Initiative:

All round financial succour to marginal farmers at village level

Beneficiaries:

Small and marginal farmer members of Choppadandi PACS, Karimnagar district, Telengana

The Challenge:

• Limited access to institutional credit
• Limited working funds of PACS, resulting in its inability to meet credit demands of members
• Farmers forced to borrow from moneylenders at exorbitant interest rates

The Solution:

• NABARD sponsored a 360-degree financial assistance programme to empower Choppadandi PACS which covered vehicle loans, loans against pledge of jewels, petty trade, etc.
• Business Development Plan was prepared covering credit and non-credit needs of members

The Impact:

• PACS members avail loans at affordable rates
• Nine villages covered under the programme
• 89% increase in deposit base of PACS; 37% increase in PACS share capital; 55% increase in profits
• PACS now a competitor to public sector banks in the area