I Need Your Help!

Dear Family and Friends,

As many of you have heard, I was recently given a Fellowship opportunity with the Vittana Foundation. My placement will be at the Microfund for Women which is located in Irbid, Jordan. For 16 weeks in 2011, I'll be assisting in efforts to help alleviate poverty in the area through microfinance and education. To say this honor bestowed upon me is a once in a lifetime opportunity is definitely an understatement. I will be helping to start a program that doesn't exist anywhere in the Middle East.

If you're hearing about Vittana for the first time, you're not alone. Vittana is a non-profit that allows you to lend capital to a specific low-income student in the developing world. In increments of $25, you choose who to lend to - whether an Accounting student in Paraguay, a Business Administration student in Peru or even a Medical student in Vietnam. As they repay their loans, you get your money back. You can either re-invest your money, withdraw it or donate it to Vittana. It's a powerfully inspiring and sustainable way to empower someone to break the cycle of poverty and an innovative way to see how you make a difference on a global scale.

Since Vittana was founded, over $324,000 have been distributed by more then 2,900 lenders in 35 countries. That money has funded hundreds of students in 5 different countries. The default rate on repayment is 3%. It's incredible to see that 97% of loans given out are repaid.

My job as a Fellow will be to assist my MFI (Microfinance Institution) partner and be the bridge between the MFI and Vittana. It will be my responsibility to add new students to Vittana's website by writing their stories and photographing them, as well as creating partnerships with schools in the region to reach more students in need of this service. I will not only assist with Vittana work, but also help train the staff of Microfund for Women on how to best implement Vittana's online platform to help them fund the less fortunate students in need of assistants. The Fellowship program is unique in the variety of tasks that I will undertake and the potential for a lasting impact on the people of the city I'm placed, the staff of the MFW and Vittana.

My Fellowship is scheduled to take place in the beginning of 2011, just as I complete my applications for Graduate School programs concentrating in microfinance and international affairs. I should note that the Fellowship is not paid and I am responsible for raising support to cover airfare and living expenses for the duration of my 16 weeks aboard. I'd be grateful if you would consider joining me and financially supporting my Fellowship.

I have created a full budget of my expenses and I'm looking to raise $7,500. Every little bit counts so please give what you can! Your contribution is extremely needed and appreciated!


There are a few ways to give:

1). Donate via my ChipIn:



2). Send cash or check payable to NATHAN RICHARDSON: please contact me for my address.

3). If you'd like to donate airline miles or help support my trip in other ways, please send me an email. wray (dot) richardson (at) gmail (dot) com.

Final notes:
*This is a donation to fund my participation with Vittana. Unfortunately due to non-profit tax laws, tax-deduction are not possible since the donation isn't to Vittana itself. However, I will be sending EVERYONE acknowledgments thanking you for your donations.

Fundraising Incentives

$100 donation = I will send you a personal postcard from my location. I'll compile the list just before I go.

$250 donation = A personal souvenir from Irbid will be sent to you upon my return to the States.

$500 = A personal 3x3 accordion picture album of the people and places from my Fellowship.



*All those who donate will get personal recognition on any publications pertaining to my Fellowship unless anonymity is requested. All monetary donations are welcome.

Thank you to everyone! Your support is my inspiration and fuels me daily to help in the fight to alleviate poverty and help people in Jordan to be the best they can be with the help of Vittana.

Sincerely,
Nathan Richardson

Women in Microfinance Conference

On Wednesday April 28 the UCLA Anderson Business School and Yale Club of Southern California co-hosted the Women in Microfinance Conference to an audience of nearly 100 people. The room was filled with women, men, students, professionals and general enthusiasts of the microfinance platform in order to make a change in the lives of low-income people in the United States and abroad. A lot of good information was given from the panelists and many audience members shared their experiences from over the years, but it seemed to fall short of a lot of peoples expectations as to what the conference should have offered.

The night opened with UCLA Anderson Professor Bhagwan Chowdhry as the Keynote Speaker as he shared his Financial Access at Birth (FAB) Campaign, where every child born in the world is given an initial deposit of $100 in an online bank account to guarantee that everyone in the world will have access to financial services. He approached the idea as potentially being tested in Uganda and Haiti where many people have little or now savings to help with today's reality of health care, food and other basic service costs. One of the campaigns overall goals is to teach habits of saving funds to ensure a more financially secure future. The idea met with stiff resistance from panelist Dean Karlan, a Professor of Economics from Yale University, who didn't see how the program would give people the incentive to save. Quickly a member of the audience aswered his question by giving examples as to who this system has already having shown promise in the UK.

After the Prof. Chowdhry concluded the rest of the speakers came one by one to pitch their organization which included such notable people as Dean Karlan, Bhalchander Vishwanath: Founder and CEO of United Prosperity, Eric Weaver: Founder and CEO of Opportunity Fund and Jon Yasuda: VP of Opportunity International. Although it seemed disheartening to be speaking about women in microfinance with absolutely no women on the panel, Jessica Jackley joined the panel late due to a flight delay from San Francisco. Some people may know Jessica as the Co-Founder of Kiva, which has set the standard for peer-to-peer internet lending. She gave her personal story on how she chose to start Kiva by adding a human touch often missed by the some of the speakers.

All of the panelist spoke of their organizations briefly and attempted to shed new light on their efforts to assist those who need. Eric Weaver spoke about how his organization was focused on teaching people in the San Francisco Bay Area about financial literacy through free classes and savings account matching. Jon Yasuda briefly spoke about Opportunity International being created for women around the world in mind. Bhalchander Vishwanath brought up the link to his website on the large screen to show how his organization uses microfinancing with a different twist of guarantees and bank cooperation to fund entrepreneurs in India. Jessica talked about how she saw a need to strengthen the ability of banks around the world to service clients in low-income situations to begin process of poverty alleviation. But the most interested speech of all came from Dean Karlan who spoke about the so-called impact of microfinance around the world and how people measure success. It seemed to most of the panelist and audience that he was the antagonist of the night, but he brought up many great points of how tests should be done to truly measure the impact microfinance has.

While many of the panelist made great points and presentations it seemed that the "women" focus of the conference was overlooked. During the question and answer portion of the night one women asked, "I thought this was suppose to be a conference about women in microfiance. Why is there only one woman on the panel?" All of the questions and comments for the rest of night ranged from ideas to get women easier access to banks, the impact it has on home life and how many women staff member the organizations employed. Another audience member talked about her experience working in Southeast Asia where microfinance is having a huge impact on the overall well-being of women involved with it say "making money to help their families has given these women a rest to hold their heads high."

Here are some facts to be noted: Opportunity International's primary focus is women in the international community, Kiva's borrowers to date are over 82% women, over two-thirds of Opportunity Fund is staffed by women, and United Prosperity borrowers are all women.

Overall I believe the conference was a great way to bring people together to speak about the issues of women, but many felt it should have given more ways to get increase female participation in the movement. Dean Karlan seemed to be the voice not often heard in these discussions about people in the movement patting themselves on the back for giving money when we should be more concerned with the realities of the long term effect. His point was to remind people that a one time loan of $200 doesn't bring a person out of poverty, but rather that it takes roughly five years to break that barrier with the first loan being the beginning of a process to a better future.

Little Known Microfinance Groups

While surfing the internet not long ago I began to come across many different sites that use the same peer-to-peer lending model like Vittana and Kiva to serve the growing needs in the world. Over the past five years many organizations have seen the effectiveness of what this platforms have to offer and spawned groups of their own to test the water of financial global change. From educational funding to energy needs these groups are looking to take back control of their dollars to help others in need, instead of leaving it up to government and NGO's to spend our tax dollars to improve conditions for those living under the poverty line.


LEND FOR PEACE
In the Southern California Muslim community a lot of our energy is often focused on the Israeli/Palestinian conflict and creating ways to bring attention to the plight of those suffering on both sides. Many people outside of the "balanced" news loop lack vital information about the facts on the ground and rely solely on FOX News and CNN for their coverage which too often paints a one sided portrait of the situation. According to their website "Lend for Peace" was established by two Israeli's students and two Palestinians students to make a tangible different in the conflict, regardless of their faith background. Although their catalog of entrepreneurs is small, the people who created it have good intentions to bring peace and prosperity to those in the West Bank and Gaza Strip. Although small, the group does offer the opportunity for individuals and students to get involved through volunteer and internship positions. Using the popular lending platform, people all over the world can lend to Palestinian entrepreneurs to create and expand their business and create opportunities for themselves and their families. From grocery stores to farming, the group reaches a number of people who look to serve others with food and other vital supplies.

Taken from the popular Israeli "Land for Peace" mantras of the past, this organization looks sheds new light on the human aspect of the conflict and not the political aspect. In one short year LFP has recieved grants from foundations such as the Clinton Global Initiative and recruited members such as Craig Newman to their advisory board. Most know Craig Newman as the founder of the popular site Craig's List. Although the International Monetary Fund has showed that economic recovery in the West Bank could come soon, it should be noted that micro-enterprise makes up almost 95% of all business in the West Bank and Gaza according to a 2007 article from MicroCapital. Due to certain boarder issues the numbers possibility of growth can only plateau instead of rise.

The site is worth looking into and should inspire the average person to learn more about what's happening in the Middle East and why such an organization is needed. The old saying is true that knowledge is power.


ENERGY IN COMMON
As the world become more industrialized pollution will only worsen. Many groups are dedicated to saving the environment such as Green Peace, but there are only a few that have attempted to combine microfinance with green technology and energy independence. To some it may not seem like a big deal but if you're in that camp you're unfortunately wrong. Many issues stem from the availability of energy for entrepreneurs to run a "successful" business while keeping the health of mother earth in mind. One should take into account the issues of deforestation in the Amazon and Madagascar where these countries have cut down large swaths of forest for business purposes, often by impoverished individuals selling items like charcoal to meet energy demands. In many other places such as remote areas in Africa the problem of energy poverty and pollution grow as people rely on the use oil, dung or kerosene for their energy needs.

Energy in Common is an organization founded by a young Australian entrepreneur named Hugh Whalan and a New York carbon credit and green energy specialist named Scott Tudman. Their goal to deliver green energy to 15 million people within five years seems hard, but in today's green revolution this might be a venture worth considering. Their site profiles businessmen and women looking to purchase solar panels to light their homes where they run their businesses, but we should look at this in a larger context. It is a real solution which makes things like studying after dark, refrigerating medicine and vaccines and pumping clean water to remote communities a possibilities. Often the little things can make a huge difference in many avenues to improve the lives of millions. You can read more about EIC, their mission and their founders through an interview conducted by the Huffington Post.

Kiva & Sam's Club: Change Made Simple

Kiva is one of four finalist in the Sam's Club "Giving Made Simple" campaign to win a $1 Million grant for their social activism using microfinance. Anyone who is a Sam's Club member can go on their "Giving Made Simple" website and vote as many times as you'd like for companies who's causes you share an interest in. Not only is this a great way to use your Sam's Club membership for more then just shopping, but it also is a way to give back and get more out of your member fee.

For all those who don't know, Kiva is the pioneer of peer-to-peer internet microfinance lending. Connecting the average person with an internet connection to entrepreneurs in 52 countries in an effort bring them out of poverty. Since Kiva was incorporated in 2005 lenders in 196 countries have lent well over $130 Million to over 400,000 entrepreneurs, helping them start or expand their small businesses. They've also created a huge network of volunteers and Fellows who represent Kiva by working directly with their international banking partners to disburse funds lent from people like you and me. I first learned about Kiva while watching a PBS Frontline special about them years ago. Since then I've become an advocate for their work and their goal of poverty alleviation by respecting the needs of those whom they assist in the developing world.

Kiva plans to multiply the impact by 10 by generating approximately $10 Million more in loans from the Internet community, helping approximately 25,000 entrepreneurs in the US and around the world. With the ability to turn around funds and help even more people with a "simple" $1 Million grant, five a few moments of your time and put that Sam's Club membership to good use. Now giving back to the world has been simplificed and all you have to do is click a button. No money given and no funds transfered. Voting ends on May 1, so act fast!

Here is an excerpt from the Frontline special about Kiva.

The Vittana Challenge: Part II

In March Vittana held its first ever fundraiser called March Microfinance Madness. The goal of the fund drive was to raise $50,000 to fund student loans in countries like Vietnam, Paraguay, Nicaragua, Peru and Mongolia. Little did the people at Vittana know that the public would respond with overwhelming support.

Looking back at the month of madness, people from the United States, Europe and Australia signed up and lent as little as $25 and as much as $500 to help students build a foundation toward their dreams. Like me, these students are paralyzed by a never ending circle of financial uncertainty. While most people watched Northern Iowa shock Kansas in the NCAA tournament, lending groups from businesses, social groups and religious organizations sprang up to lend over $55,000 and fulfill the loan profiles of 105 students.

The two groups I created put Southern California lenders on the map. The Muslim Youth Group of the Islamic Center of Southern California lent $344 and the CommUnity Funders group lent over $100. Although it should be noted that the Muslim Youth has lent over $1,400 to date, being apart of the fundraiser was just another means for the youth to become involved in the wider global community. While tons of emails were sent out to friends all across the country, the CommUnity Funders group attracted many people from all walks of life including a newlywed couple who chose to use their wedding gift money to support educational efforts.

For Vittana and myself this is only the beginning to tackle the greater problem of financing education. The fundraiser is over but the work has just started. In due time Vittana will expand and rightfully so. Twice during the final week of the fund drive it "sold out" of students and worked frantically to post more profiles. It seems that many people around the world have not forgotten the dreams they held while forging toward an educational goal. This is the connection that Vittana was created for and March showed all of us that no dream is too small as long as their are people in the world who are willing to give you a helping hand.

The Vittana Challenge

Not long ago I came in contact with a man named Kushal Chakrabarti who heads a microfinance venture called Vittana. Vittana passes micro-loans from lenders in the US to people all over the world in order for them to pay for their vocational classes, thus lifting them out of poverty. He came to the Islamic Center where I work and presented. Just a few months earlier the youth I work with raised over $1,300 to donate to a worthy cause, so we choose Vittana. I spoke with my youth about it and they seemed very into it, especially since after 18 months the students receiving our loans repay them to us to relend again interest free.

Shortly after that I contacted Vittana to become more involved, since I'm hoping to enter a Masters or MBA program concentrating on microfinance. And within a few weeks I was working to create lending groups and spreading the word about Vittana's mission. I am the first person in their Ambassador's program and I'm happy to set the bar for all those who come after me.

During the month of March, Vittana has put together their March Micro Madness project in order to get more lenders and spread the word about them. While trying to secure speaking engagements in high school and universities, I've create my own lending group to do my part. My challenge is to secure at least 50 new lenders to lend at least $25 each to someone through Vittana. I believe it to be a challenge in these rough economic times, but I'm up to the task.

So today begins the challenge. 50 new lenders by March 31. To be continued....