Shakeela is a seamstress; she sews clothes for her neighboring clients. She is very skillful and receives a good number orders every month. The income she earns helps her to pay her utility bills. She has given birth to a son and a daughter, but due to financial constraints, she couldn’t educate her children. Her husband sells decorative items, sceneries (pictures of beautiful places), at different shops in the market. Shakeela has applied for a loan from KIVA partner Asasah to further improve her husband’s business. With the loan investment he will buy sceneries to sell for a profit. He has been operating his business for many years and Shakeela is hopeful that the loan will help her husband further his business.
More information about this loan
Asasah offers products that are customized for its Muslim clients. This Qard Hassan product loan. also referred to as Qarz-e-Hasna (Al-Madad) in the Urdu language, is an interest free loan, usually offered to students or the very poor. For more information on Islamic microfinance, please click here.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva's Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower's loan. The other members of the group are not required to use their loans for the same purpose.