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Ghulam Mohammad

Addressing Precarity through Entrepreneurship

Ghulam Mohammad is a 53-year old man living with his mother, wife and four children in District 1 of Mazar-e- Sharif, in Balkh province. His eldest daughter, who is eight years old, is studying in a private school.

Ghulam Mohammad was working as a driver in Samangan for seven years. He wanted to have his own car, which he could not afford. He applied for his first loan of AFN 100,000 from The First Microfinance Bank (FMFB) and together with his AFN 40,000 in savings, he was able to buy a car and start working along the highway between Samangan and Balkh provinces.

After three years, he decided to permanently move his family from Samangan to Balkh. With the 2nd cycle loan of AFN 75,000 from FMFB and his own savings of AFN 90,000, he opened a grocery shop in Mazar city and it has now been nearly six years since he has been running his own business.

Ghulam Mohammad received two consecutive loans for a value of AFN 200,000 each; he invested in expanding his shop, adding more items based on the demand of the community. As a result, he attracted more and more customers, increasing his income in the process.

He was able to hire an employee to help him with his business. ┬áHis income increased and he was able to build a house for his family, provide an additional person with employment and continuously support his daughter’s private school education.

His monthly income increased from AFN 6,000 to AFN 24,000 and his household expenses also increased from AFN 4,500 to AFN 15,000. Similarly, his monthly savings increased from AFN 1,500 to AFN 3,000.

Ghulam Mohammad has AFN 300,000 capital invested in his grocery shop and has plans for further expansion. He also aims to add another floor to his house and his family can look forward to a brighter future with a better quality of life.