Social Fund for Development
The Social Fund for Development (SFD) was established by Law No. (10) of 1997. The SFD's major function is to proactively contribute in implementing the government's economic and social plans by means of increasing access for individuals, households, micro-enterprises, communities, the poor and low-income groups to employment, production and social services. The SFD aims at providing development opportunities to the poor using and promoting innovatively participatory approaches in delivering basic economic and social services.  The areas SFD works in includes: Education, Health, Agriculture, Water & Environment, Cultural Heritage, Small & Micro Enterprises Development etc.

The Small & Micro Enterprise Development Unit (SMED) is the microfinance unit wing of SFD.  The first microfinance program in Yemen was started by SFD.  SFD is a pioneer in initiating microfinance programs in different Governorates of the country with the help of different donors.