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Impact of Enhancing Financial Capabilities of Union Parishad Project in Two Selected Upazilas of Bangladesh

M. R. U. Mian
Assistant Professor
Dept. of Agricultural Finance, BAU, Mymensingh, Bangladesh

M. Dhanibullah
Former MS Student
Dept. of Agricultural Finance, BAU, Mymensingh, Bangladesh

F. A. Huda
Assistant Professor
Dept. of Agricultural Economics, BAU, Mymensingh, Bangladesh

Abstract/ Executive Summary:

The management process of EFCUP project was simple and UP played the central role in the project implementation. The project disbursed credit mostly to beneficiaries of landless but active age group and female beneficiaries were in disadvantageous position compared to their male counterpart. Before joining the EFCUP project, all the UPs had very insufficient surplus income and some of them suffered from deficit of funds. After joining the project both total and net incomes increased irrespective of income generating activities (IGAs). Moreover, except cow rearing all other IGAs contributed significantly in terms of net income to the UPs under study. Among them contributions of rickshaw/van pulling and market development were highly significant.

Keywords: Impact, EFCUP, UPs, IGAs, Management

Location: Muktagacha of Mymensingh and Domer of Nilphamari district

Start Date: 00-07-2001

End Date: 00-12-2001

Program Area: Socio-economic and Policy

Non-commodity: Social status

Objectives:

(i) To study the management process of EFCUP project,

(ii) To determine the socioeconomic characteristics of the secondary beneficiaries (SBs),

(iii) To know the income and expenditure patterns of UPs, and

(iv) To evaluate the impact of EFCUP project.

Methodology:

The study was carried out in the Department of Agricultural Finance, Bangladesh Agricultural University, Mymensingh. However, the field-work for the study was carried out in two upazilas namely Muktagacha of Mymensingh and Domer of Nilphamari district during July-December, 2001. Thirteen UPs from these upazilas, 04 from Muktagacha and 09 from Domer were selected as primary beneficiaries (PBs) and then 54 respondents (33 and 21 respectively) were selected randomly as secondary beneficiaries (SBs). Out of these 54 SBs, 43 were male and 11 were female. Data from SBs were collected using interview schedule and the same from PBs were collected from published and unpublished documents of CARE and the UPs. Both tabular and functional analyzes were done to achieve the objectives of the study. All the cost and return items were estimated at the prevailing market price.

Source of Information: Bangladesh J. Train. and Dev., Vol. 18(1&2),2005: 65-72 ; ISSN 1013-0306

Article Link (Online Journal):

Funding Source:

Total Budget (Tk.) :

Achievement/Findings:

The management process of EFCUP project was simple and borrower friendly though it incorporated collaboration with CARE-Bangladesh and UPs. Most of the SBs took agriculture and day-laborer as their means of survival and female beneficiaries were poorer than the mule beneficiaries. Moreover, maximum of the beneficiaries were landless and females were in more disadvantageous position. The project disbursed credit to the borrowers of active age group. The amount of fund available for development activities of the UPs was very insufficient. Most of this income was spent for paying salary of staffs. After meeting routine expenses there remained very negligible amount to undertake new development works. EFCUP project became able to make the UPs eligible to perform development activities. The IGAs selected for enhancing the income of the UPs were more or less successful. Almost all the IGAs contributed significantly in the net income of the selected UPs. So the concerning authority should undertake EFCUP and this type of projects to ensure the solvency of rural government bodies to ensure sound rural development of Baugladesh.

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