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Supporting Credit Union Development in Afghanistan: An Overview of Issues Important to the Development of Shari’a-Compliant Cooperative Finance

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This report is a product of desk research undertaken from March-July 2007. The study’s objective is to describe WOCCU’s efforts to establish credit unions in Afghanistan and to provide an overview of issues important to the development of Shari’a-compliant cooperative finance.

This paper discusses some of the work undertaken to achieve the start-up of the two credit unions (Balkh Savings and Credit Union in Mazar-e-Shariff and Jawsjan Savings and Credit Union in Sheberghan) and other developments under the project, focusing on efforts up to the start of the ARIES project. It will also identify problems that constrained progress and describe how these were or were not overcome.

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