El Buen Socio
Approved to post Kiva loans from: Mexico
Status update - February 20, 2020
Kiva and El Buen Socio have agreed to end their partnership after 6 years and more than $140,000 in loans raised. This partner has repaid its outstanding balance to Kiva in full, and these funds have been distributed to lenders. We thank El Buen Socio for the years of collaboration and wish them success in their future endeavors.
Kiva conducts regular, ongoing monitoring of all Lending Partners, but only posts status updates here in response to relevant, major changes at the partner.
El Buen Socio is an ethical microfinance institution in Mexico that promotes sustainable development by strengthening people’s capabilities and supporting entrepreneurs with sustainable businesses.
The organization issues loans to fund productive projects that have a positive social and environmental impact including farming, forestry, or fishing activities that are done in an eco-friendly way.
A unique lending approach:
El Buen Socio issues loans to fund productive and sustainable projects. An entrepreneur who is unable to obtain a loan through other banking institutions leads each project. El Buen Socio supports entrepreneurs who farm, forest, or fish in an eco-friendly way with sustainable use of natural resources. All loan proposals must have a positive social or environmental impact, and must be profitable.
In addition to loans, El Buen Socio provides financial education training, opportunities to connect with new markets and help with business model planning. With Kiva’s support, El Buen Socio will serve a population not considered by traditional banking due to their socio-economic status.
Kiva and El Buen Socio have agreed to end their partnership after 6 years and more than $140,000 in loans raised. This partner has repaid its outstanding balance to Kiva in full, and these funds have been distributed to lenders. We thank El Buen Socio for the years of collaboration and wish them success in their future endeavors.
Kiva conducts regular, ongoing monitoring of all Lending Partners, but only posts status updates here in response to relevant, major changes at the partner.
El Buen Socio is an ethical microfinance institution in Mexico that promotes sustainable development by strengthening people’s capabilities and supporting entrepreneurs with sustainable businesses.
The organization issues loans to fund productive projects that have a positive social and environmental impact including farming, forestry, or fishing activities that are done in an eco-friendly way.
A unique lending approach:
El Buen Socio issues loans to fund productive and sustainable projects. An entrepreneur who is unable to obtain a loan through other banking institutions leads each project. El Buen Socio supports entrepreneurs who farm, forest, or fish in an eco-friendly way with sustainable use of natural resources. All loan proposals must have a positive social or environmental impact, and must be profitable.
In addition to loans, El Buen Socio provides financial education training, opportunities to connect with new markets and help with business model planning. With Kiva’s support, El Buen Socio will serve a population not considered by traditional banking due to their socio-economic status.
Repayment Performance on Kiva
| This Lending Partner | All Kiva Partners | ||
| Start Date On Kiva | Apr 10, 2014 | Oct 12, 2005 | |
|---|---|---|---|
| Total Loans | $141,175 | $2,047,158,590 | |
| Amount of raised Inactive loans | $0 | $316,050 | |
| Number of raised Inactive loans | 0 | 195 | |
| Amount of Paying Back Loans | $10,200 | $154,633,985 | |
| Number of Paying Back Loans | 4 | 186,497 | |
| Amount of Ended Loans | $130,975 | $1,851,322,375 | |
| Number of Ended Loans | 60 | 2,491,770 | |
| Delinquency Rate | 100.00% | 12.06% | |
| Amount in Arrears | $5,754 | $11,237,205 | |
| Outstanding Portfolio | $0 | $93,174,738 | |
| Number of Loans Delinquent | 4 | 54,140 | |
| Default Rate | 13.74% | 1.82% | |
| Amount of Ended Loans Defaulted | $17,990 | $33,742,848 | |
| Number of Ended Loans Defaulted | 9 | 88,997 | |
| Currency Exchange Loss Rate | 2.36% | 0.47% | |
| Amount of Currency Exchange Loss | $3,334 | $12,726,024 | |
| Refund Rate | 0.00% | 0.53% | |
| Amount of Refunded Loans | $0 | $10,938,345 | |
| Number of Refunded Loans | 0 | 9,670 |
Loan Characteristics On Kiva
| This Lending Partner | All Kiva Partners | ||
| Loans to Women Borrowers | 20.31% | 78.48% | |
|---|---|---|---|
| Average Loan Size | $2,206 | $393 | |
| Average Individual Loan Size | $2,206 | $586 | |
| Average Group Loan Size | $0 | $1,910 | |
| Average number of borrowers per group | 0 | 8.3 | |
| Average GDP per capita (PPP) in local country | $15,600 | $5,593 | |
| Average Loan Size / GDP per capita (PPP) | 14.14% | 7.02% | |
| Average Time to Fund a Loan | 3.91 days | 9.12 days | |
| Average Dollars Raised Per Day Per Loan | $564.55 | $43.09 | |
| Average Loan Term | 10.19 months | 11.5 months |
Journaling Performance on Kiva
| This Lending Partner | All Kiva Partners | ||
| Total Journals | 55 | 1,221,186 | |
|---|---|---|---|
| Journaling Rate | 71.88% | 41.91% | |
| Average Number of Comments Per Journal | 0.00 | 0.02 | |
| Average Number of Recommendations Per Journal | 0.00 | 0.55 |
Borrowing Cost Comparison (based on 2015 data)
| This Lending Partner | Median for MFI's in Country | All Kiva Partners | ||
| Average Cost to Borrower | 20% APR | 74.00% PY | 26.44% PY | |
|---|---|---|---|---|
| Profitability (return on assets) | -4.9% | 1% | -1.32% | |
| Average Loan Size (% of per capita income) | N/A | 4.00% | 0.00% |
Country Fast Facts
- Country:
- Mexico
- Capital:
- Mexico City
- Official Language:
- Spanish 92.7%, other indigenous languages 5.7%
- Population:
- 120,286,655
- Avg Annual Income:
- $15,600
- Labor Force:
- agriculture: 13.4%, industry: 24.1%, services: 61.9%
- Population Below Poverty Line:
- 52.30%
- Literacy Rate:
- 93.50%
- Infant Mortality Rate (per 1000):
- 12.58 deaths
- Life Expectancy:
- 75.43 years