Latest news with #povertyAlleviation
Zawya
07-07-2025
- Business
- Zawya
AlHuda CIBE highlights Islamic microfinance growth in Central Asia
Dubai – UAE: AlHuda Centre of Islamic Banking and Economics (CIBE), a global leader in Islamic finance development, proudly highlights the growing momentum of Islamic microfinance across Central Asia. With over 20 years of dedicated service in the CIS region, AlHuda CIBE continues to empower underserved communities, support policy development, and enhance institutional capacities for inclusive and ethical financial growth. Rooted in Sharia principles—such as the prohibition of interest (riba), promotion of risk-sharing, and social justice—Islamic microfinance has become a transformative tool for poverty alleviation and entrepreneurship. It provides ethically grounded financial services to low-income households and small businesses who are traditionally excluded from conventional banking. As of 2024, the Islamic microfinance market in Central Asia has grown to an estimated USD 200 million, with a client base comprising micro-entrepreneurs, farmers, and small enterprises. The broader Islamic finance sector in the region, excluding multilateral funding, has now surpassed USD 500 million. These figures underscore the sector's growing relevance and potential in countries with significant Muslim populations like Kazakhstan, Uzbekistan, Kyrgyzstan, Tajikistan, and Azerbaijan. Islamic microfinance in Central Asia is more than a financial model—it is a vehicle for social justice, empowerment, and sustainable development,' said Muhammad Zubair, CEO of AlHuda CIBE. 'Our mission at AlHuda CIBE is to facilitate the adoption of ethical finance and ensure that no community is left behind in the pursuit of prosperity. We are proud to have worked at both government and grassroots levels, offering technical assistance, product development, and capacity building that have directly contributed to the sector advancement'. The growth of Islamic microfinance in Central Asia is driven by supportive government regulations, significant funding and technical assistance from multilateral institutions like the Islamic Development Bank (IsDB)—which has disbursed over USD 9.1 billion to CIS countries by 2023—as well as contributions from the Asian Development Bank (ADB), World Bank, and ICD. Additionally, the rise of fintech innovations such as peer-to-peer lending, mobile banking, and Sharia-compliant Buy Now, Pay Later (BNPL) models, particularly in Uzbekistan and Tajikistan, is accelerating financial inclusion across the region. Notably, Islamic financial institutions such as Zaman Bank, ADCB Islamic Bank, Al Saqr Finance, Al Safi Bank (Kazakhstan), M-Bulak, Bai-Tushum Bank, Kompanion Bank, AK Karzi, Bereke Finans (Kyrgyzstan), and Microcredit Deposit Organization Humo and Iman (Tajikistan) have been pioneering inclusive Islamic microfinance across the region. Technological advancements are revolutionizing Islamic microfinance in Central Asia, with fintech solutions such as mobile financing, digital onboarding, and peer-to-peer platforms significantly enhancing outreach and operational efficiency. Additionally, the rise of micro-Takaful (Islamic insurance) is providing essential risk protection for underserved populations, further supporting financial resilience and inclusion. This growing ecosystem is also attracting European investors, who view Islamic microfinance in the region as a promising and socially responsible investment opportunity amid low-interest rate environments. Despite the positive outlook, several barriers continue to hinder the growth of Islamic microfinance in Central Asia. These include limited funding availability, inadequate public awareness of Islamic financial principles, weak IT infrastructure, and a shortage of skilled professionals in Shariah-compliant auditing and accounting. AlHuda CIBE is proactively bridging these gaps by offering tailored training programs, Shariah advisory, product development, and technical consultancy services in collaboration with international partners to strengthen the sector's capacity and sustainability. About Alhuda CIBE: AlHuda Center of Islamic Banking and Economics (CIBE) is a well-recognized name in Islamic banking and finance industry for research and provides state-of-the-art Advisory Consultancy and Education through various well-recognized modes viz. Islamic Financial Product Development, Shariah Advisory, Training Workshops, and Islamic Microfinance and Takaful Consultancies etc. side by side through our distinguished, generally acceptable and known Publications in Islamic Banking and Finance. We are dedicated to serving the community as a unique institution, advisory and capacity building for the last twelve years. The prime goal has always been to remain stick to the commitments providing Services not only in UAE/Pakistan but all over the world. We have so far served in more than 104 Countries for the development of Islamic Banking and Finance industry. For further Details about AlHuda CIBE, please visit:
Zawya
20-06-2025
- Politics
- Zawya
'Don't Lose This Golden Chance'- President Museveni Advises Ugandans on the Parish Development Model (PDM)
He said he began the fight against poverty in the 1960s and he has been able to come up with various poverty alleviation programs to ensure that his dream is realized. 'Don't lose this chance because it's a big support to you. Wako, who was poor, is now a rich man. He is blessed now with three cows and a milling machine because his family embraced the PDM program. I know that we are all not equal but when you embrace the PDM program you will eradicate poverty in your households,' he said. President Museveni made the remarks today during his PDM assessment tour at Mr. Muwereza Wako 's farm situated at Buyego cell, Buvuma sub-county in Buvuma district. Mr. Wako, a PDM beneficiary, owns three cows and a milling machine. The President, who was pleased to visit Mr. Wako's farm, said that the government has for years been sending resources to the public to curb poverty but in one way or the other some government officials have been mismanaging it. President Museveni however narrated that the government now gives each parish Shs.100m annually and in his next five years' term in office, each parish will have received Shs.500m. He revealed that the first batch which received Shs.1m PDM money each, two years back will return it to their parishes with an interest of Shs.120,000, to give chance to other adults to benefit. The President supported Mr. Wako with Shs.12m to purchase an acre of land at Shs.10m and use the Shs.2m to buy livestock like goats and pigs. In response, Mr. Wako commended the President for initiating the PDM program that has enabled a section of Ugandans to improve their standard of living through wealth creation. He asserted that he was so poor to an extent that he couldn't afford food for his family but currently he is called a rich man. Mr. Wako and his wife Mirembe Eseza together with their eight children live on half an acre of land and according to the farmer, the PDM money has enabled him to add value to his family through wealth creation. He said on 21st June 2023, he received Shs. 1 million PDM cash and after the bank charges, he remained with Shs. 980,000. Mr. Wako noted that using the PDM money, he added some of his savings to buy a bull and a cow which conceived and gave birth to a calf in May 2024. During the same month, he sold a bull at Shs.1m and used it to purchase an old milling machine at Shs.2.5m. Mr. Wako explained that the machine seller allowed him to clear his remaining balance of Shs.1.5m in installments. He asserted that he started using the machine which fetched him money to clear the balance. The PDM beneficiary revealed that the milling machine earns him Shs. 15,000 every day, after deducting Shs. 5,000 for fuel, thus remaining with Shs. 10,000 and he earns a total of 300,000 per month. The dairy cow gives him 3 litres of milk. He sells two litres at Shs.1000 each and earns a total of Shs. 60,000 per month. The cow dung and urine is used as fertilizers in his garden. Distributed by APO Group on behalf of State House Uganda.
