Nepal is one of the poorest and least developed countries in the world. It ranks 149th in the United Nations Development Programme Index and a quarter of its population lives below the international poverty line of around £1.50 a day.
Many people in Nepal’s poor communities earn income from low-paid or temporary, as-needed jobs. Even those with a regular source of income often struggle to make home repairs, and building a durable and disaster-resilient house is beyond reach.
Magar and her husband Tek, live in the Udayapur district. Their house, crafted from wood and mud, was on the verge of collapsing. During monsoon rains, the house shook and leaked water.
Every year, they relied on loans from loan sharks, paying them back with their hard-earned money.
Empowering Homes with Safe Loans and Financial Literacy
Recognising the need for people like Magar and Tek to be able to gain access to safe loans to make home improvements, Habitat for Humanity has been working in partnership with organisations to deliver financial literacy training and help people acquire regulated small housing loans.
The project, funded by Jersey Overseas Aid, has helped over 100,000 people access housing loans so far.
During the financial literacy training course, Magar and Tek learned about managing expenses, saving money, and earning additional income. Empowered by this knowledge and with support from Habitat for Humanity, the couple secured a small loan from a regulated provider so they could buy materials, such as cement, wood, and zinc panels for a durable roof.
This approach is testament to our ‘hand up, not a hand out’ ethos, empowering people with the resources they need to lift themselves out of housing poverty. Their new house provides protection from harsh weather conditions, eliminating the need for annual repair loans.
Their story has also inspired several of their neighbours to attend financial literacy training, helping the community work towards safe and sustainable building practices.
Comments