Grants help women enterprises, relieve debt burden in Yemen

Sisters in arms: united by Yemen’s war

August 1, 2019

Amnah has been able to pay her family’s debts and their rent and has enough money left over to help pay for her children’s educations.

Prior to the war, Amenah Ahmed worked as a hairdresser and sold clothes to families in her neighborhood. Now in her fifties, as her workload increases, Amenah’s health has declined while her husband and adult children struggle to find work.

The family’s financial hardships forced Amenah to sell some of their household furniture so she could set up a hairdressing salon to help make enough money to care for her family and provide a safe livelihood for her daughters.

Initially her husband was unsupportive – concerned that the women might be caught in cross-fire on their way to and from the salon. He was also worried about the risk of financial loss due to the country’s devastating economic situation and the declining purchasing power of those who are reeling under widespread joblessness and suspended wages. 

Amenah and her daughters wanted to start the project as they believed it was their chance to have a sustainable source of income.

Despite her resourcefulness and ingenuity, the money she earned from selling their furniture was not enough to start the project, and she was unable to secure a loan from their family members or friends.

Eventually, Amenah received a financial grant from the National Microfinance Foundation (NMF) that covered the cost of the salon. She was also able to buy the tools, materials, and supplies required to launch her business.

Since opening her salon, Amenah’s life has changed dramatically. Now, she has paid off the family’s debts, pays her rent regularly, and has enough money left over to help pay for her children’s education.  

Amenah has her sights set on expanding her business by opening a pastry shop, where her husband will work alongside two of her children who remain unemployed. She is planning to take out additional loans to further expand her salon so that she can create more opportunities for other women to earn a living and contribute to the country’s economic mobility.

Thanks to the World Bank – UNDP partnership with the Social Fund for Development (SFD), nearly 3,200 female-owned small-and micro-enterprises have received financial grants to pay off their debts and continue their businesses. 

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Funded and supported by the World Bank, the Yemen Emergency Crisis Response Project (YECRP) is implemented by the Social Fund for Development (SFD) and the Public Works Project (PWP) in partnership with UNDP. The USD $400 million project provides economic stimuli in the form of large cash-for-work projects, support to small businesses, and labor-intensive repairs of socio-economic assets, benefiting vulnerable local households and communities across Yemen.