Al-Baraka launches microfinance loan

Program targets rural areas, poorest classes

Al Baraka Bank Lebanon and IFS Investment Funds Securities launched their Islamic microfinance program ‘Al Baraka Mehnati’ to encourage the development of productive projects in the fields of industry, agriculture, or craftsmanship.

The program targets small companies composed of four employees or less. This includes already established companies or soon-to-be-established ones. It also targets self-employed individuals and employees.

“This program will help many youths, self-employed, and artisanal workers, translate their ideas into profitable projects that contribute to the growth of the national economy and support their living standards,” said Mutassim Mahmasani, General Manager at Al Baraka Bank Lebanon.

The amount of each loan granted will range between $500 and $1,500 without interest rates. About 40 delegates will be distributed among different regions to promote the program and its benefits.

Antoine Saade, General Manager at IFS Investment Funds Securities, said that the program targets mainly the poorest classes in rural areas, including people that don’t usually ask for financing solutions. “It will reduce rural exodus by stimulating people to stay in their lands, and encouraging the growth of the agricultural sector and other activities,” he said.