FATEN - NASIRA PORTFOLIOStatus: Approved investment
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In case of questions, please contact us at email@example.com
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Who is our customer
Faten (Palestine for Credit and Development) started as a program under Save the Children in 1995 and was spun-off in 1999 into a not-for-profit company with a mission to serve the financial needs of low- and middle-income Palestinian entrepreneurs and individuals. It became licensed and monitored by the Palestine Monetary Authority in 2014 and is currently the largest microfinance institution in the West Bank and Gaza commanding a market share of ~50%, ~26,000 active borrowers and an outstanding portfolio worth ~USD 150m.
What is our funding objective?
We offer Faten additional funds to support its portfolio growth in the West Bank and Gaza, especially towards women, young people and refugees. We also offer a risk sharing facility to support M/SMES loan portfolio growth in Gaza specifically.
Why do we fund this investment?
FMO will be providing one of the largest loans to Faten, while also providing long-term financing which is still scarce in Palestine. FMO's funds will be partly earmarked to finance women, young people and refugees therefore contributing to reduced inequalities (SDG 10).
What is the Environmental and Social categorization rationale?
The project has been categorised as Category C in accordance with FMO’s Sustainability Policy. The Project’s activities are deemed to have minimal or no adverse environmental and social risks and/or impacts. As part of the Project, Faten will be required to apply the EDFI Exclusion List and Palestine's E&S laws and regulations.
|Date||Total FMO financing|
|6/6/2023||USD 0.20 MLN|
- The Palestinian Territories
- Financial Institutions
- Publication date
- Effective date
- Total FMO financing
- USD 4.55 MLN
- FMO NV
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C)