Smallholder farmer-focused investments: The next big thing in impact investing?
by Kusi Hornberger, vice president, investment research, Global Partnerships
Last October, I had the privilege of attending SOCAP15, the largest conference for social entrepreneurs and impact investors. During one of the sessions on the first day, Cathy Clark, Director of CASEi3 Initiative on Impacting Investing at Duke University, mentioned that she felt organic/fair trade agriculture impact investing was potentially the next big growth area for social lenders in developing countries after microfinance, as scalable ways to de-risk these investments have begun to emerge.
The statement was thought-provoking, as agriculture has long been a relatively risky investment. The idea that a niche sector often victim to the fluctuations of the weather and commodity prices could reach the level of investment activity we see in microfinance made me pause. I decided to look at the data, and have since concluded that Cathy may be right. Impact investing focused on helping smallholder farmers in developing countries has increased dramatically over the past few years, and Global Partnerships' rural livelihoods initiative is a big part of that growth. Many challenges remain before this type of investment can reach its full potential to help millions of the rural poor living in poverty. This post will look at the case for impact, the dramatic growth of GP's rural livelihoods portfolio and the remaining challenges in making sustainable agriculture a "mainstream" focus in impact investing.
Case for impact
Through our rural livelihoods initiative, Global Partnerships (GP) invests in organizations in developing countries that provide three services that deliver meaningful impact to smallholder farmers (which we define as farmers and their families living off of farms of less than five hectares). Those three services are: (1) technical assistance; (2) access to markets; and (3) access to finance.
By partnering with social enterprises that deliver these three services, we provide the potential for smallholder farmers to increase and stabilize their household incomes through:
- increased productivity due to better farming techniques;
- diversification of crops to distribute risk and introduce higher-income crops like coffee, cacao and quinoa; and
- higher prices for the farmer due to better (and better quality) crop yields and access to better-paying markets, including international and fair-trade buyers.
Qualitative research with GP partners like FECCEG in Guatemala and BioExport in Paraguay, along with quantitative impact evaluations, support this theory of change. Smallholder farmers supported by these services are diversifying their crops and, as a result of increased productivity and fairer prices, are also significantly increasing their incomes.
Dramatic portfolio growth
Given the results we've seen so far, GP has decided to proactively expand our rural livelihoods initiative. From two initial investments in 2008, GP has grown its rural livelihoods portfolio to include 21 partner organizations with capital disbursed in support of smallholder farmers totaling $22M as of September 30, 2015. Thanks to these investments, GP has impacted the lives of 351,000 smallholder farmers and their families.
Thanks to this growth, and in recognition of agricultural lending's increasing importance in our portfolio, GP has recently joined the Council on Smallholder Agriculture Finance (CSAF) as an affiliate member, joining eight other investors active in agriculture impact investing. CSAF saw greater than 50% growth in agriculture-related impact investments from 2013 to 2014, and expects to see that trend continue.
Despite strong growth, there are still many challenges confronting impact investors like GP before we can consider smallholder farmer-focused investments as truly "de-risked" or mainstream. Some of the key challenges facing the sector, which GP will continue to evaluate carefully as our rural livelihoods initiative moves forward, include:
- Climate change—Climate change and fluctuations in weather patterns are one of the biggest risks for smallholder farmers and thus for impact investors seeking to invest in them. Risk factors vary by crop and there is very little that can be done to fully eliminate these risks, but being prepared and knowing how to respond will be key.
- Commodity price fluctuations—As the focus in smallholder farmer-focused impact investing is largely on export-oriented crops, the income generation potential for smallholder farmers is very much dictated by international market prices, rather than by factors the farmers themselves can control. Crop diversification both lets farmers access these higher-paying specialty markets and distributes their risk so that if the price of one crop falls dramatically, the impact is limited to one segment of their income. Major price fluctuations are very hard to de-risk completely, but the risk can be moderated.
- Scope of need—Types of financing for smallholder farmers are currently fairly limited and generally focus on short-term crop cycles and/or triangulated export contracts. New ways to provide financing for longer-term needs like equipment upgrades, crop replanting/rehabilitation, infrastructure, etc. are necessary but market-sustainable solutions have yet to be identified.
Taking all of this—the case for impact, potential for growth and existing challenges—into consideration, Global Partnerships looks forward to continuing to identify and implement new ways to expand opportunity for the world's 450 million smallholder farmers and their families.
Achievements & Aspirations
by Rick Beckett, president & CEO, Global Partnerships
For Global Partnerships, 2015 marked the beginning of our third decade of expanding opportunity for people living in poverty and our second decade as a nonprofit impact investor supporting market-based solutions to poverty.
It also marked the first year of GP's aspiration-based strategic plan. Our goals are simple:
- Triple the breadth of opportunity in which we invest;
- Quadruple our volume of impact investments; and
- Multiply our social impact more than tenfold, ultimately impacting 30 million lives through our partners.
I am pleased to share that we're off to a good start, with strong results and solid growth. In fiscal year 2015, GP invested $35.7 million in social enterprises that delivered opportunity in the form of high-impact products and services to impoverished families and communities throughout Latin America and the Caribbean. Our partners empowered people to earn a living, improve basic health and gain access to solar energy. From inception through fiscal year-end 2015, this brings our impact investments to $168.4 million. Most importantly, these investments positively impacted more than 600,000 lives in FY15 alone, increasing our cumulative impact to 3.3 million lives.1
Impact investing highlights this year included our first investment in Paraguay and growth in our rural livelihoods and green technology portfolios. We made several investments in different types of social businesses beyond microfinance institutions and cooperatives, with the promise of scaling access to solar light to millions of people and bringing economic opportunity to tens of thousands of smallholder farmers. We continue to work throughout Latin America and the Caribbean and have laid the groundwork to make our first impact investments in sub-Saharan Africa, where we have opened a new office in Nairobi, Kenya. Our Social Investment Team has begun work on the continent with the most prevalent and persistent poverty in the world.
Beyond investment activity and geographic expansion, our philanthropically-funded research is exploring how new types of products and services can make a difference in the lives of people living in poverty. We are currently exploring the potential of opportunities in education, efficient cookstoves and urban sanitation. We are assessing new channels for delivering services, most notably in rural livelihoods where agricultural value chains are experiencing innovation that may benefit millions of smallholder farmers. And we are exploring new types of impact-led capital to address market failures where early-stage social enterprises that have high potential for impact at scale cannot attract the seed-stage funding they need to kick-start their efforts.
As we look ahead, much remains to be accomplished. Together with our partners, investors and donors we will continue exploring ways to bring opportunity to millions of people living in poverty. We appreciate your support, the trust you put in our staff and partners around the world and the passion you share for our mission. Thanks to your continued support of and belief in Global Partnerships' work, we begin 2016 poised to expand opportunity for more people in more places than ever before.
12015 performance indicators listed here reflect performance in fiscal year 2015 (July 1, 2014 - June 30, 2015).
Delivering Essential Medicines to the Rural Poor, Sustainably
by Agnes Cho, program associate, Global Partnerships
Recently, Global Partnerships and Linked Foundation held a rural pharmacies workshop and gathered together various organizations that have been providing essential medicines to rural communities through a market-based model. With the support of the Inter-American Development Bank (IDB), we spent two days in Antigua, Guatemala with seven organizations from four countries:
- Fonkoze, Haiti
- Mercy Corps, Guatemala
- CDRO, Guatemala
- FUNDAP, Guatemala
- ASECSA, Guatemala
- FUDEIMFA, Honduras (a current partner in GP's Health Services Initiative and featured in GP's most recent case study)
- Farmacias Similares, Mexico
In Latin America and the Caribbean, BoP (base of the pyramid, i.e. the poorest of the poor) households spend more than $12.9 billion per year on medication (GIZ). But rural communities find themselves with limited access to affordable, quality medicines due to high prices and the challenges presented by the state of local, national and regional infrastructure. All the organizations that participated in the workshop are directly tackling this issue and implementing sustainable business models that provide essential medicines in areas with the greatest need.
In the workshop, it was clear that the organizations were eager to learn from one another. Each had a collection of experiences and insights about the details and challenges they face in running a sustainable social enterprise. Though there was an agenda to discuss central themes, such as sustainability, scale and monitoring & evaluation, the energy from the participants was the most palpable during time set aside for them to discuss amongst themselves. These conversations ranged from legal regulations to employee incentive structures, from incorporating technology for more efficient data collection to finding more efficient transportation routes. Over the course of the two-day workshop, the participants not only discussed what they were doing to more effectively and efficiently sell medicines, but also how they were doing it.
This workshop was also an opportunity for Global Partnerships and Linked Foundation to learn more about the impact investing landscape of rural pharmacies in Latin America and the Caribbean. By sitting back and learning from the rural pharmacy experts—the organizations themselves—we took away the following insights:
- The rural pharmacy space presents a market opportunity for a variety of organizations.
- There are NGOs, MFIs and pharmaceutical companies all working toward the common goal of improving access to essential medicines in rural areas. Each type of organization has its own strengths and challenges. For example, NGOs may have more robust training programs for their community pharmacists, but commercial pharmaceutical chains may have an earlier grasp of the communities and local distributors most likely to achieve sustainability. However, they tend not to work in the smallest, most rural communities where the population truly has no other access to essential medicines.
- Organizations interested in building rural pharmacy models need to have a solid understanding of the unit economics necessary to achieving true sustainability.
- Rural pharmacy programs can benefit from the basic principles involved in running a successful franchise (ICSF is one resource for this) to strategically scale their business models. One learning from social franchising that applies to rural pharmacy programs is the importance of having a clear understanding of the business' real costs and revenue, generated by each point of sale, in order to build out and scale up a network of sustainable pharmacies.
- Once the right "formula" for sustainability is found—and some have found it—these organizations will be investable for mission-focused impact investors like GP.
- For many rural pharmacy programs, donations are sometimes necessary to support innovation and non-financial services for their distributors. However, all organizations attending the workshop recognized the ultimate goal is to reduce dependence on donations. Rural pharmacy models generally have to reach a certain level of scale before they can generate enough revenue to cover their operational and administrative costs. Once they have achieved that level of scale and proven its sustainability, impact investors, like GP, can provide capital to support their expansion.
Ultimately, we hope to help create a flourishing network of rural pharmacy programs that are sustainably working toward improving access to life-saving medicines in poor rural communities. The first step is to forge connections and facilitate communication between the organizations that are already tackling this challenge. Events like this rural pharmacies workshop, where organizations can come together to share learnings and discuss developing best practices, are invaluable to reaching this goal.
Blog Tags: community pharmacies Guatemala Haiti health services Honduras impact last mile distribution Latin America poverty rural health rural pharmacies social impact sustainability sustainable business models sustainable health women's health
Giving Thanks for Strong Partnerships
In our most recent Investors Report, Global Partnerships (GP) was pleased to announce that we've now impacted a cumulative 3.4 million lives since 1994. We're thrilled by this accomplishment in our ongoing work to expand opportunity for people living in poverty, but we didn't get there alone.
At GP, "partnership" is more than just part of our name—everything we do depends on strong partnerships with like-minded people and organizations. We'd like to take the time this Thanksgiving to share some of the many partnerships we're thankful for:
Dedicated partner organizations. GP doesn't carry out our work in a vacuum; when we expand opportunity for people living in poverty, it's our partner organizations that deliver that opportunity to their clients. Microfinance institutions providing access to credit, agricultural outgrowers offering flexible financing, crop assistance and access to markets, mobile health clinics providing preventive health care in indigenous languages, solar light distributors bringing clean, affordable solar solutions to off-grid communities—every one of our 50 current partners plays an essential role in delivering products and services that help change their clients' lives for the better.
Remarkable clients. Our partners' clients are amazing people. They work extremely hard to provide for their families and create a better future for their children. They embrace the opportunity to improve their lives by building businesses, diversifying crops or developing their financial literacy.
Enthusiastic donors, investors, grantors, volunteers and supporters. We at GP are incredibly grateful to our network of supporters. Our donors are informed, thoughtful and dedicated to making a difference. Our investors have chosen to invest their funds for a positive social return and a number of them are also among our grantors, who are generous with their knowledge and their networks, in addition to their funding. Our volunteers share their expertise, from our committed board members to supporters who offer their services as interpreters, event planners and more.
The success of Global Partnerships' mission to expand opportunity for people living in poverty depends on the strength of each of these partnerships, and we couldn't be more grateful for the people and organizations who make our work possible and help us bring market-sustained opportunity to millions.
Global Partnerships Named to ImpactAssets 50 for Fifth Consecutive Year
Global Partnerships (GP) is honored to share that we have been selected for the ImpactAssets 50 (IA 50) for a fifth consecutive year in 2015.
Established in 2010, the Impact Assets 50 is the only free, public, searchable database of outstanding impact investing fund managers. It includes a range of funds spanning diverse issue areas and investment, with demonstrated and compelling social and environmental impact. Impact investing fund managers included in the IA 50 2015 manage a combined $13.6 billion in assets dedicated to creating measurable, positive impact.
Since its inception in 1994, Global Partnerships has deployed $168.4 million in impact investments to 83 partner organizations delivering sustainable solutions that help their clients increase their incomes and improve their lives. Through these partnerships, GP has positively impacted more than 3.2 million lives in our work to expand opportunity for people living in poverty.
The IA 50 selection committee is chaired by ImpactAssets' Chief Impact Strategist, Jed Emerson, and includes experts from The CAPROCK Group, Toniic, UBS and Blue Haven Initiative.
Delivering Sustainable Health Services through Microfinance
by Agnes Cho, program associate, Global Partnerships
With the support of the Inter-American Development Bank (IDB), Linked Foundation, FMO (the Dutch development bank) and other generous funders, Global Partnerships has worked with five of our partners in five countries since 2011 to design, implement and scale sustainable business models. In August, GP traveled with three of our health partners to La Paz, Bolivia to present these learnings at the 7th Annual Latin American Village Bank Forum. The presentation represented more than three years of learnings from piloting and scaling these programs, including case studies on four separate business models.
Latin American microfinance has its roots in the high-impact village bank methodology, which was developed to extend financial inclusion and complementary products and services to the world’s poorest people. Since the origin of village banking, this methodology has been used to deliver microloans, savings and business education to improve the lives of people, mostly women, living in poverty and build up their economic resilience.
At the heart of village banking is the recognition by mission-driven MFIs that credit is just one of many tools to help people living in poverty. As part of GP’s Health Services initiative, we work with partners confronting the constant challenges of poor health and limited access to quality health services that their clients face. These challenges are often significant contributing factors to persistent poverty, and the group lending platform provides our partners with a touch point through which they can efficiently and effectively respond to the health needs of their clients.
There are numerous ways in which MFIs can deliver a health program shaped by client need, market demand and regulatory context. The Global Partnerships moderated panel at this year’s Forum featured the business models used to provide health services to clients by three of our MFI partners: Friendship Bridge in Guatemala, Fundación ESPOIR in Ecuador and Pro Mujer in Nicaragua.
All three organizations leverage their clients’ monthly repayment meetings to provide tailored education sessions about common health needs. Pro Mujer and Fundación ESPOIR* also run their own health clinics, where they provide basic preventive screenings and primary care consults. Pro Mujer markets an optional package with coupons that can be redeemed for specialized medical attention and Fundación ESPOIR offers clients access to a national network of dentists, clinics and pharmacies through a micro-insurance package. Friendship Bridge has created a strategic alliance with a third-party health provider for consults focused on women’s health via mobile clinics that travel to client communities.
As MFIs and other social enterprises redouble their commitment to addressing clients’ holistic development needs beyond access to credit, knowledge sharing is critical. With this in mind, as well as the goal of helping organizations throughout the global development sector further develop, refine and scale sustainable business models that provide high-impact, non-financial services, Global Partnerships is working to disseminate the lessons we and our partners have learned. The panel at this year’s Latin American Village Bank Forum was an ideal setting in which to present these key learnings. GP will continue to share and discuss these learnings at other industry events, including the ANDE (Aspen Network of Development Entrepreneurs) Annual Conference the week of Oct 1, 2015. These discussions focus on some of the key questions raised by GP’s work with our health services partners:
- Should MFIs build their own clinic infrastructure or create alliances with third-party providers?
- Should MFIs opt for a prepaid or insurance model? A voluntary or mandatory health package?
- How can critical health services be delivered sustainably by MFIs and other organizations working in global development?
We delve into these questions in greater detail and present the full scope of Global Partnerships’ Health Services Initiative to date in our recently published case study, Sustainable Health Solutions for People Living in Poverty in Latin America.
Blog Tags: Ecuador Espoir Friendship Bridge Guatemala health health services Health Services Fund Latin America microfinance Nicaragua Pro Mujer in Nicaragua sustainable health village bank women's health
Behind the scenes: Stories from the field
by Evonne Liew, marketing and communications officer, Global Partnerships
Global Partnerships' marketing and communications team recently traveled to Central America to capture interviews, photos and videos. This is the first of several "behind the scenes" stories from the trip. In this post, the team visits an off-grid community to interview a client whose life has been improved through obtaining access to solar lights.
Don Roberto, our driver, stomps down on the accelerator but our car continues to roll downhill. We've lost traction on the steep road to El Aguacate, a remote village perched on top of a mountain in Boaco, Nicaragua. We need to get there to interview Maritza, a client of Global Partnerships' partner, MiCrédito. I begin to worry that we won't make it.
Thankfully, Don Roberto manages to get the car going again. It whines the whole way up, filling the interior with burnt rubber fumes. When we arrive, Maritza welcomes us to her modest home, which consists of two main wooden buildings with dirt floors. We learn that the community has no running water, electricity or a sewage system. But through Global Partnerships' partner MiCrédito, Maritza and her family now have access to solar lights, fulfilling a crucial basic need for her family.
Despite living in difficult conditions, Maritza, 62, is extremely upbeat. Without hesitation, she latches on to my wrist and pulls me around, proudly introducing me to family members. I learn that Maritza has been married to her husband Diego for 44 years. Together, they have 13 children, 27 grandchildren and four great-grandchildren. The men work on the family farm, which is a two-hour walk down the road.
They cultivate beans, corn and other crops on 40 manzanas of land (approximately 138 acres). They also own about 60 cattle. While this may sound like a lot of resources, they have an enormous family to provide for.
After the introductions, our team splits up to film and photograph what daily life looks like for Maritza and her family. At one point, Maritza takes me to see the stunning view behind her home: a sea of green hills in every direction. It's here that I meet some of her neighbors. I explain that we're capturing the story of Maritza and her family's use of solar lights. Then I ask if they use solar lights too. One neighbor says he does. Another says she would like a solar light but thinks they are too expensive. She and her family still use candiles—modified tin cans filled with kerosene. Candiles emit dim light and toxic fumes. They are also expensive; the neighbor explains that she spends about 400 córdobas (about 14 USD) per month on kerosene. She's unaware that the small solar lights offered through our partner MiCrédito cost about 1,500 córdobas (about 55 USD) each. Four months of kerosene costs could pay for a solar light with a lifespan of five years. That is five years of bright, smoke-free light that enables families to be productive at night and save hundreds of dollars in kerosene costs.
Maritza tells me that about one year ago, she took out a loan from MiCrédito to purchase three Sun King Pro solar lights (manufactured by GP partner Greenlight Planet). Fully charged, they provide between six and 30 hours of light, depending on which of three brightness settings is used. The lights can also charge cellphones, enabling Maritza and her family to save money on cellphone charging costs too.
To film the solar lights in action, we stay until after dark. Soon after 6:00 p.m., the sun sets and it quickly becomes pitch black. It's easy to understand why Maritza and her family used to go to bed shortly after sunset. The crew and I turn on our headlamps, while Maritza proudly uses one of her three Sun King Pros to light her kitchen to cook dinner for the family.
After dinner, one of Maritza's daughters shows us how the Sun King Pro provides ample illumination for her to sew at night. While she works, she explains that she makes all kinds of designs—from table cloths to clothes—whatever her customers ask for. Her sewing has brought in vital additional income for the family.
Some of the children show us how they use the Sun King Pro to do their homework. It used to be difficult to study because the wind would blow out the candiles. Now, sometimes even the neighbors' kids come over to Maritza's house to study.
At one point I walk to the car to get something and place my hand on a rock wall to find my way. Someone tells me to stop doing that. They tell me that several weeks ago a man was bitten by a poisonous snake after doing the exact same thing. I retract my hand immediately and think about the toilet that I used earlier—an open-air rock field behind Maritza's home. I imagine using it in the dark with snakes slithering around and gain an even greater appreciation for the solar lights.
After we finish our visit, I reflect on the day during the drive back to our hotel. It's clear that a solar light by itself is not going to lift Maritza and her family out of poverty. But they now have opportunities to work and study at night if they choose to, and they save money. Additionally, Maritza and her family can stay up until 9:00 or 10:00 p.m. chatting with one another. After all, spending quality time together after the work day is over is important too.
By investing in social enterprises like MiCrédito, Global Partnerships expands opportunity for millions of people who deserve the opportunity to succeed. Maritza's story is just one of hundreds we have heard over the past two decades. Stories like hers keep us inspired to continue finding market-based ways of delivering opportunity to those who need it most.
Finding Inspiration in Peru
by Peter Solar, donor relations officer, Global Partnerships
As Global Partnerships' Donor Relations Officer, I have the unique opportunity to plan our twice-yearly Impact Journeys. It was just a few months ago that I returned from Guatemala, where I took a group of GP donors and investors to witness the work of GP's partners firsthand. We ventured across rough roads, traveled in small ferry boats and rode in the backs of pick-up trucks to meet microentrepreneurs, visit their businesses and attend spirited village bank meetings. Now, I'm on the road again, this time with a new group of travelers, headed to Peru. I am excited to venture off the beaten path again to show our travelers firsthand how Global Partnerships' and our partners' work has real, meaningful impact at the household level.
Our first stop is the dusty Cayma neighborhood on the outskirts of Arequipa, Peru's second largest city wedged between towering volcanoes in the Andean desert. We are about to meet Gerarda and her husband Clemente, a couple who have been making and selling ice cream for more than 40 years.
Gerarda, who owns the ice cream business, is a member of ADRA Microfinance, a GP partner organization that serves primarily women in peri-urban areas who experience high levels of income inequality. ADRA provides women like Gerarda with access to working capital and brings them together in village bank settings that promote solidarity and serve as a channel to deliver additional services like access to savings, business and financial literacy education.
When we first meet Gerarda, she greets us with a gracious smile. She seems laid-back and relaxed, but when she speaks, her voice is firm and business-like. Clemente arrives moments later, pedaling a cream-colored bike cart, his smile widening as he approaches us. He is more soft-spoken than Gerarda, but he is clearly excited about our visit, rubbing his palms together as soon as he gets off his bike cart and waving us toward the couple's home.
They lead us down a steep road and into a tight, shaded alley that shields us from the searing heat of the Peruvian sun. We enter their brick house from the back and walk into the cool, dark room where the ice cream is made. We gather around the ice cream machine, a rectangular box the size of a chest freezer, its vivid blue paint peeling off around the corners.
"The machine is for the most part a freezer," explains Clemente. The freezer unit is attached to a spinning pot where the couple pours a homemade liquid ice cream mix. "Chocolate and lemon are the most popular flavors," laughs Gerarda. Once the pot starts spinning, the machine blasts it with freezing air, while the couple makes sure the layers of ice forming on the sides of the pot are returned to the mixture as it thickens and turns into ice cream.
Clemente explains that the ice cream machine was a big investment, but one that has paid off: They sell a cup of ice cream for two soles, or about $0.70 USD, and take home about 100-120 soles, roughly $30-$40, every day.
Selling ice cream has become more than just a business; with ADRA's guidance, it has helped the couple improve their lives. They have been able to set aside money for an emergency fund to cover existing loans, save a bit for retirement and consider expanding their business. "[ADRA] encourages us, they offer good advice on managing profits, and they bring people together in village banks to think about new ideas and discuss business challenges," says Gerarda.
Gerarda tells us that one of the couple's business challenges is distribution. Although both she and Clemente are in good health, selling ice cream from the bike cart limits them to only a few surrounding neighborhoods and Gerarda is thinking of purchasing a used car. She already has a model picked out and she is optimistic that she can make it happen with her village bank's guidance.
When we ask about family, Gerarda and Clemente talk about their six children with pride. They were able to send all of them to school with money made from selling ice cream. One of their daughters is a nurse; others are working professionals. But the conversation turns somber when the couple tells us about one of their sons who passed away not too long ago. "He used to come along every day and help us make ice cream," says Clemente as he firmly grips the side of the ice cream machine. "Our business and community is our source of strength and it keeps us going," he adds.
Both Gerarda and Clemente repeatedly tell us they feel proud and grateful for a visit from so far away. "We are encouraged to know there are so many people standing beside us in solidarity and we are humbled that you will be sharing our story with your friends and families," says Clemente and invites us outside for a cup of ice cream with a warm smile curling below his mustache.
We go back up the steep hill to where we met the couple earlier and gather around the ice cream cart. Clemente opens up the refrigerator lid and starts serving ice cream—the raspberry sorbet with swirls of mango ice cream I had was truly refreshing in the scorching desert heat. A small hatchback zips by and Gerarda points at it, "This is it! This is the car I want." The entire group erupts in cheers, everyone feeling uplifted by her entrepreneurial spirit.
A local stops by to purchase ice cream and we say our goodbyes, wishing Gerarda and Clemente strength and luck as we board the bus to continue our journey.
This is Peru as few visitors know it and these are the kinds of remarkable people we have the privilege to meet on our Impact Journeys, learning about their successes, challenges and dreams. We make friends along the way and return home with a deeper understanding of the promise market-sustained solutions hold for communities living in poverty.
To learn more about Global Partnerships' Impact Journey program, or to sign up for our next trip, click here!