WaterCredit: WaterPartners International launches micro-lending scheme

WaterPartners International, a US-based NGO, will use a US$ 1 million (EUR 795,000) donation from the Peninsula Community Foundation (PCF) to launch WaterCredit, a new innovative programme that blends grants and credit for water projects in developing countries. WaterPartners will use market segmentation to identify the poorest communities, who will continue to receive grants to cover 100 per cent of the cost of a water project. Other communities who are able to pay for all or part of the expenses themselves over time will receive loans, while communities that fall in between will be offered a combination of grants and loans. "Our approach embodies the characteristics of the emerging social entrepreneurship trend in nonprofits where the goal is to get more bang for your buck by creating a lasting social solution", said Gary White, executive director of WaterPartners. WaterPartners developed the WaterCredit initiative in collaboration with the Agora Foundation and the Michael and Susan Dell Foundation which together provided nearly US$ 225,000 (EUR 179,000) in grants earlier in 2004 to help pilot the micro-lending concept.

Publications on microcredit in IRCDOC

Websites: WaterPartners International – WaterCredit ; International Year of Microcredit 2005; Microfinance Gateway

Contact: WaterPartners International, USA, info@water.org, http://www.water.org

Source: PCF, 11 Oct 2004