Microfinance for rural women



Microfinance for rural women

NeRuDO has been running the Grameen model micro credit program in accordance with Grameen Trust of Bangladesh since December, 1998 with seed fund of US$ 20,000 received from it as a loan. The program initiated from remote Manaharwa Village of Bara district has now expanded to dozens of villages of Bara, Parsa ,Makwanpur and Kathmandu districts thanks to the loan cooperation of Himalayan Bank, Kumari Bank, Nabil Bank, NMB Bank, Sunrise Bank, Bank of Asia Nepal, Royal Merchant Banking & Finance Co., Shree Finance & Investment Co. etc. The beneficiary members have crossed 10,000 with nearly 100% repayment rate.

The salient features of the on going microfinance project are as follows:

Eligibility criteria for participation in the microcredit group.
a) Per capita income US$ 55 (Rs.4180.00)
b) Land ceiling up to 0.33 Ha. (10 kattha)
c) Total Assets not exceeding Rs. 100000.00 (US$ 1315)

Five poor rural women are organized as a group while 5 to 8 such groups federate into a center after undergoing training program for at least a week, in which they are taught about group concept, their liability & credit and to write their name. They are given short orientation on cleanliness & personal hygiene and made aware about diseases like Malaria, HIV/AIDS and other water borne diseases.

While loan are processed easily on group liabilities without collateral, fortnightly repayment lessens the loan burden of the borrower.

Creation of group fund and group savings is encouraged to promote group self-reliance.
Initial loan of Rs.15, 000 which will increase by Rs.5, 000 every year up to a maximum limit of Rs.60, 000 in the 6th year is provided at a rate of interest of 10% flat.

Since the beginning of the project NeRuDO has maintained 100% loan repayment.

The different economic activities of the member are animal husbandry, poultry, grocery store, vegetable marketing, tea stall, pan shop, aquaculture, medicine shop, meat shop, fertilizer selling, roof ktile making and many more. Up to now more than 5000 loans has been extended in more than 70 categories.

Portfolio Report  Poush, 2075(unaudited) :

1. No. of Districts Covered : 4

2. No of Branches : 21

3. Number of VDCs/Municipality : 80

4. No of Members :19005

5. No. of Borrower : 14626

6. Total Group : 4873

7. No. of Centers : 1235

8. Total Amount Disbursed :6336565515

9. Total Amount Repaid :5447204093

10. Amount of Loan Outstanding : 889361422

11. Total Saving Balance : 402606969

12. No of Savers : 19005

13. Net Amount Due : 17011648.00(portfolio at risk*)

14. Repayment Rate : 99.%