25 Feb 2015

Pacific finance firm prefers to loan to women

8:55 pm on 25 February 2015

The head of a microfinance organisation in the region says investing in women has produced better results than loaning money to men.

Ajay Verma of the South Pacific Business Development, or SPBD says they believe empowering women has been one of the most effective ways to eradicate poverty.

bills calculator and money

Photo: PHOTO NZ

The SPBD network works in Fiji, Samoa and Solomon Islands and gives small loans to women in rural villages to help them grow and maintain small sustainable businesses.

Mr Verma says ninety percent of microfinance loans are given to women because they have proven to handle finances more responsibly.

When you give a livelihood opportunity to the woman of the house, she usually would take better care of the family. She would reinvest the surplus that is generated from the business. In the good of the family she would want to improve her house. You know women tend to handle the household budgets much better.