Pilot Light is pleased to announce another partnership with the Millennium Villages Project (MVP) in support of the Mayange Community Development Fund (MCDF), established in 2008 in Mayange, Rwanda.  The fund was intended to act as a local community fund to lend money to individuals to start small businesses, specifically those who are not eligible for traditional microfinance, and to create a sustainable way for the community to continue developing income-generating small businesses.  The first loans were disbursed in January 2009. While villagers have submitted hundreds of applications for loans,  MCDF has been limited by their access to capital.  Largely supported by an initial start-up grant of $28,000 from MVP,  MCDF needed additional sources of funds.

To address the needs of the most vulnerable members of the community, MCDF offers a manageable interest rate (1% per month), a longer loan repayment period (1 year), and a grace period for repayment for agricultural loans (up to 3 months grace as needed).  These provisions ensure the poorest of the poor can access microcredit needed to establish additional sources of income.

Mayange is located in the southeast of Rwanda in Bugesera District . In a country known as the “pays des milles collines” (“land of 1,000 hills”), the terrain around Mayange is flatter and drier than most of Rwanda. The area suffers from sporadic rainfall and declining soil fertility, leading to endemic poverty, illness and a lack of economic opportunity.  Mayange, currently home to over 25,000 people, was an epicenter of the genocide violence. Sixteen years after the genocide, the area continues to suffer. Once forested and home to cattle herding, Mayange turned to shambles.  Most people struggle to sustain on small agricultural plots.


Pig Cooperative President is MDF client for micro loan to start chicken business.

This block hasn't been edited yet.