Aynikuy

Summary of Project:

     "Aynikuy", in Quechua means to help each other or to cooperate. Aynikuy is also the name of The Mountain Fund's new micro-finance program in Peru.

Total Funding Goal:

$5,000 USD 

For small loans to at least 20 family businesses in Peru

How You Can Help:

• $50 stocks one business for 3 months
• $100 stocks one business for 6 months
• $200 stocks one business for 1 year

More Information About This Project:

     The typical salary in Peru (if you can get a job) is about $150 per month. Families cannot live on so small an income so many families have started very small businesses as street vendors, small libraries, hardware shops, grocery shops, etc. These entrepreneurs do not have easy access to needed capital to purchase inventory, or to expand and improve their businesses. Banks ask for collateral which people do not have, or charge interest rates that are too high. We have tested this program on the streets of Cusco for the past year. At present there are a total of 20 vendors obtaining loans.

Activities:

     Aynikuy plans to raise $5000 US as a revolving loan fund to provide micro- loans to these cart vendors. Each day a vendor may request a loan of up to $100 US from Aynikuy to stock their cart or store. Interest is at 7% and daily payments must be made on the loan. The entire loan balance is to be re-paid every month before additional credit can be obtained.

Where This Project Is Located:

This Project is located in Cusco, Peru.

           Cusco is situated in the Huatanay River valley at an elevation of 11,000ft. It is the gateway to the Sacred Valley where the primary Inca sites are located. Cusco is a beautiful city with many great cafes, shops, restaurants and museums. There are several Inca site in and nearby to Cusco and many Spanish cathedrals in Cusco to visit. It’s really a great place to be.

• Total population of Cusco is about 300,000
• Total population of Peru is about 28,674,757 (est. 2007)
• Percentage of population living on less than US$1 a day is 37.7%