Micro Credit for Job Creation and Income Generating Activities (IGA)

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VOSD Started Micro Credit Program in 1988. VOSD creates employment and income earning opportunities for the poor organized group member through providing skill training, management training etc. and providing credit supports. It uses group savings, donors fund and revolving loan fund for Micro Credit Program. Before applying for loan each participant has to participate at least two training courses or workshop conducted by VOSD and also maintain minimum TK. 150 as savings with VOSD. The participant applies on the prescribed loan application form of the organization with the recommendation of the two group members to the related staff through the Chairperson of the group. The group first approves the loan application in the group meeting considering the above mentioned criteria and submits to the related staff and staff with recommendations submit to the Branch Manager. The branch manager analyzes and studies feasibility of the loan application and approves with the consultation of the credit coordinator or regional coordinator. After approval following the loan giving procedures, loans are given to the selected participant with an agreement where the group becomes the guarantor and becomes responsible for collecting the loan installments and deposit to the related staff. Loans are collected weekly or installment basis with 15% declining service charge. So far VOSD has provided TK. 148,35,72,500 for its micro credit program since inception. The loan repayment is quite satisfactory and the rate is about 99.07%. At present, the credit program has become very important, because for sustainability of the organization, group members and the program, it needs permanent income and support for the program members and help to improve their families’ economic condition.

MIcro-Credit Fund for IGAs

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VOSD Started Micro Credit Program in 1988. VOSD creates employment and income earning opportunities for the poor organized group member through providing skill training, management training etc. and providing credit supports. It uses group savings, donors fund and revolving loan fund for Micro Credit Program. Before applying for loan each participant has to participate at least two training courses or workshop conducted by VOSD and also maintain minimum TK. 150 as savings with VOSD. The participant applies on the prescribed loan application form of the organization with the recommendation of the two group members to the related staff through the Chairperson of the group. The group first approves the loan application in the group meeting considering the above mentioned criteria and submits to the related staff and staff with recommendations submit to the Branch Manager. The branch manager analyzes and studies feasibility of the loan application and approves with the consultation of the credit coordinator or regional coordinator. After approval following the loan giving procedures, loans are given to the selected participant with an agreement where the group becomes the guarantor and becomes responsible for collecting the loan installments and deposit to the related staff. Loans are collected weekly or installment basis with 15% declining service charge. So far VOSD has   provided TK. 148,35,72,500 for its micro credit program since inception.