Ahmed is 37 years old, a married man who has six children and lives in Sana`a, Yemen. He has six years of experience in tailoring then selling men's clothing. He is able to choose appropriate merchandise because he has good taste.
He chose this business because it is very profitable and he has gained permanent clients over the years. He is friendly, polite and always gives a discount. He lives in a rented house which is expensive. He says the secret of his success is his shop's location, in the central bazaar.
Ahmed`s monthly income is not enough to cover his family's needs so he has applied for a loan of 100,000 YER from AMB to purchase men's fabrics in order to stitch trousers and shirts. He will use this loan to purchase new merchandise and diversify.
In the future, Ahmed would like to open branches of tailoring shops in all provinces of his country as well as have a house of his own.
About Al-Amal Microfinance Bank
Al-Amal reaches out to low-income micro-entrepreneurs and small business owners in Yemen with a suite of credit, savings, and insurance products tailored for Muslim borrowers. Before lending through Al-Amal, please consider the following:
1) Due to ongoing security concerns, full due-diligence of Al-Amal was conducted remotely rather than on-site. This makes Al-Amal atypical among Kiva's Field Partners, as Kiva staff have not conducted an on-site assessment. Al-Amal's assessment included in-person meetings with the top management in other, more secure locations in the Middle East.
2) Because Yemen is a new and unstable environment, there is a possibility that future loan repayments could be held indefinitely in the country for regulatory reasons, even if individual borrowers pay back their loans. As a lender to borrowers in Yemen, you accept this additional risk.
Additionally, all of Al-Amal's products are Sharia compliant and customized for its Muslim clients. Most of the loans are structured as Murabaha interest free loans. Al-Amal purchases goods for its borrowers and charges them a markup or fee. Al-Amal is also experimenting with Ijarah loans (an Islamic leasing product). For more information on Islamic microfinance, please click here.