Mohamed Ali is 25 years old. He studies at the University of Hargeisa faculty of Business Administration. His main problem is the lack of a laptop to use in his studies. Ahmed requested Kaaba MFI to provide him a laptop as a loan. Kaaba accepted his request as he fulfilled Kaaba's loan policy. Kaaba will provide him the laptop as a loan, which he will repay in monthly installments. After university, Ahmed hopes to work as an accountant.
More information about this loan
This loan is part of Kaaba Microfinance Institution's effort to provide young students and recent graduates with laptop computers, and will be used to provide borrowers with computers, as opposed to cash or financial credit. Kaaba is the only nonprofit microfinance institution currently operating in Somaliland, a semi-autonomous region located within Somalia that is not recognized by other countries. Laptops are very difficult to obtain in Somaliland because the local economy has been severely impacted by civil conflict. By funding this loan, you are helping Kaaba bring computers from outside Somaliland and provide them to young clients on credit.
Kaaba has developed loan products in alignment with the cultural context in the primarily Muslim area it serves. To avoid charging interest -- which is opposed to Islamic law -- the organization purchases laptops for its borrowers and sells them at a slight markup ranging between 1.3% and 8% per month, proportional to the term of the loan.