The Yemen Microfinance Network (YMN) organized a workshop targeting the banking sector in Yemen was held on the 19 th of November. The workshop which funded by SFD and aimed to introduce microfinance ( MF) industry and its developments since the initiation of its activities to the banking sector in order to engage them in MFactivities as MF becoming a key aspect in the economic development of the country. This workshop was attended by several representatives and senior managers from the banking sector including the Central Bank of Yemen.
The YMN Chairman Mr. Mohammed Allai described the milestones that MFhas achieved and how it has developed since its establishment. MF has become an integrated sector in the economy. However, despite all the development and growth, the MF sector still requires a great deal of support and reinforcement especially from the government in terms of the laws and legislations that regulate micro-financing as well as the monetary and financial aspects.
Supporting MF will make this sector a vital part in social development and not only as part of the social charitable responsibility but also as a financial right for the LOW INCOME members of the community. Mr. Allai concluded by stating that there are 17 banks for high income citizens in Yemen and only two banks for the LOW INCOMEones offering MF services. This should not be the case in Yemen, the reality is should be more MF banks given the fact that the segment is the highest in Yemen. Therefore banks should play a bigger role in terms of offering MF services .
Then Mr. Alshami presented the achievements of the Small & Micro-Enterprise Unit in SFD specially passing the MF Strategy and MF Banks law, he stated the number of MF Clients reached 118,000 active borrowers with 702,000 Loans issued until Dec 2013. Moreover, they have worked on the Infrastructure Improvement of MF Institutions and Banks.
Mr. Ali Abutaleb, YMN Managing Director, gave a short explanation on how YMN is assisting in developing the MF sector through the trainings, studies, and researches. He also presented the YMN role in spreading MF concepts among people and government entities.
It is worth mentioning that the banks representatives expressed their great benefit from the workshop. They gained a clear vision about the MF industry through practical experiences which presented by Mr. Abbas Al-Basha from Tadhamon MF, Mr. Amr Al-Kuraimi from Alkuraimi Islamic MF bank and Mr. Muhammed Atyah from Al-Amal MF Bank.
