Solution

This will help J-PAL design a microequity product that could increase financial access for Muslims who avoid conventional debt for religious reasons, and potentially appeal to customers beyond the Muslim world who are simply debt averse. Such a product could be scaled up across Egypt through the country’s large microfinance federation; it could also be scaled up in other Muslim-majority countries through J-PAL MENA’s strategic partnership with the Islamic Development Bank. In addition, the study will help shed light on ongoing efforts to understand when and why microcredit works and doesn’t work in general.