May 7 2020 - COVID-19 Update:

Kiva has been in contact with Hekima to understand how we can best support their business and borrowers during the ever-evolving COVID-19 pandemic. We continue to prioritize the safety and well-being of all staff, borrowers and their families as this global pandemic continues.

While country-specific responses to the crisis vary, most governments have imposed curfews, travel restrictions, and nation-wide shutdowns. This has caused many economies and businesses to grind to a halt. Hekima is based in Goma, the largest city in Eastern DRC. DRC is a large country, with its capital Kinshasa in the West, so Eastern Congo is following the provincial government’s orders. Borders are mostly closed (including land borders to Rwanda and Uganda, which significantly affects client businesses). However, Hekima is still operating and following government advice on physical distancing/sanitary precautions. Furthermore, Hekima now offers emergency loans to certain groups which they have started posting to Kiva. 

Hekima customers face the following problems: poor sales, inaccessibility to places of supply, reduction of market activities other than food, pharmaceuticals, and communications. These problems affect repayments and are leading to difficulties in making loan repayments. However, providing access to credit has helped customers increase their working capital and improve their families’ quality of life during this challenging time. Hekima customers would like to thank Hekima and its partners for continuing to come to their aid.

As a result of the obstacles detailed above, borrowers and Hekima may experience difficulty making and collecting loan repayments due to the aforementioned restrictions or fallout effects of the virus. Over the coming months, it’s possible that lenders will see a delay in repayments and new loans posted by Hekima. As an impact-first funder, Kiva is committed to serving our Lending Partners, as in past crises. We are sympathetic to temporary increases in repayment delays and delinquency in order to help Lending Partners and borrower communities recover. 

Kiva is working closely with Hekima to support them and their borrowers through the COVID-19 crisis. Hekima is sending regular updates to Kiva, and we'll update Partner Pages as we learn more. 

On behalf of Kiva and Hekima, we’re grateful for your continued support through this difficult time.

Partner Description:

The mission of Hekima, a partner of World Relief, is to contribute to the transformation of the economic, social, and spiritual lives of the economically active poor of the Democratic Republic of Congo (DRC) as a sustainable, innovative microfinance institution of the highest quality.

Hekima operates in the Kivu regions of Eastern DRC, an area marked by over a decade of war as well as social, economic and institutional collapse. A complex legal and regulatory environment is further complicated by widespread corruption and a market flooded with poor quality microfinance suppliers.

In this region, Hekima aims to serve the economically active poor with quality services, giving special attention to female entrepreneurs.

Founded in 2003 as a program of World Relief Congo, Hekima was established as an independent institution in July 2007; registered as a second tier microfinance institution. In September 2009, Hekima has 42 full time staff members, with lending staff accounting for 64% of total staff. Hekima has branches in Goma, Bukavu and Kavumu.

Hekima’s products are focused on the group lending methodology, which allows for disbursement of loans to clients lacking conventional collateral. The majority of Hekima clients benefit from the community bank product, which allows for small loans over a 16-week term. Successful clients may qualify for graduation into the solidarity group product that provides higher loan amounts and a longer term.

Status Update - November 28, 2012
 
Rebel group activity has caused instability and mass migration in the Goma region of the Democratic Republic of Congo. However, Hekima is still operational and administering loans. Kiva will continue to post and support loans in the region through this partner, but repayment may be impacted by the conflict.