MFI Report

MFI Background: It all started in 1987 with a small garage school in Sajida's founder's residence. By 1993 it evolved as a formal institution offering micro-credit to poor urban women in old Dhaka. Over the next decade, the micro-credit program diversified into different types of credit for a heterogeneous group of family entrepreneurs and simultaneously different types of social development programs were developed. As of June 30, 2007 Sajida had about 53,510 members used working in Dhaka, Narayangonj, Gazipur and Chittagong districts.

Main Challenges:
 High drop out rate of members due to migrant population.

 Duplication and overlapping of NGO activities.

 Natural disaster every alternate year severely affects the beneficiaries and puts them in a difficult position to repay the loan.

 Restricting multiple loans to some borrowers, some borrowers take multiple loans from different bodies thus becoming unable to repay the loan.

 Some mainstream financial institutions with profit focus have started lending to the clients that have been only covered by NGOs before.

 A detoriation in security environment badly affects both our beneficiaries and us which puts Sajida staff at risk. This is especially relevant in some peri-urban areas.

 Some individuals take loan at the urgings of some criminally minded influential persons at the community level and hand over the money to him instead of utilizing it for poverty alleviation. Hide