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Thanks for sharing this article! It accurately describes the damaging effects of small cash loans to entrepreneurs in these regions. Our company is a direct res

Thanks for sharing this article! It accurately describes the damaging effects of small cash loans to entrepreneurs in these regions. Our company is a direct response to that. Having lived in Sierra Leone and having family members in the village, I actually have personal experience with various sides of this market and it's impact. It's important to note that we do not provide microloans to individuals or small entrepreneurs. The loans our users provide through our app go to vetted businesses and are directly tied to life-changing products to people in need. As Jacobin's article correctly states, people cannot afford these assets outright. However access to credit, for those who have been identified to have some level of stable income enables them to have access to products that directly improve their lives and wellbeing. If a person in SL cannot pay for some unfortunate reason, the asset can be recovered rather than being trapped in a terrible debt cycle. It sounds like you're quite knowledgeable about this area. I'd love to connect and discuss these nuances. Getting your detailed perspective might help us communicate these difference better upfront.

_oghd 4y ago
i believe in gift economy and don't agree that extending credit even at favorable rates to the global south is fair. even in your description here you use euphemism to cover the forceful removal of what you in the same paragraph as 'life-changing products' > life-changing products to people in need ... to have some level of stable income ... the asset can be recovered they NEED the LIFE-CHANGING asset as long as they can PAY interest. if they default, i guess they don't NEED it. it's not ethical! sorry. it's the same old neoliberal capitalism, just tied to a product which can't be exchanged for food like the old microloans, and can be more easily repossessed. i'm glad you enjoyed the Jacobin article, but you missed the forest for the trees. if you want to do it right, don't charge interest and restructure as a co-op.
- kekuramusa 4y ago
  In that case you should create a gift economy product in Africa. I encourage you to spend time on the ground speaking with people and seeing what individuals need/desire. We're not a dispassionate westerners building products for our personal gain. My own family members face these issues. You're advocating denying people access to financial markets and making them dependent on your donations. But these individuals have jobs and desire self-sufficiency. I'm working to give them that.

_oghd 4y ago

i believe in gift economy and don't agree that extending credit even at favorable rates to the global south is fair. even in your description here you use euphemism to cover the forceful removal of what you in the same paragraph as 'life-changing products' > life-changing products to people in need ... to have some level of stable income ... the asset can be recovered they NEED the LIFE-CHANGING asset as long as they can PAY interest. if they default, i guess they don't NEED it. it's not ethical! sorry. it's the same old neoliberal capitalism, just tied to a product which can't be exchanged for food like the old microloans, and can be more easily repossessed. i'm glad you enjoyed the Jacobin article, but you missed the forest for the trees. if you want to do it right, don't charge interest and restructure as a co-op.

kekuramusa 4y ago
In that case you should create a gift economy product in Africa. I encourage you to spend time on the ground speaking with people and seeing what individuals need/desire. We're not a dispassionate westerners building products for our personal gain. My own family members face these issues. You're advocating denying people access to financial markets and making them dependent on your donations. But these individuals have jobs and desire self-sufficiency. I'm working to give them that.