It aims at documenting and transferring accumulated experiences from Jordan and Yemen and replicate them in the Banks for the Poor which are currently under establishment - The unit has the experience and knowledge required to prepare legal, technical and financial studies and documents to get the permits for lending banks to exercise their activities, theoretical and hands-on training as well as the institutional building of the Banks for the Poor - Through the unit, AGFUND managed to set up Banks for the Poor at a cost which was 25% less than other financial institution, a timeframe that was 25% less and a financial and operational sustainability of 200% more compared to other financial institutions. - The unit is providing technical support services to Bahrain, Syria and Sierra Leone.

 AGFUND credit facilities

 Microfinancing, in its modern concept, has become a new industry in the region. Yet, the lending institutions which represent the backbone of this industry suffer from the lack of timely financial facilities in order to meet the needs of their clients. Therefore, through its credit facilities, AGFUND thought of entering into this new field and to crown its efforts in combating poverty and support its role in corroborating the microfinance lending mechanism via supporting the microfinance lending industry in the Arab world. The idea of this initiative rests on providing credit facilities to AGFUND existing and new banks, as well as other lending institutions in the Arab world by offering various and competitive financing products which meet the needs of the operating Banks for the Poor and microfinance lending institutions in the Arab world in order to bridge the tremendous gap between supply and demand on these products

Future of facilities

 Within the next five years, it is expected that AGFUND credit facilities shall fulfill the following results:

- Provide around 75 loans to existing microfinance lending banks and institutions at an average of 3 loans per year, out of a total of a total number of 24 microfinance lending banks and institutions

 - It is expected that out of them, 7 or 8 loans shall be provided to the Banks for the Poor established by AGFUND or those which are still under establishment.

 - By the end of 2015, it is expected that that the portfolio of these facilities would reach a total of US$105 million.

National Bank -ordan           www.nmb.com.jo 
Amal Bank -Yemen             www.alamalbank.com 
Innovation Bank - Bahrain    www.ebdaabank.com 

Banks for the poor (Syria, Sierra Leone) under construction