MICROCAPITAL BRIEF: Government of Khyber Pakhtunkhwa, Pakistan, Allocates $66m to Microfinance, Primarily for Youth, Artisans

The government of the Pakistani province of Khyber Pakhtunkhwa has reportedly allocated PKR 6 billion (USD 66.3 million) to microcredit. The loans will primarily be given to artisans under the Bacha Khan employment scheme, which gives interest-free loans to youth to start businesses. The project was launched by the nonprofit Sarhad Rural Support Programme (SRSP). Since its inception, SRSP has served approximately 1,380,000 households through 6,730 projects. No further information on Bacha Khan is available.

The 30 Pakistani microfinance institutions that reported 2010 data to the US-based Microfinance Information Exchange (MIX) held an aggregate gross loan portfolio of USD 261 million disbursed to 1.9 million borrowers.

By Charlotte Newman, Research Associate

About Sarhad Rural Support Program
Sarhad Rural Support Program (SRSP) is a nonprofit organization that works to encourage economic development among communities in the Pakistani province of Khyber Pakhtunkhwa and the federally administered tribal areas (FATA) in the northwest of the country. Since its establishment in 1989, its programs have addressed community housing, drinking water and sanitation, irrigation, micro hydro-electricity generation, microfinance, education and community investment funds. Since its inception, SRSP has served approximately 1,380,000 households through 6,730 projects. Financial information on SRSP is not available.

Sources and Additional Resources:

Pakistan Observer: “Rs6b Allocated for Micro Finance Scheme,” http://pakobserver.net/detailnews.asp?id=148628

MicroCapital.org story, March 11, 2012, “MICROCAPITAL BRIEF: State Bank of Pakistan (SBP) Scaling Up Nationwide Financial Literacy Program (NFLP),” https://www.microcapital.org/microcapital-brief-state-bank-of-pakistan-sbp-scaling-up-nationwide-financial-literacy-program-nflp/

MicroCapital.org story, February 28, 2012, “MICROCAPITAL BRIEF: State Bank of Pakistan Aims to Disburse $134m via Microfinance Banks to Agricultural Sector in 2012,” https://www.microcapital.org/microcapital-brief-state-bank-of-pakistan-aims-to-disburse-134m-via-microfinance-banks-to-agricultural-sector-in-2012/

MicroCapital.org story, February 28, 2012, “MICROCAPITAL BRIEF: ‘Mubadarati’ Initiative Backed by United Nations, Silatech to Provide Microfinance to Young Palestinian Entrepreneurs,” https://www.microcapital.org/microcapital-brief-mubadarati-initiative-backed-by-united-nations-silatech-to-provide-microfinance-to-young-palestinian-entrepreneurs/

MicroCapital Universe Profile: Sarhad Rural Support Program
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Sarhad+Rural+Support+Program+%28SRSP%29

Browse the MicroCapital Universe and add your entry to the wiki at https://www.microcapital.org/microfinanceuniverse/

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