The need for microfinance in Ghana
Our first program on the African continent is in Ghana. Ghana is situated on the west coast of Africa, between Togo and Cote d’Ivoire. In 2021, 3.4 million citizens of Ghana were classified as living in extreme poverty, living on less than $2 a day. Poverty remains especially pervasive in rural areas, which suffer more during droughts and floods and have poor access to transportation, markets, and healthcare.
In recent years, the country has suffered from a depreciating currency and a large national debt. To the extent that loans are available at all in the rural areas, they are offered at rates from 10 – 15%/month. A lack of support for Ghana’s rural areas has resulted in a growing cycle of poverty, with too many people trapped by their lack of access to capital.