Akuwat Islamic Microfinance Bank’s Retention Model : How Borrowers Are Converted to Donors

The study aims at providing the reasons for the conversion of borrowers from Akhuwat, to beneficiaries. Akhuwat is a microfinance institute of Pakistan based on a humanitarian cause of providing interest-free loans to the needy in order to empower them and provide them with an opportunity to change their dependence. A distinguishing trend of Akhuwat is that its borrowers are motivated to not just earn a source of income ethically but also become donors and benefit the cause of the organization. Their unique retention aspect is followed by a number of principles that shape their Qarz-e-Hasna program. The reasons identified are helping in desperate times, religious reinforcement, assistance in business development, and provision of independence. The success pattern of each element is discussed in the study. The study is exploratory research. The research method used is interviews and authentic information available over the internet