The research aimed to identify the microfinance difficulties faced by the beneficiaries of
the financing of the National Microfinance Institution and its impact on the target group in
terms of improving living conditions, encouraging individual ini
tiatives and increasing
employment opportunities. The research was based on the descriptive approach. A random
sample of 200 beneficiaries The researcher excluded (9) questionnaires for lack of validity
for the statistical analysis, thus the number of remaining questionnaires valid for analysis
(178) was identified, with a response rate of (89%). . The study found a number of results,
the most important of which are: The beneficiaries of the financing of the National
Microfinance Institution face funding difficulties at the start of the project. The loan
interest is very high, the loan ratio is low compared to the size of the loan required,
Scheduling, routine and administrative procedures when submitting a loan application, the
long period of time to obtain approval for a loan application, insufficient repayment
periods, and tightening of the guarantee application. The results showed that the funding
provided by the National Microfinance Institution did not play the required role in
improving the standard of living, encouraging individual initiatives and increasing
employment opportunities.