by Noah Simpson
January’s 7.0 magnitude earthquake that decimated the Haitian capital of Port-au-Prince and surrounding areas has been a hard trial for one of the world’s poorest nations. Amid reports that the death toll has surpassed 200,000, aid continues to arrive in Port-au-Prince. The Haitian infrastructure is severely damaged, and homes, businesses, and many other structures have collapsed or become unusable. In the face of such conditions, relief and rebuilding will clearly be a long process with no clear-cut solution. However, microfinance in Haiti may just provide an important part of recovery. Microfinance Focus reports that Grameen Foundation USA has announced plans to create a short-term and long-term recovery plan in Haiti based on their previous experiences in Haiti and Indonesia, and those of Grameen Bank in Bangladesh. Provision of loans after crises such as this is essential to economic rebuilding of any nation, and increased access to microcredit will be essential as the country looks forward. In the short-term, Haiti’s largest MFI, Fonkoze, reports they “cannot reopen without cash liquidity, security and employees. Also needed are internet connectivity, fuel, transportation for employees, etc.” As Fonkoze and other large organizations in Haiti are supported in the coming weeks and months, they will be able to assist the disaster-stricken nation in its move toward rebuilding by assisting its microentrepreneurs. This support will be essential for the years of rebuilding and development ahead.
Blog RSS Feed