I emailed FATEN on March 10th to ask if they use Islamic microfinance. Below is their reply.
Dear Mr. Ashiq
I hope this note finds you well.
In FATEN, we have Islamic loans using Murabaha method.
Let me explain more to you About this loan product:
FATEN offers loans that are customized for Muslim borrowers. A key principle of Islam is the prohibition of charging interest on a loan. This prohibition is based on the belief that money is only a medium of exchange and has no value in itself. In order to offer loans in a manner that is consistent with borrowers’ values, FATEN charges 0% interest on this loan. However, FATEN does charge a servicing fee to cover its costs. The loan amount you see listed on Kiva includes both the principal loan and the loan servicing fees. As with all Kiva loans, you should expect to have your funds returned to you according to this loan’s repayment schedule. For more information on lending in the Muslim world, please click here.
Thank you for your concern.
Head of Fundraising and Public Relations and Marketing E-mail: firstname.lastname@example.org
Apart from replying extremely quickly, the reply also included a link to a SalesForce page explaining that Kiva uses microfinance in all of their MFIs in the middle-east.
How trustworthy is this link? I’m not sure. I requested more information, but didn’t get any. So I’m going to continue individually asking MFIs to find out which ones use Islamic microfinance.