Jordan Times
Monday, July 26, 2004
Jordan Micro Credit Company
gets $1.5m additional grant from USAID
HM Queen Noor highlights microfinance projects as best tool to break the vicious
cycle of poverty and reduce unemployment
AMMAN (Petra) — Having completed the requirements of a Wholesale Funding
Facility (WFF), sponsored by the USAID, the Jordan Micro Credit Company (JMCC)
received on Saturday an additional grant totalling $1.5 million to help it
disburse loans to more low-income individuals in the country's southern
governorates.
Since its establishment in 1999, the company targeted the central and eastern
parts of the country. JMCC Chief Executive Officer Khaled Gazawi indicated that
the grant will help the company broaden its services.
The JMCC, which operates under the financial sustainability of 115 per cent,
graduated from the WFF last May having demonstrated 12 consecutive months of
financial and operational sustainability and six consecutive months of
independence from WEF guarantees.
The JMCC has already secured a commercial loan from Citigroup as a result of its
participation in the WFF.
Her Majesty Queen Noor, who acted as a patron to the JMCC graduation ceremony,
highlighted the importance of micro finance projects saying they are considered
the best tool to break the vicious cycle of poverty and to assist the
impoverished to improve their living standards and to reduce unemployment.
The USAID programme is an innovative mechanism for transitioning the Kingdom's
sustainable micro finance institutions to funding their future loan capital
requirements from the commercial banking sector.
The programme is implemented by the Achievement of Market Friendly Initiatives
and Results Programme which helps with the financing of such projects and the
provision of technical assistance and training.
The Noor Al Hussein Foundation, which has been active in the area of
microfinance, founded the JMCC, an affiliate non-profit company in 1999 with
assistance and funding from the USAID.
Microprojects aim to empower microentrepreneurs and create more jobs throughout
the Kingdom.