DUBAI, 6 November 2006 -- "High population growth in the Middle East is increasing the severity of the employment problem and hence the frustration of youth," said UAE Economy Minister Sheikha Lubna Al-Qasimi, adding, "By 2020, we need to create 100 million jobs throughout the region and we need to look at various avenues like microfinance to meet our goals. Microfinance focuses on the support of business activities especially for women to enable them to break the cycle of unemployment, dependency and poverty."

Sheikha Lubna made these comments while addressing the two-day high-profile Microfinance Conference which opened here yesterday. "Countries such as Saudi Arabia, Egypt, Bahrain, Jordan and Oman are all powering ahead with ambitious programs that will do much to develop their economies. And good corporate governance is critical to the development of wealthy economies. The GCC and more particularly the United Arab Emirates can also benefit from microfinance" she added.

Leading microfinance practitioners, high-ranking government officials, UN representatives, financial experts and prominent private sector players from around the world are attending the two-day program entitled "Microfinance in the MENA region: A tool to fight poverty and unemployment," which is being hosted by nonprofit organization PlaNet Finance UAE, in association with the Mohamed ibn Rashid Establishment for Young Business Leaders.

The program has been organized with a view to spread the word about the tremendous work being done in the Arab world in the microfinance field, and on doing more to enhance this field. Focusing primarily on the Middle East and the Gulf region, the forum will address the role microfinance can play in the fight against poverty and unemployment.

Participants will discuss various microfinance-related topics, including challenges faced by microfinance institutions in the Middle East; the role banks and private sector investors can play in the development of microfinance; how corporations, private foundations, benefactors, governments and public agencies can support the development of the microfinance sector in their countries; and whether microfinance is necessary in the GCC countries.

Adding further impetus to the cause of microfinance, Muhammad Yunus, considered to be the 'Father of Microfinance' and president of the

PlaNet Finance Honorary Committee, was awarded the Nobel Peace Prize last month along with The Grameen Foundation, the micro-credit institution he founded 30 years ago.

"This nomination finally gives microfinance, a major tool to fight poverty and ignorance -- major sources of violence -- the global acknowledgement it needs", said Jacques Attali, president of PlaNet Finance.

Prominent speakers at the conference include Sheikh Sultan Khaled Al-Qasimi, president, PlaNet Finance UAE and chairman, Gulf Holdings, and Patrice Paoli, ambassador of France to the UAE, Abdul Baset Al-Janahi, Sheikh Mohamed ibn Rashid Establishment for Young Business Leaders; Barbara Castek, CEO, Dubai Aid and Humanitarian City; Claire Cabanel Rey, executive director, PlaNet Finance UAE; Nathalie Goulet, member of the French Senate and Alex Pollock, UNRWA; Debbie Arnold, Visa; Mustafa Bidouj, Sanabel.

PlaNet Finance's goal is to support efforts by facilitating interactions between the different Microfinance Institutions (MFIs) and providing them with operational services in terms of capacity building and financing to facilitate their growth.

By K.T. Abdurabb

© Arab News 2006