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Newsletter - March, 2020


The Challenges of Running a Taxi Service
March, 2020

Assuredly, I say to you, inasmuch as you did it to one of the least of these My brethren, you did it to Me." Matt. 25:40

Published by the Society of the Good Shepherd, P. O. Box 122, Amberson, PA 17210. (717) 349-7033



When He was speaking about the necessities of life, Jesus promised, “Seek first the kingdom of God and his righteousness, and all these things will be added to you” (Mt. 6:33). Rafael Argueta is a Christian brother who has sought to put the kingdom first in his life. He and his wife Nancy have been instrumental in helping to plant a church in a town near Siguatepeque. They work closely with the pastor of this church and host a small group Bible study in their home every Monday night. In three years this new church has grown to 80 members.

Honduras microloan God’s promise to meet the needs of committed Christians does not mean that things will always be easy. Nor does it mean that we do not have to do our part to work through challenges in our lives. For several years, Rafael had worked in the management of a business, but five years ago he was laid off. Nevertheless, during the time he was employed, Rafael had budgeted his income carefully and had been able to save up some funds for emergencies. So after he was laid off, Rafael purchased a used taxi cab, along with a taxi registration number. In Siguatepeque, the municipal government regulates the taxi industry and allows only 400 licensed taxis. In order to drive a taxi, a person has to purchase one of the 400 registered numbers. Rafael obtained registration number 219, which number is painted on the side of his taxi.

Honduras microloan For a few years, things were going smoothly for Rafael in his taxi business. Then last year, disaster struck. Rafael’s taxi broke down, and he learned that he was going to need a new engine. He had used up his savings in order to purchase the taxi and a taxi registration number. So Rafael was in a dilemma. He and his wife Nancy prayed about the matter, and before long someone told them about the ministry of the Society of the Good Shepherd. Rafael applied for a loan to purchase a rebuilt engine for his taxi, and the Society granted him a $1200 interest-free loan. The loan paid for a rebuilt engine, and he is now up and running again.

Anyone who has visited Siguatepeque has no doubt noticed that the taxis cruise up and down the streets of the city all day long, looking for customers. (Most customers do not phone for a taxi.) Since gasoline costs more in Honduras than it does in the States, a person has to wonder how the taxi drivers can possibly make a profit with all of the driving they do. After all, they charge only $1.25 to take someone anywhere they want to go in the city. And no one tips. Rafael averages about 25 customers a day. Most of the customers get a taxi to go downtown or to the nearby open market. The same customers later hire a taxi to return home.

Honduras microloan Driving a taxi in Honduras would probably be unprofitable were it not for the fact that most of the taxis do not run on gasoline. Back in 2013, the Honduran government launched a program to convert taxis over to LPG (liquified petroleum gas). The cost to convert a four-cylinder engine is only $1000, and this cost is fully subsidized by the government and by Tropigas, a supplier of LPG. Using LPG, a taxi can cruise all day long for only $8.00 in fuel costs. In addition, LPG reduces harmful emissions. In Siguatepeque, taxis fill up at a special station that features LPG gas.

With his taxi business, Rafael is able to support his family and keep his taxi maintained. Nevertheless, he still faces many challenges. One concern is a new service in Siguatepeque that uses couriers on motorcycles to bring groceries and household items to people’s homes. This service costs half of what people would pay to take a taxi to town and back. Another challenge is the increasing number of households with vehicles. Many wrecked vehicles are being imported from the United States. These cars are fixed up in Honduras and sold at affordable prices. So now more people than ever own their own vehicles and do not need to hire taxis.

Honduras microloan Rafael is confident that God will see him through these challenges. Nevertheless, he asks for your prayers as he faces these hurdles. He also wants to thank the donors who made his loan possible.
Julie Nyhoff

The Society of the Good Shepherd, P. O. Box 122, Amberson, PA 17210 • (717) 349-7033


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100% of all donations go to the designated work in Honduras. We pay our own overhead and travel expenses. All loans made are interest-free. The Society of the Good Shepherd is a non-profit 501(c)(3) organization. All donations are tax-deductible.