www.LifeInAfrica.com:
www.LifeInAfrica.com The Concept:
Promote microfinance in Africa through increased understanding of the context
Connect donors & beneficiaries in ways only possible through the internet
Generate revenue to sustain program operations through a professional, high traffic web presence
The Medium:
400+ pages of human interest & cultural entertainment presented through the lens of microfinance
3 Email Publications generating repeat traffic and supporter loyalty
Online donor report providing donors with a way to monitor the impact of funds
The Pilot Phase Results (site launched in February 2000):
1,750+ weekly visitors (87% Europe/N. America)
1,800+ email subscribers
$18,000+ raised to support operations & micro-lending activities
LiA Loan Guarantee Program:
LiA Loan Guarantee Program Objectives:
Provide self-help opportunities to underserved segments of the population
Support innovative microfinance
Maximize the impact of limited funds
Methodology:
Loan guarantee agreement with an established microfinance institution
Clients assessed and guaranteed as individuals, not groups
Unconventional target sectors, with a bias toward value added and long-term investments.
Impact (Pilot Phase):
200 clients; 350 loans
$50,000+ in loan funds disbursed on $7,000 in guarantee funds
88% recovery and many lessons learned (2001 recovery at 97%)
Life in Africa Volunteers:
Life in Africa Volunteers Who they are
Carefully selected team with complimentary strengths & skill levels
Young Ugandan graduates seeking work experience
Expatriates seeking in-depth cultural experience
What they give
Min. 20 hours per week; min. 6 month commitment
Participation in borrower screening and review
Exchange of computer and administrative skills/knowledge in a team setting
What they receive
Structured training in microfinance
On the job and structured training in website design and promotion
Computer/internet literacy training
Pilot Phase Assessment:
Pilot Phase Assessment Strengths
Highly innovative presentation of African content
Measurable human impact achieved with limited resources
Marketable skills and experience gained by volunteers
Weaknesses
Anticipated returns on website traffic not realized due to changes in the Internet economy
Dependency on contributed funds limits Loan Guarantee Program growth
Unstable human resource base
The Future of LiA:
The Future of LiA Opportunities
Expanded e-commerce initiative providing LiA borrowers and other small-scale African artisans with access to e-commerce facilities.
Creation of permanent staff positions from increased revenues.
Replication of loan guarantee program in other African countries, with sale of locally produced artisan products as an integral start-up component.
Threats
Local infrastructure instability may limit online growth.
Risk that artisans rely on Internet success for loan repayment.
Continued instability of human resources if financing for paid staff not obtained.