultimately promote systemic gender equality. One tool Kiva recently launched to support this is its Gender Equality Assessment Tool (GEAR), developed with USAID. The tool, which Kiva made publicly available for organizations and financial service providers to use, also assists Kiva in assessing how well its partners integrate gender equality into their operations. Kiva plans to implement the use of this rating system across all of its Lending Partners this year, with the aim of identifying areas for improvement, sharing knowledge across the financial inclusion sector, and strengthening support systems for women worldwide.
By focusing on both the provision of capital and the removal of systemic barriers, Kiva actively participates in the broader movement toward gender equality. You can learn more about Kiva’s vision by subscribing to the ‘Investing in Women‘ newsletter on LinkedIn.
