Proparco, the French Development Agency (AFD)’s private sector financing arm, and the Palestinian Company for Credit and Development (Faten), have signed an USD 8 million loan agreement to finance self-employed individuals, sole proprietors, and micro entrepreneurs in Palestine. The financing of Proparco is expected to support over two thousands beneficiaries.
Faten is a non-profit microfinance institution created in 1998 by Save the Children, and dedicated to financing Palestinian entrepreneurs, reducing unemployment and alleviating poverty. It is also renowned for financing initiatives that contribute to improving health and education in Palestine. The microfinance institution is active both in the West Bank and in the Gaza strip through an extensive network of local branches, located in rural and urban areas, as well as in refugee camps. Currently with a staff of over 310 employees and serving more than 31,000 clients, Faten is Palestine’s leading microfinance institution.
The project signed today is the latest illustrations of AFD Group’s twenty-year-long support to the Palestinian private sector. In 2017 for example, Proparco granted a USD 10 million loan to Nakheel Palestine, the leading Palestinian producer of Medjool dates on the domestic as well as international market.