Loan Illustration

As a refugee living in Lebanon, I am working hard to provide my family members with a decent living. I have been working in selling plumbing spare parts for th…

Trade Selling hardware

Lebanon Lebanon

Loan amount €2,840

Funded 100%

by 29 members

Funding disbursed to MFI, repayments ongoing

Disbursement date: 03/01/2017
Final repayment of the loan: 03/01/2018

ENGIE by MicroWorld's investors have funded: €2,840

Mahmoud - Purchase materials

Borrower

First name: Mahmoud
Gender: Male
Age: 49
Marital status: Married
Number of children: 4
Region: Beirut
Main activity: Sales / Retail / Selling hardware

Loan Request

Purpose: Purchase materials
Amount: €2,840
Duration: 12 months
Loan type: in fine
The loan is reimbursed in one installment at the maturity date of the project (principal and possible interests).
Note: additional time may be necessary for the funds to be credited on the lenders' accounts due to delays in international transfers.

Borrower's quote

As a refugee living in Lebanon, I am working hard to provide my family members with a decent living. I have been working in selling plumbing spare parts for the past eight years, putting so much effort on increasing my business capital and diversifying my merchandise so that my customers can find everything they might need in one place. Through this loan I will make sure to purchase new released paints as an additional income business, hoping that one day I can manage having a retail business selling construction materials.

Economic and social context

Lebanon

Lebanon

The Lebanese terrority, which is half as small as French Britanny, is composed of an unmatched variety of landscapes, including sunny Mediteranean shores, snowy mountains with the country's famous cedar trees, deserts, and flatlands.
Country's key figures - source Worldbank
Population 4 223 553
GNI per capita 7 970 USD
Economic Growth 8,00%
Poverty rate (less than 2 USD/ day) No data
Unemployment rate 8,1%
Literacy rate (above 15 years of age) 90%
Life expectancy 72 years

MFI Status

This loan is managed locally by our field partner Al Majmoua which is in charge of administrating the loan and repaying ENGIE by MicroWorld lenders.

You should be aware that lending involves a risk of non-repayment. However, the risk associated with this MFI is considered lower than average.

Rates and transparency

  • This loan is at 0% and does not pay any interest to the lender.
  • The MFI will reimburse the lender in case of default of the entrepreneur but there is no guarantee or insurance given by the MFI.
  • 100% of the money collected is sent to the MFI, even if the project is not fully funded on the site.
  • The MFI then makes a loan to the micro-entrepreneur and charges an interest rate in order to cover its operational and financial costs.
  • The platform earns a commission from the MFI for the service it provides, which helps to fund its running costs.
  • More effective than a simple donation, micro-credit promotes long-term sustainable economic development rather than short term help.

The MFI

Al Majmoua

Al Majmoua

Al Majmoua, the Lebanese Association for Development is an independent, non-profit Lebanese NGO. Al Majmoua, which means "The Group" in Arabic, was established in 1998 as a microfinance program for women with low incomes, initiated by the US organisation Save The Children. Currently, Al Majmoua offers group, individual loans, and free non-financial services for business development, product improvement, marketing, networking, and personal development to its borrowers and non-borrowers.

Key figures - 31/12/2014
Legal StatusNGO
Number of Borrowers48,708
Portfolio Size$41,395,838
PAR (Portfolio at Risk)0.72%
R.O.A (Return on Assets)10.59%
Active clientsFigures
Percent of women55%
Percent of youth32%
Percent of non-Lebanese16%
People located in rural area43%
Social indicators
Average amount / GDP per capita (Accessibility for the poorest)85%
Percentage of women borrowers (women's economic empowerment)43%
Savings accounts opened by customersNo (due to legal status)
Guarantees required to access a loanThird party deposit
Loans for social purposesHousing, post-conflicts reconstruction