Grameen Foundation : Where we work : Middle East / North Africa : Lebanon : Al-Majmoua
Al-Majmoua
| Status snapshot as of March 2008 | |
| Active clients | 9,573 |
| Loan portfolio (USD) | $7,973,666 |
| Portfolio At Risk >30 days* | 3.3% |
| * Value of all loans outstanding that have one or more installments past due more than 30 days | |
The Lebanese Association for Development “Al-Majmoua” began as a spin-off from Save the Children, financed by a grant from USAID in 1998. The Association is registered with Lebanon’s Ministry of The Interior as a “non-political and non-profit-making association”.
Al Majmoua is a leading provider of microfinance in the country, with seven field offices distributed throughout the country. It extends loans in markets where other institutions do not, including Palestinian refugee camps. It also offers loans to other foreigners with refugee status who are unable to obtain traditional financial services.
Although Al Majmoua began its operations under a strict group lending methodology (majmoua means “group” in Arabic), it has more recently expanded into individual lending. Individual loans range from 500 USD to 7,500 USD made to micro entrepreneurs who demonstrate a viable business plan. Group loans (with an average of five members) range from 200 USD to 1,800 USD and have a repayment period from four to eight months. There are currently approximately 1,600 Group Loan clients. Approximately 75% of Al Majmoua’s active clients were involved in the Individual Loan program as of the end of 2006.
Outreach:
Portfolio at Risk skyrocketed to nearly 70% in the month following the Israeli attacks, as business halted for many of its clients. Al Majmoua reduced its Portfolio at Risk > 30 days to below 8% by the end of June 2007. Al Majmoua has a loan portfolio of over 7.9 USD, with over 9,500 active clients as of March 2008.
Al Majmoua reached operational sustainability in 2003, and financial sustainability in 2004. It has a strong portfolio and cash position despite the effects of the war last summer, which resulted in an estimated 750,000 USD loss in revenue.
Grameen Foundation support:
Al Majmoua is one of Grameen-Jameel’s most recent partner additions, joining in June 2007. It received an 187,000 USD loan for its group poverty loan program that was funded by Mosaic Foundation. It also participated in a SEEP training session run by Grameen-Jameel in June.
Grameen Foundation : Where we work : Middle East / North Africa : Lebanon : Al-Majmoua
Grameen Foundation uses microfinance and innovative technology to fight global poverty and bring opportunities to the world's poorest people. With tiny loans and financial services, we help the poor, mostly women, start businesses and escape poverty. Our global network of 55 microfinance institution (MFI) partners including our Growth Guarantee partners has touched more than 34 million people in 24 countries. In addition, we introduced and now sustain technology initiatives (Mifos and Village Phone) in Cameroon, Kenya, Rwanda, and Uganda, bringing our total country outreach to 28.
+1-202-628-3560 www.grameenfoundation.org
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