The Role of Yemeni Local Finance Institutions in Small & Micro Enterprises Supporting 2013-2017A Case Study of Hadhramout Microfinance Program

Abstract

The study aims to know the reality of the Yemeni economy in general and small & micro enterprises business in particular through the Yemeni local financing institutions presented by Hadhramout Microfinance Program for the period from 2013 to 2017, in which the researcher aims to recognize the extent of the impact of this program in its support for small & micro enterprises before and during the current Yemeni war through; to know the impact of the active loan portfolio of the program during the specified period, to know the extent of repayment of installments due for small and micro enterprises business which funded by the program and to know the extent of the reflection of micro and micro finance on the social status of funding seekers, in addition to know the most important sectors that have received the most number of financing loans and those sectors with Low funding and the reasons for that. The researcher has adopted the analytical inductive approach in addition to the other sources. The study concludes number of results, the most important of which are; the negative impact of the Hadhramout microfinance program due to the current war crisis, especially in the second and third year of the war (2016-2017) related to a decrease in the active loan portfolio, failed to pay due installments with relative improvement in the reflection of microfinance for finance applicants. The study has concluded with a number of recommendations, the most important of which are: Hadhramout microfinance program must be exist in the desert and mountainous rural areas of the governorate by opening new branches or offices in order to provide its financing services to the categories of these remote areas, and to pay attention to financing the sectors with low funding the most important of which are: livestock and beekeeping