The SRTF Funds the Establishment of a Revolving Credit Fund in Northeast Syria

Amman- Wednesday, 9th September 2020 - The SRTF is pleased to announce the approval of a new intervention and the expansion into a new area in Northeast Syria. The pilot intervention, “Establishment of Revolving Fund to Support Livelihoods Recovery in NE of Syria – Phase 1”, will support and promote local entrepreneurship in Northeast Syria through the creation of a Revolving Credit Fund (RCF). This is the SRTF’s first intervention focused directly on empowering local entrepreneurs and households through financial and non-financial services and products.

 

The purpose of this RCF is to advance the growth and sustainability of small and micro-enterprises owned by local Syrian entrepreneurs who will be able to access both loans and non-financial services. The first phase of this intervention will establish three pilot revolving fund facilities in Raqqa, Deir Ez-Zor, and Hasakah, which will support 480 selected entrepreneurs. The self-sustaining model of the RCF will provide future generations of entrepreneurs with access to financial services and promote economic sustainability throughout the region.

 

The establishment of an RCF will provide both financial and non-financial services and products to local entrepreneurs. One of the main goals of the RCF is to improve household economies through the availability and distribution of micro-loans, development loans, and two-stage loans. These loans will range between USD 400 and USD 1,200 for micro-loans and USD 1,200 and USD 3,000 for development loans. These financial services will provide opportunities for vulnerable households to work their way out of financial hardship, create jobs, and promote local economic activities.

 

In addition to the financial services mentioned above, the RCF will provide non-financial services and products including training in life skills, financial literacy, and business development. Furthermore, demand-driven coaching and mentoring will be available for the selected entrepreneurs.

 

The SRTF’s Director General, Eng. Hani Khabbaz, hailed the announcement as “a milestone for the SRTF and the Syrian people. The establishment of the revolving fund is another notable step towards economic empowerment and real stability and sustainability for local communities especially during these dire financial times”. Dr. Charles Benjamin, President and CEO of the IE, concurred, stating that “The RCF capitalizes on work to support economic recovery through community-based livelihood hubs in areas where there is significant need and demand for business capital to unlock the inherent potential for sustainable economic growth. This initiative will create a self-sustaining system for financing entrepreneurs that can propel economic growth in Northeast Syria into the future.”

 

This pilot phase is expected to last six months with a budget of EUR 1.25 million and the first round of funding will target 480 entrepreneurs in the three governorates.

 

For further information on the project, please see:

Establishing a Revolving Fund to Support the Restoration of Livelihoods in Northeastern Syria – Phase I

 

For more information on the SRTF visit:

http://www.srtfund.org

 

Media outlets may contact:
communications@srtfund.org


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