AN EXERCISE IN WORLDMAKING 2009 - ISS

9 Tailoring Credit Programs along the Logic of the Poor 107
Table 2
Summary of characteristics of innovative programs for the very poor
MFI
Nisho
Prakalpa
IGVGDP SafeSave QCDP
Targeting
method
Training
Marketing
assistance
Other nonfinancial
services
Innovations
Women in
vulnerable and
remote areas.
Selection of poor
households by
mainstream
program
members and
officials.
Yes, limited to
learning to sign
their names and
discussions
related to health
and education.
Yes, if possible.
Yes, health and
education.
No groups.
Variable loan
term. Consumption
loans.
Leasing, e.g., of
goats.
Source: Hickson (Table 1, 2001: 62)
Very poor
women, selected
by local
government
officials on the
basis of land and
income.
Yes, extensive
training in
poultry
production and
seri-culture.
Yes, e.g., dayold
chicks provided,
to be sold
as layers,
veterinary care
organized.
Yes, health and
education.
Establishment of
a coordinated
program of input
supply and service
provision to
support a poultry
production
chain.
All households
selected in
Dhaka slums.
Basic training
in program
rules and
operation.
No
No
No groups.
Very flexible
loan length,
timing and
repayment
schedule.
Unrestricted
daily savings
deposits and
withdrawals.
No loan-use
restriction.
Selection of poor
villages based
upon vulnerable
geographic location.
Small loan
size and high
interest rate to
deter richer
households.
Basic training in
program rules and
operation.
No
No
Very flexible loan
length, timing,
repayment schedule.
Unrestricted
daily savings
deposits and
withdrawals.
Use of local commissioned
agents.
No loan-use
restriction.
keeping in mind the capacities and interests of the very poor, facilitate
loan repayment and savings build-up.
Hickson makes a strong case by saying that both positions have merit
and that the two approaches are not mutually exclusive. However, practical
experience of the very poor in relation to microcredit so far sup-