Microfinance in Haiti | Hope in the earthquake aftermath | January 2010

It's been two weeks since a 7.0 magnitude earthquake reduced the capitol of Haiti to rubble. Of a country with 9 million citizens; fully 1/3 are affected, displaced, homeless, injured or dead. The only city within the poorest country in the western hemisphere that had any semblance of infrastructure, a fully operating international airport and seaport has been totally destroyed.

And now, the exodus. As refugees flee the graveyard that was once bustling Port-au-Prince, it hearkens Americans memories back to Hurricane Katrina. A dark time in American history, Katrina not only changed the actual geography of bayou Louisiana and New Orleans but it created massive demographic shifts as well. The sleepy southern capitol of Baton Rouge, Louisiana became that state's largest city within weeks as refugees from New Orleans poured into it.

This type of demographic and population shift is now happening in Haiti. One hears of survivors filling the tent cities in the countryside surrounding Port-au-Prince.. but soon they will leave for other cities away from the devastation. They will be looking for jobs that aren't there and looking for food to feed their children, also in very short supply. It was not long ago that the New York Times reported about Haitien mother's making "dirt cookies" for their starving children for lack of real food. Imagine the scene today. Haiti's second-largest city, Cap Haitien is ill-prepared for this influx of humanity.

To make Haiti better, stronger, economically viable and stable the same old aid options are necessary for the next few weeks. But when CNN, the Red Cross, churches and other NGO's from around the world have left with the free medical care, food and clean water... what then for Haiti?

While the lens of the world is still on Haiti, it's time to begin direcing money to Haitien Microfinance. Once relief ends... true development can begin. Currently, the largest Microfinance Institution (MFI) in Haiti with 40 bank branches has 55,000 loan clients. Impressive until you realize the country has 9,000,000 people.

The 2010's can be a golden era in poverty alleviation once the business world and the church world "get" the power of giving a hand up to struggling people once the hand-out has already been delivered. Microfinance is that power. And when it works for Haiti, it will work for the rest of the world.

Currently 100 million people living in poverty worldwide are benefitting from micro-loans from MFI's to start businesses. $50, $100, $200 loans are changing lives for the better, forever. But according the the CEO of HSBC bank, demand for microfinance in the developing world is ten times that number. And that number multiplies exponentially when one sees how impoverished Haiti is in it's current state. Now and in the coming months is the time to re-allocate resources and money towards re-building Haiti from the ground up... one small business at a time.