View source for The Causes Of The High Rate Of Drop-Out Amongst Micro-Financ




== Top 20 FREQUENT WORDS ==
rds 84
bangladesh 82
development 75
micro 66
rural 66
loan 58
investment 56
mfis 55
sustainability 55
financial 54
program 48
poverty 46
finance 44
clients 43
institutions 36
management 35
alleviation 33
outreach 32
islamic 30
borrowers 29
issues 29
rate 29



== DOCUMENT KEY POINTS ==
*theoretical and empirical researches in urban management the bangladesh perspective jannat ara parveen faculty of business administration university of chittagong chittagong bangladesh number may ara bd yahoo dot com abstract the main focus of this research is to critically evaluate the sustainability issues of interest free microa finance institutions mfis in general and a recently developed micro finance model rural development scheme rds of islamic bank bangladesh limited ibbl in particular

*being inspired by the success of the grameen model in the field of micro finance many government and nongovernment mfis and ngos have come foreword to alleviate the sufferings of the poor and the distressed people with their micro finance program following the gb model in toto or with slight modifications chowdhury
*it is also held that most of traditional secular ngos mfis are not able to operate at break level without subsidies from outside sources and hence are not able to provide less cost effective credit investment program

*a comprehensive study of micro credit schemes in asia africa and south america indicates unanimously that the benefits of the micro credit schemes under study were not scale neutral the upper and middle income poor tended to benefit more than the poorest of the poor hulme and mosley
*inflexible and nonnegotiable repayment schedules have implied little assistance in coping with stress events and financial shocks suffered by members and have also caused liquidation of assets by families in order to meet theoretical and empirical researches in urban management deadlines snodgrass and sebstad

*in this context the following objectives have been set to have a critical evaluation of sustainability of the said micro finance model in terms of financial and number may economical viability and outreach
*data description in this study rural development scheme rds of islamic bank bangladesh limited ibbl has been chosen as a sample mfi to evaluate its sustainable development in poverty alleviation and rural development of bangladesh

*an overview of the rds model evolution of interest free mfis in bangladesh is a response to the urge of safeguarding the islamic way of life in the face of a massive penetration of interest in rural areas through the conventional mfi ngo approach
*along with the essential pre conditions that the modes of financing must be interest free a salient feature of such a scheme might have the following elements it should have programs that encourage side by side efforts of people from all economic strata helping and promoting growth it should have components independent or integrated as a wider part of a program directly benefiting the poor and needy

*due to rds s relaxed investment lending formalities the above potential borrowers will have chance to come under the micro investment assistance and so to develop the economy of the country
*once customers sign their loan agreement with the bank and then they are asked by the bank to select a raw material supplier and to bring invoices for the price of raw materials that they require for their project

*it is stated in the earlier section that in genuine and in danger cases like a sidar or other natural calamities default borrowers are given some special scopes till they get in financial viability including waiving some installments according to the principles of the institution field survey
*in exceptional case with income generated beyond the date of the installment payment a timely token payment is adviseable followed by payment of the residual amount along with the next due installment www dot concept and ideology rural financing

*on the other hand economic sustainability can be gauged from an easily quantifiable proxy of the impact of rural financial intermediation in lieu of a full costtheoretical and empirical researches in urban management benefit analysis yaron et

*the manager and project officer of the relevant bank branches together with the fs field supervisor are empowered to plan organize and implement the rds investment program in the areas with little or no supervision from the head office of ibbl chowdhury
*the bangladesh perspective minimum iii cost to clients cost of loan to users both price and transaction cost iv breadth no of users borrowers v length time frame in which a micro lending organizations mfis produce loan vi scope no

*summary of the findings this research mainly covers background purposes of the investment credit program selection criterion of the beneficiaries measuring sustainability in terms of institutional viability financial and economical viability of the sample mfi and outreach of its target borrowers in terms of market penetration and loan portfolio etc

*due to rds s relaxed lending formalities the above potential borrowers will have chance to come under the micro investment assistance and so to develop the economy of the country � the micro credit being a credit in kind rather than cash the lending institutions become sure that this type of investment assistance provided to the needy and experienced poor is being properly utilized since this cannot be transferred to their members of the families and relatives
*moreover employees are trained at the islamic bank training academy at no extra cost to them rds annual report number may � beneficiary selection processes are almost same like other mfis on the basis of land ownership ie families having maximum of

*the manager and project officer of the relevant bank branches together with the fs field supervisor are theoretical and empirical researches in urban management empowered to plan organize and implement the rds investment program in the areas with little or no supervision from the head office of ibbl chowdhury p
*it is stated in the earlier section that in genuine and in danger cases like a sidr or other natural calamities default borrowers are given some special scopes including waiving some installments by the institution field survey in till they get in financial viability

*however the findings of the study reveal that though rds has very strong avenues in case of micro investment assistance it is yet to develop in many aspects of its program and beneficiaries in this regard some just policy implications have been suggested below so that this type of program can spread its mission and vision not only in bangladesh but also in any region of the world number may � according to the survey of the present study and other research findings rahman chowdhury hamid et


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== DOCUMENT WORD ANALYSIS ==
=== Main Category ===
: AlHuda Material\islamic micro


=== KeyWords ===
loan microfin islam borrow programmatic repay busi financial incom officeas finance activa insurable applic service relief policies local amount econometric



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== DOCUMENT REFERENCES ==


=== Number of Pages ===
22


=== Published Date ===
2009-04-27 21:20:26


== Full Document ==


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[[Category:Islamic Finance]]

[[Category: Islamic Micro]]