Utilising the Islamic principles of interest-free credit (Qard Hassan), credit sales (Murabaha) and investments (Mudaraba), Microfinance provides people the power to create opportunities for themselves and others.
Small-scale entrepreneurs in many developing countries do not have access to simple banking facilities. For such individuals a small interest-free loan can help them establish or grow their business and help them achieve a stable livelihood.
Investing and improving their business allows individuals to increase income, making it easier to afford better housing and more nutritious food, pay for medical bills and education, while still repaying the loan. These loans allow us to give families a handup and not a hand-out, which truly breaks the cycle of poverty.