VisionFund Cambodia

The marginalized poor in Cambodia are hardworking, resourceful and determined to solve their own problems; however, without access to capital they are often forced into a cycle of debt that prevents them from lifting themselves out of poverty. VisionFund Cambodia seeks to help those entrepreneurial poor who are highly capable of starting a business by providing them micro loans to generate a regular household income. Our financial service delivery extends and complements World Vision's development ministries with a strategic focus to reach out to the vulnerable poor to establish their own lives in a secure, healthy and dignified manner. As of December 2011, VisionFund Cambodia has served as many as 132,036 clients with a total loan portfolio of US$37,719,087.

Who we serve

Our financial-related ministries are strategically focused on improving the lives of the Cambodian poor.  We are committed to delivering financial services and products, as well as other select, non-financial services to the poor regardless of their religious background, belief, gender or ethnicity.

Why we serve

As a Christian MFI, our ultimate goal is to lift clients and their wider communities out of poverty through the provision of micro credit and other complementary services. We are actively involved in transforming their lives by following the example of Jesus Christ.

How we are governed

In the past, VisionFund (Cambodia) was managed and governed by World Vision Cambodia (WVC). In 2005, the ownership and governance were transferred to VisionFund International (VFI), which is operating in over 40 countries worldwide. VisionFund (Cambodia) is currently under the governance of VFI.

How we are financed

Previously, VisionFund (Cambodia) was financed by World Vision and various Non-Governmental Organizations. Since the beginning of 2006, access to funding and loans has been managed by the VFI and supported by larger commercial lenders and investors.

How we serve

Using three loan methodologies, VisionFund (Cambodia) provides the poor with financial choices at reasonable interest rates. By engaging with us, a household is enabled to accumulate assets and build up their small business one step at a time. Our program aims to help families regularly provide food for their children, build up savings in case of an urgent need or unexpected situation, afford household medical care, start and expand a business, and send  their children to school. As their financial performance improves,  households will have added financial options and be able to access more advanced credit markets.

How do we measure and celebrate success?

VisionFund (Cambodia) measures success by the movement of our clients to higher socioeconomic tiers. These socioecnomic tiers are laid out as the poorest of the poor, the poor, the not-so-poor, and the non-poor. A 2004 study by World Vision Australia revealed our level of success to be an 80% to 83% reduction in the poorest of the poor at the client level for the Village Banks in operation for 2-3 years, and a 70% increase in the not-so-poor at the community level. With 90% of our clients being women, the success of this model has led to positive social changes resulting in:

• a reduction of domestic violence,
• an increase in women’s rights, and
• improvement in nutrition and health.