Micro-Enterprise Development
As an integral component of World Vision's aim to reduce community poverty, micro-enterprise development (MED) gives individuals and communities the economic strength to become sustainable, reducing poverty throughout the community.
Rather than providing gifts and grants, micro-enterprise development works through managed funds.
The funds are provided initially by World Vision but are soon owned and managed by the community themselves. They enable loans for community members to start their own small businesses.
The loans accrue a low rate of interest and any profits from the funds are fed directly back into further small business initiatives within the same community.
The resulting increase in small businesses, which may include livestock rearing, manufacturing of pots or handcrafts, opening a shop or food stall, or many other initiatives meeting community needs, has many advantages:
* Employment increases – as the business expands, the owner can provide jobs for others in the community.
* Family income increases – families can afford to provide schooling and medical care for their children without outside intervention.
* Empowerment – especially for women and children MED brings new opportunities for decision-making, education and community positioning.
World Vision often introduces MED into communities where sponsorship exists, so that families can start to become self-sufficient.
MED has also proven to be very successful in improving the lives of disadvantaged groups, such as people suffering from HIV/AIDS or tuberculosis, or those recovering from disaster or displacement. |
