Established in 1985, Fundación Paraguaya is a social enterprise that promotes entrepreneurship and provides services aimed at helping people overcome poverty. Microfinance provides small loans to poor people who are excluded from the formal banking sector. The loans offer the opportunity for poor people to grow their businesses and secure basic necessities. Fundación Paraguaya loans primarily to women and uses a group-based model where women who receive loans are part of a committee that is responsible for each individual member repaying their loans. At these committee meetings, Fundación Paraguaya offers educational lessons designed to help women manage their loan resourcefully.