KMBI’s history began in a small church choir room in 1985 as a church-based credit program with only one worker and a six square-meter work area.

From an informal set-up, Kabalikat para sa Maunlad na Buhay, Inc. was formally registered on 27 November 1986 as a non-stock, non-government development organization. KMBI worked with an initial capitalization of PhP132,000.00 (US$ 6,480.00). During its early operation, KMBI assisted 37 microentrepreneurs through loans and provision of cash management training to 20 microentrepreneurs.

KMBI started expanding its operations in Southern Mindanao in 1999, standardized its structure and system of operations in 2002, further expanded its Mindanao and Luzon operations the next two years. By 2005, KMBI launched its micro-insurance program in response to the growing needs of its clients.

On its 20th anniversary on October 2007, KMBI held the Microentrepreneurs’ (ME) Summit in Araneta Coliseum that was attended by some 9,000 clients. Another summit was held the following year, this time held in South Cotabato in Mindanao and was attended by some 5,000 clients. On the same year, ENTREP or Entrepreneurial Nurturing through Transformation, Re-formation and Empowerment Program was conceptualized by executive director Edgardo Mercedes. It was implemented as the flagship program in facilitating holistic transformation interventions for program members.

At present, KMBI is operating all over the Philippines through its 61 branches facing the bigger challenge of expanding to reach 250,000 Filipino households by 2011. With its three-pronged intervention through the ENTREP, KMBI envisions a more vibrant poverty-alleviating action in the Philippines.