Looking to make a loan on Kiva that’s interest-free and islamically-compatible? Use one of the partners below, or the list in the navigation bar (“Riba-Free Kiva Loans”):
Partners with exclusively Islamic loans:
- Abaarso School of Science and Technology (Somalia) — they offer interest-free loans in Somalia for higher education. They also keep 8% of any loan repaid to help support borrowers who can’t afford tuition. Details here.
- Al-Amal Microfinance Bank (Yemen) — verified by Kiva in this news post.
- American University of Central Asia: they provide interest-free student loans in Asia. Awesome! Details here.
- Barefoot Power (Tanzania) — they provide safe, efficient energy alternatives to kerosene lamps. See this news post.
- PT Ruma (Indonesia) — they provide training in a commission-based cellphone sales opportunity. See this news post.
- Nuru Energy (Africa) offers interest-free sales of rechargable LED lights to Kiva borrowers.
- Yayasan Sosial Bina Sejahtera (Indonesia) offer interest-free loans to students for higher education.
Partners with some Islamic loans:
These partners include mixed loans. You need to read the description to determine if it complies with Islamic finance rules or not.
- Palestine for Credit & Development (FATEN) (Palestine) — verified by emailing them personally.
- Asasah (Pakistan) — A Pakistan-national MFI that started offering islamically-complaint microfinance loans in 2011 under the banner of “murabaha” or “qard hassanah.”
- Jerusalem Interest-Free Microfinance Fund Limited (Jerusalem) — a pilot project since 2013 that offers shari’ah compliant loans in the Jerusalem area.
Kiva is a crowd-source microfinance funding platform; different microfinance companies (some of which use Islamic principles) in developing countries post profiles of those who are in need of a business loan to elevate themselves out of poverty; Kiva collects the loan internationally, and sends it to a local bank, who administers the loan.
It’s a great way to help your brothers in sisters who are in need in countries like Palestine. If you decide to sign up, you can click on this link to browse a large number of loans that are complaint with Islamic finance.
Read more about this on the details page.
Information about the Lists of Microfinance Institutes
We’re in the process of contacting MFIs in various countries to verifying which ones use Islamic microfinance. You can see which ones are verified to use Islamic finance. All of our results are posted as news items; just search this site for the partner name. We ask them, and post whatever they say, good or bad.
Note that you probably still need to check if each individual loan is interest free, for traditional micro-finance institutes. See details on the 0% Interest Loans page. But the flip side of this is any MFI that we list any partner that offers a 0% loan below, even if we didn’t talk to them directly.
Also, some partners, by design, offer exclusively 0% (interest-free) loans.
These links below point to the Field Partner profile page. Read the risk rating and other stuff, then click on the link “See all fundraising loans from this field partner” (on the right side; just search for the text).