Muslim Community in Koforidua welcomes microcredit scheme   

By Emelia B. Addae  

Koforidua, Jan. 16, GNA – Muslims at Koforidua Zongo have hailed President John Dramani Mahama’s vision to institute microcredit scheme for deprived communities. 

Microcredit is a development model to provide loans to vulnerable borrowers who lack collateral and verifiable credit history.  

Such a facility can increase the income level of the people as they invest in small-scale enterprises to enable them to make repayment by instalments. 

President Mahama, during the Muslims Thanksgiving Service held at the National Mosque at Kanda in Accra, said the Government would soon institute a microcredit scheme to support people living in deprived Muslim communities. 

It would also introduce Islamic banking instruments into the financial system in Ghana, based on the Bank of Ghana’s advice. 

Mr Adam Seidu, a taxi driver, in an interview with the Ghana News Agency, explained that the microcredit facility was a tool to fighting poverty in rural areas. 

Poverty had had a negative impact on the rural population, characterised by seasonal unemployment, low productivity, and low-income activities.  

That, therefore, discouraged the rural youngsters from staying in the communities to work, who tended to migrate to urban areas for non-existent jobs, he said. 

“I believe that if the microcredit scheme comes to stay it will contribute to rural development regarding the improvement of the economic, social, and quality lifestyle of the people,” Mr Seidu said. 

Mma Hawa Nurudeen, a teacher, indicated that the credit scheme would serve as a support system to family farms. 

“Family farming is a lifestyle and tradition in my community, so such a facility will give them the opportunity for expansion. This will help me reserve some money for other businesses in Koforidua.”  

GNA