Kabul, 9 October 2005 - With two offices now opened in Ghazni and Herat provinces, MADRAC has established itself as a new source of microfinance offers and opportunities for poor people in rural Afghanistan.
MADRAC (Microfinance Agency for Development and Rehabilitation of Afghan Communities) is hereby introduced as the new name for DACAAR's microfinance programme. In Dari and Pashto, MADRAC literally means 'source', and has been chosen as it clearly reflects the objectives and types of services the programme intends to deliver.
Initial microfinance activities were launched in June 2005, at that time under the name DCMS (DACAAR Community Microfinance Services). However, it was needed to strengthen the Afghan identity and profile, leading to the new name MADRAC.
Since June 2005, MADRAC has established its head office in Kabul within DACAAR, and opened two branch offices in Ghazni and Herat provinces. A third office is planned to open in November this year. The total number of staff working with MADRAC is currently 18.
MADRAC has so far started group formation, savings mobilization and loan disbursement in the two branch offices. Today, 116 clients are organised into nine groups, five male groups and four female groups. All the systems and formats required for savings mobilization and loan disbursement are in place, and the interest demonstrated by households in the areas to participate in the programme, is encouraging.
Over the next five years, activities are planned to cover the six provinces of Ghazni, Laghman, Herat, Paktia, Badghis and Wardak. These six provinces have a total of 7,320 villages with an average of 76 households per village. In total, MADRAC is targeting 50,000 potential clients as receivers of financial services.
The new microfinance institution is developed in cooperation with and funded by MISFA (Microfinance Investment Support Facility for Afghanistan) of the Afghan Ministry of Rural Rehabilitation and Development.
For more information:
MADRAC Manager Najibullah Samim
Kabul, Afghanistan
Tel: (93) (0) 79 30 88 76
Email: najib.samim@dacaar.org, najib.samim@madrac.org
Public Information Officer Alexandra
Strand Holm
Kabul, Afghanistan
Tel: (93) (0) 79 33 77 53
Email: a.strand.holm@dacaar.org