PRADAN helps mobilise finances – from banks, government agencies, and the poor people themselves – towards investments in livelihood assets and working capital for projects. These resources are utilised for the core tasks of promoting people’s livelihoods, building their capabilities, organising them, and linking them to valuable resource institutions.
About two-thirds of the Self-help Groups (SHGs) promoted by PRADAN are presently linked to commercial banks and Regional Rural Banks. Through these linkages, PRADAN has been able to leverage between Rs. 10 to 15 crore as yearly loans.
Most of the funds are received directly by the SHGs, the people and producer groups. This enhances people’s capabilities in dealing with resource institutions. It also reinforces PRADAN’s identity as enablers of development, rather than mere financiers.
Grants from donors, complementing project-specific funds from government, are mainly used to cover expenditure for maintaining personnel, implementing field operations, organising trainings for the rural families, research and documentation, and management and administration.
Also See: Financial Support , Banks