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Employment-Generation Project for the Rural Poor

Employment-Generation Project for the Rural Poor

This project worked to generate employment in rural areas to benefit landless people, women and potential microentrepreneurs. Specifically, the project:

  • ensured that loans tailored to the requirements and capacities of potential microentrepreneurs were available
  • enhanced local banks' capacity to deliver credit efficiently to microentrepreneurs
  • took advantage of every possibility to deliver credit to potential microentrepreneurs and to generate employment, using the services of suitable NGOs, private agents and intermediaries

During its seven years of operations, the project extended credit to more than 19,565 microentrepreneurs – more than double the number originally envisaged. The recovery rate of loans was close to 90 per cent, and a survey conducted by the Bangladesh Bank revealed that the income of 500 sample entrepreneurs who had received loans had increased by 90 per cent.

Source: IFAD


Status: Closed

Country

Bangladesh

Approval Date

12 April 1995

Duration

1995 - 2001

Sector

Credit and Financial Services

Total Project Cost

US$ 21.9 million

IFAD Financing

US$ 14.85 million

Co-financiers (Domestic)

Domestic Financing Institutions US$ 5.13 million

Beneficiaries US$ 1.92 million

Financing terms

Highly Concessional

Project ID

1100000431


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