Finance for Enterprise Development and Employment Creation Project

The US$ 57.8 million development project aims at stimulating pro-poor growth to increase employment opportunities and reduce poverty. It started in January 2008 and will run until 2014.

FEDEC is designed as a nationwide project with focus on the rural areas. It is implemented and co-financed by the Palli Karma-Sahayak Foundation (PKSF), a government apex funding agency for NGOs, and its partner non-governmental organizations who are operating in all 64 districts of Bangladesh.

The project focuses on three major activities:

  • Microenterprise loan. The project aims at enabling about 117,000 microenterprise borrowers, selected from existing microcredit groups, to expand their businesses and develop new ones.
  • Strengthening of value chains. The project  supports the microentrepreneurs to add value to on-farm and off-farm products during the various stages of the market chain, from the purchase of raw materials to the sale of finished products.
  • Training. FEDEC trains the beneficiaries to manage their businesses more effectively. It also trains partner organization staff in microenterprise lending and the appraisal of small business
    ventures.

Expected benefits of the project are an increased production from farm and non-farm enterprises, better integration with markets, upgrading of technologies, improved livelihoods for microentrepreneurs and associated employees. Other benefits include improved household food security and nutrition, empowerment of women, access to sustainable financial services for the target group, improved capacity of partner organizations to provide technical services to microentrepreneurs as well as an increase in employment opportunities for rural poor households.
 

Source: IFAD

Haor Infrastructure and Livelihood Improvement Project


The goal of the Project is to contribute to the reduction of poverty in the HaorBasin, and it will be implemented in five Haor Districts: Netrakona, Habiganj, Brahmanbaria, Kishorganj and Sunamganj.

The project will mainly benefit:

  • the poor households living in the Haor basin;
  • smallholder farming households with less than 2.5 acres of land;
  • small fishing households deriving a major share of their income from fishing;
  • women from poor households; and
  • small traders and market intermediaries in local markets.

The project will improve the living standards and reduce the vulnerability of the poor by promoting:

  • enhanced access to markets, livelihood opportunities and social services;
  • enhanced village mobility, reduction in production losses and protection against extreme weather events;
  • enhanced access to fishery resources and conservation of biodiversity;
  • enhanced production, diversification and marketing of crop and livestock products; and
  • efficient, cost effective and equitable use of Project resources by stakeholders.

 

Source: IFAD

Char Development and Settlement Project IV


The Char Development and Settlement Project IV will help reduce poverty and hunger for poor people living on newly accreted coastal islands (known locally as chars). Its goal is to provide improved and more secure livelihoods for 28,000 households in coastal chars, who will benefit from the development of water management, communications, water supply, cyclone protection and other infrastructure.

The project will adopt an integrated approach to coastal zone development and will:

  • support water resource management to protect land on three of the five chars from tidal and storm surges, improve drainage and enhance land accretion.
  • finance climate-resilient infrastructure for communications, access to markets, cyclone protection, potable water and sanitation in all five chars.
  • seek to obtain secure land titles for 20,000 households. This will involve surveys to assess availability of land and current ownership status and the selection of target group households, followed by a process of land titling, which will include improvements to the land record system.
  • seek to improve livelihoods and household resilience. Agriculture support will aim to enable farmers to make better use of land resources.
  • support the establishment of a single technical assistance team that will, in particular, be responsible for learning and disseminating lessons for coastal zone development and planning the future development of new chars.


The project will also provide additional support to the more disadvantaged sections of the community such as:

  • landless settlers who do not have proper title to the land they are now occupying;
  • other landless households that can be settled on any public land that is now vacant; and
  • women, who will be particularly targeted for NGO activities and for participation in labour contracting societies (LCSs).


Source: IFAD

Sunamganj Community-Based Resource Management Project


This 11-year project is working to improve participants' access to essential services and resources, to diversify their livelihood options and to empower women in a district that is remote, neglected and characterized by destructive flooding patterns.  The vulnerability and livelihood insecurity of its inhabitants are severe, and households headed by women are particularly vulnerable. Specifically, the project:

  • provides access to savings and credit services at the village level, focusing on the promotion of high-value products with established marketing chains (livestock and fisheries)
  • supports the transfer of water and land management rights to participants to improve their access to and control over natural resources. It also promotes community-based habitat restoration to increase the production and availability of fish to local fishers
  • promotes labour-intensive infrastructure development (including village erosion-protection works and storage facilities) to provide employment opportunities to the poorest and most vulnerable people, particularly women, and to reduce threats of erosion and flooding
  • empowers women by addressing strategic gender needs such as access to knowledge and technology, control over productive resources, and development of leadership and management skills

The project's target group includes landless, marginal and small-farmer households and women.

 

Source: IFAD

Participatory Small-scale Water Resources Sector Project
 

This project will develop sustainable small-scale water resource management systems in Bangladesh that will lead to improved crop yields and better livelihoods for about 1.7 million people.

The aim of this project is to ensure effective water management in an area covering 208,450 hectares of cultivable land.

A key feature of this project is the involvement of small-farmers in small-scale water resources management through their involvement with community-based associations. They will also get training in water management, agriculture and fisheries production.

Better management of water resources is critical. Bangladesh faces several challenges in its water management including severe annual flooding, river-induced erosion and water shortages in the dry season. These problems are compounded by an inadequate water management infrastructure, the low involvement of users in water management and lack of funds for maintenance and running costs.

The project supports the Bangladesh Government’s National Water policy and will develop flood management, better drainage and water conservation that will improve small and marginal farmers’ lives. It will do this by bringing increased crop yields, more fish in extended fishing areas and intensified cropping systems. People without access to any land are also likely to benefit from non-farm employment generated by agricultural growth.


Source: IFAD

Smallholder Livestock Development Project


The project worked to improve the incomes of disadvantaged, landless people and poor people, with special focus on women. It expanded the application of a technical package for poultry developed to provide income opportunities for landless people and marginal farmers, primarily women, on a sustainable basis. The project also developed and tested approaches for increasing the nutrition available for cattle, goats and poultry at farm level.

Source: IFAD

Special Assistance Project for Cyclone Affected Rural Households


The overall aim of the project was to strengthen the coping strategies of rural households hit by the 1991 cyclone. The project had two specific objectives:

  • to rehabilitate the productive potential of people affected by the cyclone by replenishing livestock and repairing infrastructure (for example, by rehabilitating fish ponds and fishing vessels)
  • to lay the foundations for increasing community resilience in vulnerable areas by strengthening capacity to cope with crises resulting from natural disasters

The project also helped equip a more effective cyclone early-warning system and constructed ten cyclone shelters in the Kutubdia area.

Source: IFAD

Agricultural Diversification and Intensification Project


The main objectives of this seven-year project were to:

  • boost agricultural production and the incomes of rural poor people
  • establish and strengthen community organizations
  • increase employment opportunities
  • strengthen government services and NGOs in order to support farmers
  • develop basic rural infrastructure

The project piloted a scheme of market operating groups (MOGs). Thirty-five groups were formed from members of microcredit groups ready to increase the scale of their operations. The loans made available to MOG members were significantly larger, enabling them to expand their enterprises, especially where they also received appropriate training. The results of the MOGs revealed that members had increased their incomes substantially because they were able to enlarge the scope of their activities such as producing and marketing eggs and vegetables, or take on additional income-earning activities such as sewing and food processing.

Source: IFAD

Aquaculture Development Project


One of the greatest difficulties facing poor fishing communities in Bangladesh is to obtain access and user rights to bodies of water. Until recently, water bodies were leased from the government by rich landowners who then hired fishers to work on them as labourers. IFAD has persuaded the government to lease bodies of water directly to fisher groups that can use their new-found security of tenure to develop such areas and maximize their fishing capacity.

Building on experience gained and lessons learned from the IFAD-funded Oxbow Lakes Small-Scale Fishermen Project, this eight-year IFAD-initiated project is working to improve the living standards and village-life conditions of fishing communities and women's groups in the project area, where 49 per cent of all households live below the absolute poverty line. The project focuses on two disadvantaged groups of rural poor people:

  • landless and near-landless people and women, a category that covers the majority of the small-scale fishing population
  • marginal and small-scale farmers, including a large number of households that make their living from aquaculture

Specifically, the project works to boost fisheries and aquaculture production and incomes of people living in poverty. It establishes and strengthen community organizations to ensure that their members have access to bodies of water, and that technical and social services are provided on a sustainable basis. It improves women’s status by including them in the project’s main activity of pond aquaculture and by supporting them in other income-generating activities. The project upgrades the resource base through the rehabilitation of suitable large bodies of water and fish ponds. It facilitates access to and from rural communities by upgrading rural roads, thereby improving marketing possibilities for the inhabitants of the 450 project villages.

As a means of empowerment, the aquaculture project has reintroduced the concept of land owned by the community for the benefit of the community. By making it possible for fishers to organize themselves into groups, IFAD enables them to work and manage such waterways directly.

 

Source: IFAD

Smallholder Agricultural Improvement Project


This six-year IFAD-initiated project is working to boost the food production and household incomes of rural poor people in three districts in the north-central area of Bangladesh . The overall goal of the project is to improve food security and living standards while improving the economic infrastructure serving targeted rural households. An important secondary objective is to strengthen key institutions, including community groups, the Department of Agricultural Extension, the local government Engineering Department and NGOs. Specifically, the project:

  • contracts suitable NGOs to form, train and support cohesive project participant groups
  • strengthens extension services and reorients their approaches to ensure that project participants take part in the planning and implementation of activities
  • increases employment opportunities for the landless, functionally landless and women by providing collateral-free credit for income-generating activities
  • promotes activities to benefit minority groups and improve basic infrastructure, with a focus on providing adequate access roads and marketing and training facilities

To ensure that project participants have access to credit, the project has established pilot revolving funds (for savings and credit) administered by the community and supported and supervised by suitable NGOs. Private commercial banks are invited to participate in credit supply and to support selected NGOs.

The project is also involved in testing six pilot ecological villages, with community biogas plants and energy-saving stoves, to improve village living conditions.

The target group includes landless and marginalized people and small farmers, with particular attention to households that are headed by women, adivasi (indigenous families) and charlanders (people living on newly formed riverbanks). About 131,000 households are expected to benefit from the project, including 13,000 adivasis and 5,000 charland households. Project funds for indigenous families are channelled into a development fund for their exclusive use. The project also expects to benefit the entire population of the area by improving basic infrastructure and living conditions.

 

Source: IFAD

National Agricultural Technology Project


Through the project, IFAD supports the government’s strategy to increase agricultural productivity and the incomes of poor farmers. The objective of the project is to improve the effectiveness of the national agricultural technology system for the benefit of small and marginal farmers. Project activities address a general lack of improved technologies and weakness of research and extension services. The project’s goal is to improve the quality of national research and extension services and to make them more responsive to farmers’ needs by ensuring that they are increasingly demand-driven.

By intensifying and diversifying production systems and supporting value chain development, project activities will directly benefit members of farming communities. Activities will bring indirect benefits for landless and other extremely poor people by creating an increased demand for labour. Because of  the widespread poverty and overall vulnerability of women, the project focuses on improving women’s access to knowledge and technology.  

By decentralizing extension services and sharing responsibilities for planning and implementation of activities, the project ensures the participation of poor rural people. Common interest groups of crop, livestock and fisheries farmers will form producers’ organizations and federations. The groups will have a key role in value chain development and particularly in strengthening farmer-market linkages.

Source: IFAD

Microfinance and Technical Support Project

The rural poor people involved in this project have limited access to land in an area affected by extreme yearly flooding. Their vulnerability is increased by dependence on moneylenders, seasonality of income and emergencies caused by illness. In addition, formal government services for rural development at the local level (agriculture, livestock, fisheries) are limited. NGOs are present but mainly provide only savings and credit services. The private sector is growing in importance every year as a result of privatization programmes.

The project focuses on mitigating poor people's vulnerability, improving their access to essential services and resources, and supporting their livelihoods, particularly through livestock.

Focusing on the promotion of high-value products with established marketing chains that do not require large landholdings, the project provides access to savings and credit services.

In line with the draft PRSP, the project is working to improve technical service provision to rural poor people by contracting input supply and service provision through NGOs and the private sector. A programme of skills development is being provided for project participants and NGO staff. To reduce the vulnerability of women, the project enables them to gain access to knowledge and technology, to take control of productive resources, and to acquire leadership and management skills.

 

Source: IFAD

Microfinance for Marginal and Small Farmers Project

The goal of this six-year project is to improve the livelihoods of poor, small and marginal farmer households. The project is expected to:

  • establish viable microfinance institutions to provide opportunities for 210,000 small and marginal farmer households to invest in on- and off-farm enterprises
  • increase agricultural production through access to information, adoption of new technologies and linkages to markets
  • develop and mainstream Palli Karma-Sahayak Foundation (PKSF) operational procedures for lending to farmers and related agro-enterprises

The project area includes 14 districts in the north-western and north-central regions of Bangladesh , selected because they have high levels of poverty and good agricultural potential. The total population of these districts is 28 million, and some 1.7 million will be reached by the project. The project focuses in particular on households that experience a food shortage (less than three meals a day) for more than two months a year, and on especially disadvantaged households (tribal households, those headed by women and those with unemployed youth).

 

Source: IFAD

Market Infrastructure Development Project in Charland Regions

Charland is land located in an active river basin that is subject to erosion and accretion. The project includes areas characterized by severe annual flooding and extensive river erosion in the coastal and estuarine chars of Bangladesh . They are home to some of the country's poorest people.

The project targets people who produce primarily for the market, including farmers growing crops or raising livestock on small landholdings, fishers and fish farmers and people who engage in non-farm enterprises such as food processing, basket-making and cloth-making. The project also targets small-scale traders, particularly women.

Poor people in these areas often depend on landlords and moneylenders, and their income is seasonal. They are vulnerable to emergencies such as death, illness and loss of crops.  Many live in remote districts with weak communication links and a lack of government, health and education services. In addition, charland communities have poor road access and limited markets.

This IFAD-initiated project will adopt a people-centred approach, identifying potential producer groups in char areas, strengthening their capacity and developing market and communications infrastructure to support them. It will build physical infrastructure such as market facilities and farm-to-market roads while boosting capacity for market management. It will also provide market traders, small business operators and producers with technical and management training and access to credit. The project will specifically promote opportunities for women traders.

Building on the success of NGO microcredit programmes in Bangladesh , IFAD will work with experienced NGOs to support group members, mainly women. The project will establish working-level synergies with the Netherlands-funded Char Development and Settlement Project - Phase III and  the second phase of the Agricultural Sector Programme Support project funded by Danish International Development.

 

Source: IFAD

Pabna Irrigation and Rural Development Project

This, IFAD's first project in Bangladesh, was created to improve the basic infrastructure of one of the most important and vulnerable agricultural areas in the heart of the country. It was designed to increase agricultural production, generate employment and improve farmers' living conditions by providing flood embankments, improving existing channels and installing drainage pumps to protect an area of about 185,000 ha from annual flooding.

Source: IFAD

Fertilizer Sector Programme

The programme's objectives were to support Bangladesh's agricultural development strategy, in particular to rapidly increase food production through quick-yielding measures such as increased fertilizer use. Households with small landholdings were targeted. A principal concern was to improve national availability of fertilizer, which was previously unavailable to poor farmers with small landholdings, the main beneficiaries of the programme.

Source: IFAD

Small Farmer Agricultural Credit Project

This project constituted one of the first concentrated efforts to improve a specific, vulnerable population's ability to work themselves out of poverty by providing supervised credit and by supporting rehabilitation of important infrastructure. The target population consisted mainly of farmers with small holdings of very poor quality land, and small pond owners. The project increased crop and fish production among 70,000 small farmers and 3,000 pond owners.

Source: IFAD

Southwest Rural Development Project

This project addressed development issues in one of most important and densely populated regions in rural Bangladesh. It worked to:

  • increase agricultural production (particularly food production) by improving irrigation and other essential production inputs
  • strengthen cooperative (worker-buyer/government) relationships governing the lives and livelihoods of rural poor people
  • encourage the landless to participate in these cooperatives and to develop and support activities designed specifically to benefit them

During the course of the project, credit was provided to more than 10,500 poor people, 53 per cent of them women. The project demonstrated that providing credit (together with skills training) to rural poor people is a better investment than providing similar credit to large farmers.

Source: IFAD

North-West Rural Development Project

This project was the counterpart of the Southwest Rural Development Project, addressing many of the same problems in a geographically and demographically different area. The project focused on small farmers organized into village cooperative societies (300,000 families) and landless men and women organized into landless cooperative labour (80,000 people). It worked to achieve the same three objectives as the Southwest Rural Development Project.

Source: IFAD

Small-Scale Flood Control, Drainage and Irrigation Project

In this project IFAD worked with the Government of Bangladesh to increase food grain production, farm incomes and rural employment opportunities. The main activities supported by the project were designed to reduce the depth, intensity and incidence of flooding in order to increase crop yields from one to two harvests per year and to make those harvests more abundant. The project also introduced a new rice variety that produced higher yields. In addition, improved farm technology and management practices were implemented.

Source: IFAD



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