Osan is 24 years old, married, and has one child. He and his family live in Sana`a, Yemen. He started his business by buying a small photocopier, and then he bought many copiers for his store. He has a lot of time to dedicate to his business, and many people prefer his business because he is honest and hard-working. Osan has many ideas for his business that he’s been implementing little by little. He’s been able to keep his business active for many years. Lately, he has been thinking about stocking his store with a larger variety of products to attract more customers and fill demand. This idea was the impetus for requesting a youth loan of 150,000 YER from AMB to buy a variety of products like document paper, books and other articles that would bring in customers. He hopes to have a big stationery shop, thus improving his family’s quality of life.
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.