Microfinance Programs Help Poorest of the Poor

At the parallel session, “Creating and Enhancing Assets of the Rural Poor,” Fazle Abed, founder and chairperson, BRAC, Bangladesh highlighted his 30 years of experience with microfinance programs. BRAC was started with a $30,000 USD grant, and funding has expanded as the programs have had great success. As the conference is about the poorest of the poor, he highlighted recent work with who he called the ultra poor (those who make less than $.35 USD a day). The ultra poor program is a two year program in which to stabilize credit for poor families. The cost for the program is $300, with $150 for asset transfer, and $150 for time with BRAC staff for assistance for the family. Families are provided with a portfolio of options in which to choose.