Fonkoze Empowering Communities Through Microfinance

Fonkoze is a leading microfinance institution in Haiti, providing financial services to over 60,000 clients.

With a strong focus on community development, Fonkoze has helped to create a network of over 1,000 savings groups, each with 15-25 members.

These groups have enabled women to pool their resources, share knowledge, and support one another in their economic endeavors.

By doing so, Fonkoze has empowered women to take control of their financial lives and make informed decisions about their businesses.

In 1994, a group of 32 grassroots leaders, led by Father Joseph Philippe, a Spiritan Priest and founder of the Peasant Association of Fondwa, drew up the official papers to launch Fonkoze.

They envisioned a Haiti where individuals had a chance at economic democracy, in addition to political democracy.

Their main concern was that the poor in Haiti knew how to organize themselves politically, but not economically.

Without access to banks or financial services, the poor struggled to rebuild their lives and their country.

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In Haiti, commercial banks were inaccessible to the poor due to lack of collateral, small transaction sizes, and limited literacy.

A coffee cooperative, for example, couldn't get enough credit to buy and process coffee harvests for export.

Similarly, a ti machann (woman street vendor) couldn't get a small loan to restock her merchandise and increase the size of her business.

Fonkoze was officially recognised as a foundation under Haitian law in 1995.

Fonkoze's mission is to provide financial and development services to empower Haitians, primarily women, to lift their families out of poverty.

The organization envisions a Haiti where people work together to overcome poverty, with a focus on empowering women to take the lead.

Fonkoze USA secures financial and technical support for its Haitian partners, including the Fonkoze Foundation and Fonkoze Financial Services.

Fonkoze USA educates the American public about its partners' work in Haiti and facilitates technical assistance to help them achieve their goals.

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The organization's mission is to stand with the organized poor of Haiti by providing human, financial, and technical resources.

Fonkoze USA raises awareness of Haiti's needs and works together with its Haitian partners to provide the financial and non-financial tools that Haitians, primarily women, need to lift themselves out of poverty.

Fonkoze is a family of institutions that work together to provide the financial and non-financial services to empower Haitians, primarily women, to lift themselves out of poverty.

Fonkoze USA works to provide microfinance, education, health services, and programs to help people living in rural Haiti, specifically women and their families, to lift themselves out of the lowest levels of poverty in a sustainable way.

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Fonkoze provides access to sustainable financial services, enabling the rural poor to increase incomes, build assets and reduce their vulnerability to external shocks.

The nonprofit offers a program called Chemen Lavi Miyo (CLM or Pathway to a Better Life), which empowers the poorest families in Haiti to lift themselves out of ultra-poverty.

Program participants must achieve several things to graduate, including generating income and building a 9x9 meter home with a latrine.

Through CLM, women (and individuals with disabilities) receive intensive support and coaching throughout an 18-month process.

Total number of active borrowers with access to reliable financial services to improve their livelihoods is a significant indicator of the program's impact.

Fonkoze's community-based network has expanded to 60,000 borrowers organized into 2,000 centers, each with six to ten Solidarity Groups, each with five women.

Fonkoze's grassroots network has been effectively leveraged to deliver programs and services throughout Haiti. This network has been instrumental in reaching remote areas and providing essential services to those in need.

By 1998, Fonkoze had a strong presence with 15 branch offices and 645 member organizations. This rapid expansion was fueled by a network of donors, partners, and clients who shared Fonkoze's mission.

Fonkoze's programs and activities included Solidarity Group micro-credit loans, business development loans, a money transfer service, currency exchange services, a multi-faceted program of savings, training programs abroad for employees, and literacy and business skills training.

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Here are some key statistics on Fonkoze's capabilities:

In 2010, Fonkoze's 22-month, $8.2 million Kore Fanmi program utilized the client network to support earthquake victims and their families. This program reached almost 30,000 beneficiaries, demonstrating Fonkoze's ability to scale its services in response to crisis situations.

Fonkoze has made significant progress in supporting the Haitian economy. With hundreds of thousands of borrowers and savings clients, it's the largest microfinance institution in Haiti.

Fonkoze Financial Services has facilitated over $114 million in international money transfers in 2020, which is 38% of Haiti's Gross Domestic Product. This is a crucial contribution to the country's economy.

To date, Fonkoze Foundation has "graduated" over 9,000 of the most vulnerable families in Haiti out of ultra-poverty.

Fonkoze has made significant progress in Haiti, with over hundreds of thousands of borrowers and savings clients. They've disbursed $32 million in loans in 2020.

Their facilitation of international money transfers is a crucial contribution to the Haitian economy, with $114 million in transfers in 2020. Remittances make up 38% of Haiti's Gross Domestic Product.

Fonkoze Foundation has helped over 9,000 of the most vulnerable families graduate out of ultra-poverty. This is a remarkable achievement that has a lasting impact on these families.

Over 185,000 women have participated in adult education classes, including basic literacy and business skills. These classes are a vital step towards empowering women in Haiti.

Fonkoze's social franchising program has enabled 1500 small entrepreneurs (all women) to sell over-the-counter health products and services to nearly 3 million beneficiaries. This is a testament to the power of women's entrepreneurship in Haiti.

Fonkoze has made a significant impact in the microfinance community by providing access to sustainable financial services, enabling the rural poor to increase incomes and build assets.

This approach has helped reduce their vulnerability to external shocks, making a tangible difference in the lives of many.

Fonkoze has also received recognition for its efforts, with Fonkoze Usa Inc. being awarded for its contributions to the field.

To gauge the effectiveness of a microfinance organization, you can use Form 990s, which provide critical insight into a foundation's historical giving patterns.

Form 990s can show you key information about a foundation's past grantees, average grant amounts, giving frequency, location preferences, and current board members, helping you determine if it's a good match for your organization.

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Fonkoze is Haiti's largest microfinance institution, founded in 1994 by Fr. Joseph Philippe with just three volunteers.

It has since grown to become a major player in the country's financial sector, with over 900 Haitian employees working across its 45 branches.

Fonkoze's mission is to provide financial and non-financial tools to Haiti's rural poor, primarily women, to help them lift their families out of poverty.

The organization's unique approach is centered around its "Staircase Out of Poverty" program, which aims to support women as they progress out of poverty.

Fonkoze offers a range of services, including microfinance, business skills training, education, and health services, to help women achieve economic stability.

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Through its program for the ultra-poor and other initiatives, Fonkoze continues to innovate and adapt to the needs of Haiti's poorest communities.

Fonkoze's founder, Fr. Joseph Philippe, emphasizes the importance of accompanying women as they struggle to make their way out of poverty, rather than simply providing them with loans.