Kiva conducts regular, ongoing monitoring of all Field Partners, but only posts status updates here in response to relevant, major changes at the partner.

August 2020 Update:

Kiva continues to be saddened by the August explosion in Beirut. For an update on how we, and our partners, are responding, please see our blog post here.

July 2020 - COVID-19 Update:

This message is a follow-up from our February 14 status update below. Prior to the on-going COVID-19 pandemic, Lebanon was already facing a political and economic crisis, which began last year. Both of these events have contributed to the challenging situation in Lebanon currently. Like many other countries, Lebanon imposed a nation-wide shutdown, as well as a temporary moratorium on loan payments which not only affects microfinance, but the economy as a whole. As a result, Ibdaa has experienced difficulty collecting loan repayments due to the aforementioned restrictions or fallout effects of the virus.

Beyond COVID-19, capital controls (put in place by banks at the start of the economic crisis in November) continue, preventing all outgoing transfers of US dollars. This means that our partners remain unable to remit repayments owed to Kiva lenders. Kiva continues to be in close contact with Ibdaa and we are confident they are managing the challenging situation as best they can. We thank lenders for their understanding of the current state of Lebanon during this time. We will post additional updates as we have them.

Status update — February 14, 2020

The recent unrest in Lebanon, beginning with protests and leading to the fall of the government, has greatly impacted the operations of our partners in the country. The economic implications have been significant, including capital controls put in place by banks which prevent all outgoing transfers of US dollars. As a result, our partners are currently unable to remit repayments owed to Kiva lenders. Kiva is in close contact with Ibdaa and we are confident they are managing the situation as best they can, but until the situation improves Ibdaa will not be posting loans to Kiva. We thank lenders for their patience during these challenging times in Lebanon.

Partner Description:
 
Ibdaa Microfinance is an initiative of the Arab Gulf Fund (AGFUND) aimed at reducing poverty and unemployment in Lebanon. Ibdaa targets marginalized communities, women, entrepreneurs and youth. 
 
Among the populations Idbaa targets are displaced Syrian and Palestinian refugees. Lebanon has been experiencing an influx of Syrian refugees who are escaping the violent conflict in neighboring Syria. The refugees add to Lebanon’s economic instability as they struggle to obtain jobs. Palestinian refugees are also a highly marginalized part of the Lebanese economy. They are forced to live in refugee camps and face many job restrictions. Ibdaa’s loans will serve these vulnerable refugee communities and help stabilize Lebanon’s economy.
 
Unique Lending Approach:
 
Kiva funding is used primarily for Ibdaa’s borrowers who are Syrian refugees, Palestinian refugees and youth with startup businesses. The loans are given to Syrian and Palestinian refugees who are working or have established businesses, and women borrowers are prioritized.
 
The loans that Ibdaa offers to Syrian refugees are group loans (three per group), while those offered to the Palestinian refugees and youth startups are individual loans. The youth startup loans are particularly unique in that they will also include business development services, on-the-job coaching and mentoring to help young entrepreneurs successfully launch their businesses.
 

Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Jul 10, 2014 Oct 12, 2005
Total Loans $3,028,225 $1,451,478,700
Amount of raised Inactive loans $0 $1,225,950
Number of raised Inactive loans 0 246
Amount of Paying Back Loans $1,074,900 $148,369,975
Number of Paying Back Loans 1,111 169,375
Amount of Ended Loans $1,953,325 $1,301,882,775
Number of Ended Loans 1,766 1,706,896
Delinquency Rate 89.62% 21.61%
Amount in Arrears $545,746 $20,695,832
Outstanding Portfolio $608,781 $95,757,787
Number of Loans Delinquent 1,111 72,467
Default Rate 0.58% 1.73%
Amount of Ended Loans Defaulted $11,333 $22,469,414
Number of Ended Loans Defaulted 26 54,461
Currency Exchange Loss Rate 0.00% 0.40%
Amount of Currency Exchange Loss $0 $5,838,315
Refund Rate 4.45% 0.63%
Amount of Refunded Loans $134,700 $9,156,125
Number of Refunded Loans 157 8,490

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 74.33% 76.69%
Average Loan Size $1,041 $395
Average Individual Loan Size $1,043 $610
Average Group Loan Size $1,000 $1,774
Average number of borrowers per group 3 7.8
Average GDP per capita (PPP) in local country $15,800 $5,729
Average Loan Size / GDP per capita (PPP) 6.59% 6.89%
Average Time to Fund a Loan 17.16 days 7.45 days
Average Dollars Raised Per Day Per Loan $60.66 $53.02
  Average Loan Term 14.08 months 11.37 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 724 912,350
  Journaling Rate 24.29% 43.89%
  Average Number of Comments Per Journal 0.00 0.03
  Average Number of Recommendations Per Journal 0.00 0.70

Borrowing Cost Comparison (based on 2016 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 40% PY 32.00% PY 25.38% PY
  Profitability (return on assets) 4.8% -13.5% -1.40%
  Average Loan Size (% of per capita income) N/A 11.00% 12.34%

Country Fast Facts

Field Partner Staff

Rawan El Fil
Manale Haddad
Wadad Mogharbel
Malak Zeineddine