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Microfinance and HIV/AIDS

Over 40 million people worldwide are living the HIV/AIDS virus, and 15,000 are newly infected every day. The consequences are exponential, touching not only those infected with HIV/AIDS, but also depleting the economic and social resources of entire families and communities. In countries heavily affected by HIV/AIDS, microfinance institutions (MFIs) and the donors that support them are struggling to combat the impact of the epidemic on clients and MFI institutional viability.

Affected households can use financial services as one way to protect and build their economic resources. Launching a financial intervention specifically to target persons with AIDS, however, would not be appropriate, given that financial services depend on the on-going ability of clients to earn income. MFIs that operate in hard-hit regions can serve the families and supporters of infected people and can benefit by planning for the institutional risk posed by HIV/AIDS. They can also build effective links to specialized providers of health and insurance services.

Sub-topics: Funder Guidance