Planet Finance France

While Israel counts 25% of its population living below the poverty line, economic hardships are particularly prevalent in Jerusalem, where the poverty level is nearly twice the national average with only 43% of working-age population employed compared to 75.5% nationwide. The lack of employment opportunities has led workers to leave Jerusalem for Israel's center, thus weakening the capital's economy.

Among the 52% of Jewish Orthodox women who are active workers, and the other less religious Jerusalemites, many wish to start an income-generating activity such as small home-based businesses while preserving their religious lifestyle. But while microbusinesses account for the most efficient way for escaping poverty, many lack access to bank credit due to bad credit history or low collateral.

With this project, PlaNet Finance Israel intends to map and identify the Jerusalemite potential and existing microentrepreneurs' financial needs. Based on this first micro-entrepreneurial feasibility study realized in this sector, PlaNet Finance Israel will then assist KIEDF in developing adapted non-collateralized microloans and professional training for low-income entrepreneurs in Jerusalem wishing to start a microbusiness, thereby boosting employment opportunities in Jerusalem.

THE PROJECT AIMS:

• To map Jerusalem's microentrepreneurial needs, in particular the ones of the Jewish Orthodox community.

• To assist KIEDF develop new adapted financial and non-financial solutions for low-income Jerusalemites.

• To monitor the project's impact, evaluate its socio-economic performance for improving procedures.

PlaNet Finance Israel will assist The Koret Israel Economic Development Funds (KIEDF) that began as a small experiment deploying philanthropy to spur economic growth in Israel. Today, it has grown to become the state's dominant private-sector, small-business development program, helping hundreds of Israeli small businesses to create and sustain jobs while strengthening the environment for economic growth in the private sector.

The partnership of PlaNet Finance Israel and KIEDF goes way back to the end of 2006, when KIEDF established SAWA, the only Grameen-type solidarity loan microfinance program in Israel. After focusing on Bedouin women in the Negev during its first three years of operation, and on Arab women in the North in its fourth year, KIEDF is now expanding its action to Jewish entrepreneurs in Jerusalem.

 Download CN Microfinance in Jerusalem