Microfinance with Education (Majority World)

Microfinance with Education is an approach that combines both financial and non-financial services. Joining savings-led services with health, finance, and business training creates a leading, integrated service for low-income people in the Majority world (footnote MkNelly and Dunford). The Chalmers Center’s unique approach to Microfinance with Education assumes a relational framework for understanding poverty in order to rightly address the social, economic, and spiritual aspects of people who are poor. While behaviors and practices must undergo change, worldview must be addressed in order for lasting transformation to take place. This approach empowers people who are poor to improve their lives by changing the underlying assumptions that shape their cultural stories to reflect the redemptive values of God’s kingdom. The Chalmers Center’s approach to Microfinance with Education goes beyond financial services and technical training to confront cultural lies through key biblical themes and stories. Within the context of important everyday issues, people who are poor can encounter Jesus as Savior and Healer of every part of their lives. The fundamental outcome is a greater socioeconomic and spiritual impact on savers and borrowers.

Microfinance with Education harnesses best-practice research on savings-led strategies to poverty alleviation, integrating them with non-formal education on relevant issues that people who are poor face in their everyday lives. Assuming a relational, holistic approach to poverty alleviation, Microfinance with Education is a powerful tool that local churches in the Majority World can leverage to address and respond to nuanced, underlying worldview issues among their members and larger community. Curriculum and training designed with best-practice principles of adult learning encourages users to reflect and act on the knowledge God has given them, challenging them to take ownership of their resources. By promoting savings and credit associations (SCAs) and relevant health, business, and finance training, the local church announces and illustrates the Kingdom of God, fostering integral change in communities around the world.

To learn about our current Microfinance with Education pilot project, see Advancing Stewardship, Social Enterprise, Training (ASSET).