FAQs

Frequently Asked Questions

Get quick answers to common questions about our services, policies, and more.

before title
What is microcredit?

Microcred it is a loan granted to categories of citizens with no income or with a low, unstable or irregular in come. Its main objective is the economic and social integration of targeted citizens through the creation of activities of production of goods and services.

Micro credit is intended to:

  • Setting up small businesses including at home, through the acquisition of small equipment and starting raw materials.
  • Purchase of raw materials

The recipient of microcredit services is a person whose income is low and who have no access to formal financial institutions unable to meet the conditions required by these institutions (collateral, personal contribution etc).

  • In rural areas, it is often small farmers or those with a food processing small business, craft activity or a small trade.
  • In urban areas, the clientele is more diverse: small traders, service providers, c, street vendors, etc.

They are commonlyrefers to as micro-entrepreneurs and most of these micro-entrepreneurs work in the informal secteur. Soitis to the individualswhomake up thismarket segment excluded or underserved by traditional financial institutions (banks) that micro credit is intended.

The beneficiaries of micro credit should, during the setting up of their small business, comply with conditions,including age (18 years old), the know-how and level of personal contribution.

The small businesses must be set up by the borrowers individually.

The amount of loan provided by ANGEM is set at a minimum of one hundred thousand dinars (100.000 DA) and shall not exceed one million dinars (DA 1000.000).

Eligible beneficiaries of microcredit enjoy the benefits from the National Microcredit Support Fund

  • An interest-free loan, equivalent to 29% of the project’s overall cost may be granted if this latter does not exceed 1 000 000 DA
  • The interest-free loan is for the purchase of raw material that does not exceed 100,000 DA in northern regions and 200,000 DA in southern regions.

All citizens eligible to microcredit program benefit from advice and assistance of the National Agency for Micro-Credit Management “ANGEM”, through its 49 regional agencies.

Activities that benefit from the advantages provided by ANGEM are monitored by this latter.Except in cases of force majeure, the breach of the obligations under the specifications binding the beneficiary to the Agency leads to the partial or total withdrawal of aid granted.

ANGEM provides, free of charge, assistance to the micro-entrepreneurs (i.e the beneficiaries) throughout the setting up of their small business.

The objectives of the accompaniment are:

  • To bring the developer to measure the commercial, technical and financial conditions of the project;
  • To support the developer in its efforts;
  • To study the reliability of the project;
  • Check the consistency of the approach of the beneficiary;
  • To make up a complete setting up file (technical and economic study) according to the canvas and the methods of ANGEM.

The micro-credit was created notably to promote the emergence of self-employment and home-based work, such as handicraft activities, especially among the female population. A very large number of women have set up small businesses at home, such as clothing, pastry, confectionery manufacture, production of couscous and traditional bread, etc.

The micro-credit finance all types of activities. The beneficiary has the latitude to choose the activity that suits him best, on the sole condition that the overall amount of the latter does not exceed the credit granted.

Dairas booths for outreach work.

ANGEM is represented, at a local level, by 49 Wilayas agencies spread throughout the national territory, including two agencies for Algiers. This agency network is supported by accompanying booths located in each Dairas. This territorial coverage helps promote outreach work and sensitization of the population, especially those from rural and isolated areas.

The person with disabilities may benefit, as well as his or her fellow citizens, from programs designed for business creation, with the order to prove his or her skills and capacities in the field of the chosen activity.

The guarantee of bank loans is assured by the Mutual Guarantee Fund for Micro Credits is established at the National Agency for Management of Microcredit and aims to ensure micro loans granted by banks and financial institutions adherents to the fund, to beneficiaries who have obtained the notice for the National Agency for management of Microcredit’s support.

The MGFMC it covers, at the behest of banks and financial institutions concerned, remaining debts owed in principal and interest to the disaster declaration date and up to eighty five percent (85%).

As part of the implementation of the guarantee, the MGFMC issu brogated to the rights of banks and financial institutions, considering possibly, the reimbursed maturities and to the amount of risk cover.

It is established the payment of contributions to the funds by the beneficiaries of micro-credit.

The website uses a Privacy Policy.