Andhra Pradesh - Eluru   

Pilot project mooted to end rural poverty

Staff Reporter

Financial needs of targeted families to be met

ELURU: The West Godavari district administration proposes to launch a pilot project to eliminate poverty in 300 villages.

An action plan was unveiled at a workshop on ‘Total financial inclusion through self-help groups’ held here on Saturday under the aegis of the District Rural Development Agency (DRDA).

The project would be implemented in villages falling under the service areas of six public sector banks with a bank-linkage amount of Rs. 250 crores. According to a report, 20 SHGs would be covered in each village with a bank-linked finance of Rs. 4 lakhs for each group.

Delivering the key-note address, P. Vijayamohan, Chief Executive Officer of the Society for Elimination of Rural Poverty (SERP), said the pilot project would focus on poverty elimination in targeted families by taking care of their financial needs in collaboration with banks.

Investment for additional income generation, working capital for existing livelihood, meeting the needs for health improvement, school and college fee for children, financing a marriage or construction/repair of a house formed part of the financial needs, he said.

The total financial inclusion through which the SERP proposed to fight poverty was aimed at expanding the banking services to cover all those who had hitherto not been able to access those services, he added.

Mr. Vijayamohan said surveys revealed that only 11.5 per cent of the financial needs of the rural poor were met by banks while the rest was met by money-lenders and other private sources.

Collector G. Jayalakshmi called for concerted efforts by official agencies and NGOs in expanding the base of DWCRA groups by bringing all the families into their fold so as to ensure an organised effort in fighting poverty.

G. Veeraprasad, NABARD Assistant General Manager, V. Nilmani Patil, Deputy General Manager, Andhra Bank, K. Subramanian, Deputy General Manager, State Bank of India, attended the workshop.

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