PERU: Microbusiness Helps Women Weather Crisis

PERU: Microbusiness Helps Women Weather Crisis: "n Peru, the impact of the global crisis has led to a plunge in exports, spending cuts and a rise in social tension, especially among the poor.

Against that backdrop, microfinance takes on a special importance because it channels funds into keeping afloat small businesses, which are a lifeline for the lowest income sectors, said Arenaza.

In Peru, which has an economically active population of 10.6 million people, 35 percent of whom are women, there are an estimated three million microbusinesses, which by definition employ five or less people.

Microloans are mainly granted in developing countries, fomented by government policies, local and international NGOs, and regulated financial institutions."