How we Started
In 1984, founder John Hatch saw that lack of capital was keeping poor Bolivian farmers poor. Traditional loans were too large and too expensive, and without collateral, the farmers couldn’t borrow.
So he came up with an idea; if the farmers formed groups to share a loan and guarantee repayment, they could access the funds they needed to invest in their farming operations. It was the dawn of what we know today as microfinance.
The idea proved versatile and revolutionary.
In urban and rural areas, and in economies as diverse as Guatemala City and Kitunda, Tanzania, Village Banks allowed those with scarce resources to borrow, invest and grow their businesses. They also allowed women—who were routinely denied credit—to build enterprises that kept food on their tables and their children in school.
Remaining true to its original idea, FINCA has become a global network of secure, sustainable microfinance institutions and banks that help low-income families create jobs, build assets and improve their standard of living.
FINCA Impact Finance’s network of 20 community-based microfinance institutions and banks offers responsible and impactful financial services to low-income clients. With 30 years of experience and a mostly local staff of over 10,000, FINCA Impact Finance delivers a double bottom line of social impact and financial sustainability.
With its Headquarters in Washington, DC and 20 subsidiaries in Africa, Eurasia, Latin America and Caribbean, and the Middle East and South Asia and working in some of the most challenging markets in the world, FINCA Impact Finance’s geographic reach is among the widest of the leading responsible finance networks.
The majority owner of the FINCA Impact Finance network is FINCA International, a not-for-profit organization. FINCA International is joined by socially minded minority shareholders.