Small loans, great expectations
A small loans project aims to help low-income groups to help themselves, reports Sherine Nasr
US Ambassador to Egypt David Welch last week signed agreements with six Egyptian non- governmental organisations (NGOs) selected to receive grants under the Self-Help Programme. Launched in 1999, the programme works at the grass-roots level to help various groups, including women, youth and poor families, generate income and become financially independent. The programme's total annual fund is $100,000, originally allocated by the United States Agency for International Development (USAID) but currently managed under the supervision of the US ambassador.
"The goal is to improve the basic economic, social and environmental conditions of life in small communities," said Welch. "We now have 37 projects in 14 governorates. We hope to increase the fund so that we can have more projects in the other governorates."
The six NGOs will receive grants of varying amounts with a maximum of LE55,000. They will later be distributed as low-interest loans.
This year, funds will be dispersed in the form of micro-credit loans and for vocational training programmes and environmental health initiatives for several underdeveloped areas. In Luxor and Sohag, the Islamic Charity Association and the Sohag Businesswomen's Association for Community Development will provide micro-credit loans to women, low-income families and new graduates for various activities, including agricultural, sewing and knitting projects.
"Providing micro-credit loans has been one of the most successful activities by the fund. The repayment record is excellent," said Welch.
The Central Scientific Association for Integrated Local and Regional Development in the governorate of Al-Wadi Al- Gedid will establish a computer maintenance centre for young graduates. "The main purpose is to train 500 new graduates in computer hardware and software maintenance skills," said Samia Ayoub, chairwoman of the organisation. "The aim is to create more job opportunities and government offices in these distant areas with a much-needed service," said Ayoub, who added that another project will provide families with computers at lower prices.
At the Women's Society of Assiut University for Integrated Health and Social Development, mentally and physically challenged individuals will be trained in porcelain and china arts so that they can find jobs and become self-sufficient.
"A training course will be held every three months for 10 to 15 trainees. Their products will be sold by the association and they will receive a percentage of the revenue," said the society's chairwoman, Aliyya El-Hosseini.
"Depending on the quality of their work, some of the trainees will be employed by the association while we will help the rest find proper jobs elsewhere," she said.
The other two projects, carried out by Al-Manshiya Association for Raising Children and Development in Minya and the Community Development Association of Al-Abour in Luxor, are aimed at providing a number of poor families with loans to install infrastructure for clean water and electricity and to build latrines.
"These are great initiatives taken by people in these areas. Using relatively small amounts of money, this programme has a great impact on the everyday life of many people," commented Welch. He also praised the programme for its efforts to enable women to acquire the tools and means to increase their income and become self-sufficient.
