Project Name
Fishermen’s Finanical Assistance Scheme
Project Period
On-going since 1987
Project Objectives
To develop the local fishing industry and community through private financing.
Project Budget
QL has provided interest-free advances to fishermen in rural villages for the last 24 years. These advances have grown annually by about 5%. To date, we have provided advances to more than 700 fishermen, amounting to more than RM25 million.
Project Description
The Fishermen’s Financial Assistance Scheme was created to help fishermen and communities who have been largely ignored by financial institutions, which deem them too risky for investment. Beginning early in the company’s history, QL has established suitable and sustainable funding for some of the most underprivileged of these fishing communities to support them in their endeavours. This support has a number of objectives: to ensure better working conditions and decent pay for fishermen, to develop their environmental understanding and to provide a source of capital with which to build, upgrade and modernise their fishing fleets.
With a stringent lending-management practice and in-depth understanding of the risk factors, QL minimises its exposure to defaults. Similar to microfinance, pioneered by Grameen Bank in Bangladesh, we believe that access to capital empowers fishermen and allows them to improve their livelihoods. This initiative is a successful win-win project in which QL secures its long-term supply of marine catch while also creating a far-reaching, socio-economic impact in rural fishing communities.
Benefits & outcomes of QL’s FFAS project are as follows:
- Advances the fishing industry in rural fishing villages through the modernisation of fleets, facilities and modern environmental practices.
- Secures long-term supplies of marine catch.
- Develops fishing village communities through the creation of local economic activities and multiplier effects.
