Most loans on Kiva are administered by one of our local partners in more than 80 countries. Kiva conducts due diligence on all Field Partners prior to allowing them to begin posting loans on the Kiva platform. Kiva partners with a range of organizations, including microfinance institutions, social businesses, schools and nonprofits. These organizations are united by a strong commitment to serving the needs of low-income, vulnerable, and/or excluded populations, either through financial services or by using credit to expand access to pro-poor products and services.
Kiva has developed a system of credit tiers that enables us to work with Field Partners across a broad spectrum of credit needs, from early-stage organizations seeking smaller amounts of capital to larger organizations with extensive credit programs.
Step 1: Review application from potential Field Partner
An organization that seeks to partner with Kiva must first submit an application, which consists of the following:
A Kiva analyst reviews these materials and then follows up with the organization to resolve any outstanding questions and discuss details of the potential partnership
Step 2: Conduct on-site due diligence (required only for higher credit tiers)
For higher credit tiers, the Kiva analyst will also visit the organization for on-site due diligence. Some organizations may not receive an on-site visit due to risks of traveling to the country where the organization is located. In those cases, the Kiva analyst meets with representatives of the organization in an alternate location or leverages external sources, such as references and other rating information.
During an on-site visit, the Kiva analyst interviews members of the board and management team, loan officers, and borrowers. In addition, the analyst reviews documentation, reports, and the management information system of the organization.
Step 3: Prepare a Due Diligence Report
After the Kiva analyst has reviewed the potential Field Partner’s application and has completed the on-site visit if applicable, we prepare a Due Diligence Report. This report includes some or all of the following components, depending on the proposed credit tier:
Step 4: Submit for approval
The Kiva analyst submits the Due Diligence Report to members of Kiva’s investment team, who review the proposal, communicate with the analyst in case of questions, and vote on whether to approve the organization for partnership.
For an approved Field Partner, the investment team also approves the final credit tier, which also determines the Field Partner’s credit line.
Kiva conducts regular monitoring of all Field Partners. The level of monitoring conducted for a particular Field Partner corresponds to the partner’s credit tier, with a higher level of monitoring required for higher tiers.
Monitoring may include some or all of the following activities, depending on credit tier:
Possible reasons for a delay include: