Microfinance – Child Poverty NZ Solutions

Did you know that over 1 in 4 Kiwi kids lives in poverty? That’s 270,000 children. Enough to fill our biggest rugby stadium five and a half times.

Many families living in poverty have little or no access to affordable credit when they need it. Imagine having to resort to borrowing from a loan shark if your fridge or washing machine broke down. Its sad that for some Kiwi families a simple thing like a broken appliance can leave them with a spiralling debt problem for months and years. But it doesn’t have be this way

(Business) Partnerships between the government, banking sector and community groups, could offer modest, low or zero interest loans, mortgages, insurance and debt consolidation to those families who need it the most.

In other countries, these partnerships are called social lending or micro-finance systems. Social lending fills the gap between banks and loan sharks, so that less families get caught with spiralling debt, trapped in poverty.

Let’s stop low income families falling prey to high interest rates and through roll out social lending schemes and a national programme to increase financial literacy. In the end, all New Zealanders will benefit.

Written & voiced by Siouxsie Wiles.
Recorded by Richard Smith.
Commissioned by Jilly Evans.
Animated by http://MohawkMedia.co.nz

Published under Creative Commons – BY-NC-SA (Attribution – Non Commercial – Share Alike) License.

This is the third in a series of animations launched at the workshop ‘Investing In Our Nation’s Kids Solutions to Child Poverty in New Zealand’ (http://tinyurl.com/cy9rlpo) in March 2013. The statistics and recommendations are drawn from the report to the Children’s Commissioner on Solutions to Child Poverty in New Zealand: http://www.occ.org.nz/publications/child_poverty

Leave a Reply

Your email address will not be published. Required fields are marked *