(MENAFN - Kuwait News Agency (KUNA)) Kuwait Fund for Arab Economic Development (KFAED) announced on Wednesday it signed a grant agreement with the government of the Republic of Yemen under which the fund will offer USD 6 millions from the Decent Life Resources Department devoted to helping Muslim countries.
In a press statement, KFAED said that signing the agreement was done yesterday in the Moroccan city of Marrakech between the Yemeni government and KFAED, as head of the Decent Life Resources Department devoted to helping Muslim countries and the Social Fund for Development (SFD), established by Law No. (10) Of 1997 in Yemen.
The statement added that under the agreement, KFAED would present USD 6 millions as a grant to Yemeni government in order to contribute in the increasing of food production in Yemen, pointing out at the same time that Yemeni Minister of Planning and International Cooperation Dr. Mohammad Al-Saadi represented the Yemeni side during the signing, while the Kuwaiti side was represented by General Manager of KFAED Abdulwahab Al-Bader.
Also under the agreement, an allocation to be made from the grant to create a special account for SFD, which would manage the account and use its credits to provide financing, directly or via bodies of intermediate, for small projects of agricultural production, labor, or supporting services that include manufacturing products, storage services, and marketing, said KFAED.
In addition, it explained that SFD would work the account in accordance with a prepared program, which is supposed to be agreed upon by Yemeni government and KFAED, continuing that SFD would also allocate an amount of no less than USD 2 millions to provide financing for small loans operations.