In Andong, a community where many people live in poverty, SCCO has been offering microloans since 2022, thanks to the support of DARA Europe. As part of the family support program, SCCO offers small loans, without interest. Read Mr. Noeun’s story to better understand the potential of microloans that are dramatically changing the lives of entrepreneurial families in Andong.
The importance of microcredit
In Andong, unfortunately, it is no exception that families face significant debt. Many lead an existence where they live from one day to the next without a financial cushion for unexpected expenses, such as medical care or the purchase of essential household items. In their search for financial help, many knock on the door of lenders who charge (too) high interest rates.
SCCO, however, has a different vision. We recognize that some adults and families in Andong are entrepreneurial and believe strongly in their potential to increase their income. This is why the microcredit program was created.
Real change for families
The first microloans have already produced tangible results in Andong. Families are using the loans to grow their businesses and create new opportunities. Examples include purchasing woodworking machinery, buying a trailer to sell products at the nearby market, and expanding local stores.
An inspiring success story comes from Mr. Noeun, a carpenter living in one of Andong’s neighborhoods. He received $250 to expand his woodworking business. Before receiving this loan from SCCO, he lacked finances and materials, and many of his tools were old and damaged. The loan changed everything. He says, “My business is running well now because I can repair some machines and buy new equipment, for example for cutting and machining wood. This makes it easier to do business and respond to orders from my customers.”
Mr. Noeun took his responsibility seriously and repaid the loan neatly in monthly installments. He emphasized that the loan not only improved the family’s income, but also their mental well-being. “After getting the loan, I worry less than before,” he says. “There are now enough materials to do my job well, which increases our income and improves our living conditions.”
His gratitude goes out to all the donors. “We want to thank you very much for your care and attention to our poor community,” he said. “You have helped my family with this microcredit, and I see my children grow and develop thanks to their participation in SCCO’s educational programs.”
Your support can make a difference
This success story of Mr. Noeun highlights the impact of microcredit on the lives of families in Andong. Thanks to DARA Europe, families in this community have the opportunity to grow, prosper and build a better future. It is a great example of how small investments can have big impact.
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