April 26, 2007 (LBO) – Islamic Financier Amana Investments Limited has introduced a new microfinance scheme for micro-entrepreneurs who cannot afford conventional banking. The company has joined hands with Muslim Aid, a UK-based NGO that will help provide skills training to entrepreneurs.
We target small entrepreneurs who cannot access banking and uplift them to a level that they can grow into a bankable proposition, said Faizal Salieh, Managing Director of Amana Investment Limited.
Doing microfinance alone is not sufficient to lift the standards of the community.
Provisional finance and risk assessment will be covered by Amana and Muslim Aid will bring in a network of partners and skills training to the entrepreneurs.
The pilot programme with an initial investment fund of 1.5 million rupees will be undertaken in Slave Island with 20 entrepreneurs chosen from 1,000 applicants.
The company expects to introduce two products, ˜Murabaha’ and ˜Mudaraba’, with two different approaches toward the small entrepreneurs.
Murabaha will provide the entrepreneur with assets where the company buys the asset and sells it to t