The loan also improved the prospects of Joyce's three children considerably, enabled her sister to study for a doctorate and created local employment.
Seven years later, Ms Fawukho employs more than 20 people in her hardware business, says Ms Iskenderian, visibly delighted in recounting Joyce's story.
"This is one of the most exciting parts," she adds. "The 26th person she has hired is her husband. He had left to work in another village as a policeman.
"Microfinance can help women, but it can also reunite families."
It may be just one Kenyan woman's story, but it makes a wider point about how small-scale loans can empower women.
The Women's World Bank has a network of microfinance institutions helping women on low incomes.
Local organisations can provide support, advice, technology and even space to help nurture a project.
Ms Iskenderian, who spent 17 years at the World Bank's International Finance Corporation (IFC) and has also worked for investment bank Lehman Brothers, talks about how enjoyable it is to meet the women who have secured loans.
Helping women in business activities - whether they want to open a hardware store, sell solar panels or buy livestock - is only part of the story.
It also gives them to chance to put money aside.
"Saving is a huge problem," says Anton Simanowitz, a socio-economist at the Institute of Development Studies (IDS).
One of the most striking aspects of these small loans is the reliability of the borrowers.
Repayment rates in certain micro-credit organisations are about 95%.
What distinguishes men and women when they borrow small amounts is how they choose to spend it, says Ms Iskenderian.
When women are the recipients of microfinance loans, they spread the money around, so the children and the household tend to benefit more.
