THE Islamic Corporation for the Development of the Private Sector (ICD), the private sector arm of IDB Group, Saba Islamic Bank (SIB) and Al-Kuraimi Islamic Microfinance Bank (KIMB) have entered into partnership to support business resilience of MSMEs under the pilot phase of BRAVE Project currently implemented jointly with the Small and Micro Enterprises Promotion Services (SMEPS) — a subsidiary of the Social Fund for Development in Yemen.
ICD CEO Khaled Al-Aboodi and Mohammed Al-Ammari, chairman of SIB, and Yousef Al-Kuraimi, CEO and vice chairman of KIMB, signed the accord on behalf of their institutions In Jeddah.
The objective of the Business Resilience Assistance for Value-adding Enterprises (BRAVE) project aims to enhance the resilience of the private sector, as the engine of sustainable growth, against the impact of ongoing conflict. The pilot phase will support around 300 firms in five key sectors (agribusiness, food processing, fisheries, garmenting and health care) through an integrated package of tailored training program and financial support in partnership with four local banks: Tadhamon International Islamic Bank (TIIB), SIB, KIMB, and National Bank of Yemen (NBY).
Al-Aboodi stated, “ICD and SMEPS as the local executing agency, have been successful in launching the initial stage of BRAVE pilot to receive applications from eligible SMEs across Yemen by engaging four local partner banks. We are pleased to witness today the signing with SIB and KIMB. The second round will include TIIB and NBY. We look forward to widen such partnership and include more participating banks upon the success of the pilot phase.”
Al-Ammari said, “At SIB, we are further committed, through this partnership towards promoting private entrepreneurship and resilience in the Republic of Yemen at such difficult period. Such unique partnership with the local banks will be instrumental in the effective and inclusive implementation of BRAVE across the country.”
Al-Kuraimi noted, “We are delighted to be here today and take the partnership with ICD, SMEPS and the other participating banks towards more coordinated and streamlined implementation of BRAVE to ensure timely response and wider coverage of the most needy and most critical segment of the private sector which is the MSMEs. KIMB is always committed to contribute to such noble objectives.”
Saba Islamic bank (SIB) is considered the second largest Islamic bank in Yemen. The bank commenced operations on April 4, 1997 in accordance with Article No. 26 of law No 21 for 1996 regarding Islamic banks. The bank’s authorized, capital is YER10 billion according to the bank’s extraordinary general assembly decision on May 8, 2008. The bank’s paid up capital as of Dec. 31, 2014 was YER9,292,104 thousands divided into 9,292,104 shares of a nominal value of YER1,000 each. SIB head office is in Sana’a having a net of 15 branches spread over most Yemeni governorates.
KIMB was established based on the Microfinance Law N. 15 for the Year 2009, because of the transformation of Al-Kuraimi Exchange Company. In the year 2010 and with the help of the Social Fund for Development (SFD), the company transformed into Islamic Microfinance Bank aiming at supporting the development of the nation by providing finance and savings. KIMB accepts savings, and invests money according to Islamic Shariah. The bank got the final license from the Central Bank of Yemen in 2010. The bank has its head office is in Aden, having a net of 78 branches spread over most Yemeni governorates. — SG
