MICROFINANCE PROGRAM
MICROFINANCE PROGRAM at RHECO
Microfinance Program
The organization started its first loan program on May 14, 1994 after receiving registration. From the experience of the executive director of the organization for a long time, When he started setting up branch offices, He left the district town, upazila headquarters and set up offices in the villages of remote rural areas to get closer to the poorest people. At that time, they had no idea that the hardworking poor people of the area could get quick loans from NGOs on such easy terms. The organization gradually mobilized them to develop the habit of first depositing savings and started providing group loans. At present, the organization is disbursing micro loans, business loans, cattle rearing, agricultural loans at low interest on easy terms as prescribed by MRA, with the aim of poverty alleviation. The repayment period of loan based schemes has also been varied so that the poor people benefit from the loans. Weekly installments for rickshaws, vans for small businesses. 8/10 months are given for cattle rearing, fish farming and 6 months for agricultural loans.
By taking loans from the organization, many families have now become self-reliant, freed from the scourge of poverty. Being able to send children to school and feeding them with good clothes and nutritious food.
Microfinance Products
RHECO has developed need-based microfinance products to meet the demand of most vulnerable poor who require additional support to develop the skill for self-employment in order to come out of abject poverty. The products of RHECO Micro Finance are as mentioned below:
Jagaran
The Services of this product are providing through 15 branches and borrowers are allowed to use the loan mainly for income generating activities (IGAs) like. Agriculture, livestock realigning small business, local transport vehicle operating etc.
Agrasor
The entrepreneurs who are running business and making gross profit but are in need of more capital or have shortage of capital can get larger loans under this package for their enterprise development.
Sufalon
Through there is huge potentials in investment is made in this sector. RHECO is working in this sector to provide the facility for the farmers by giving them credit support according their need and provision of repayment after the harvest. In the traditional microfinance the borrowers have to start their loan installment after investing the money regardless of getting return from there. This creates immense pressure on that enterprise and even makes loss. The newly introduced onetime installment system has reduced this extra pressure and thus gives a new dimension of RHECO microfinance service.
Microfinance Performance at a Glance
| Description | 30th June 2023 | 30th June 2024 |
| District covered |
4
|
4 |
| Working Thana/Upazila |
10 |
10 |
| Union/Powrasava |
75
|
82 |
| Village overed |
357
|
402
|
| Total staff in microfinance |
81 |
96 |
| Field Officer |
49
|
60 |
| No. of Branch |
14 |
15 |
| No. of Members |
11485
|
14817 |
| No. of Borrowers |
9286
|
11543 |
Cumulative Loan Disbursement (Tk. in Crore)
|
333
|
434 |
| Cumulative Loan Collection (Tk. in Crore) |
288
|
368 |
| Current Loan Outstanding (Tk. in Crore) |
44
|
66 |
| Cumulative Saving Collection (Tk. in Crore) |
49
|
63 |
| Cumulative Saving Refund (Tk. in Crore) |
38
|
48
|
| Member Of Saving (Tk. in Crore) |
11
|
15 |
| Cumulative Fund Received (Tk. in Crore) |
77
|
106 |
| Cumulative Fund Refund (Tk. in Crore) |
49
|
66 |
| PKSF & Bank Fund Outstanding (Tk. in Crore) |
27
|
40
|
Cumulative Recovery Rate (CRR)
|
99.82% |
99.61% |
|