Innovation in Microentrepreneurship & Islamic Microfinance: The Model of Family Bank

This paper discusses microentrepreneurship and the importance of Family Bank in the socioeconomic development of Bahrain.

The last two decades have demonstrated that supporting microenterprise growth increases the diversity and social development of emerging economies. Innovative, socially-oriented banks that care about the unbankable segment of society can help to develop microentrepreneurship. Islamic microfinance represents the confluence of microfinance and Islamic finance. Family Bank:

• Is the first Islamic microfinance bank in Bahrain;
• Is a social business that is based on the private sectors corporate social responsibility;
• Contributes to poverty alleviation and socioeconomic empowerment through the provision of sustainable Islamic financial services to the underserved;
• Develops and implements programs that aim to enhance microentrepreneurs‘ capabilities through training, counselling, marketing support and finance;
• Has supported microentrepreneurs in scaling up their business;
• Has contributed to socioeconomic development of Bahraini society by creating jobs and economic assets and spreading benefits of economic growth.