Asset Creation Loan under INRICH

Project Summary

The Asset Creation Loan under the INRICH Programme was implemented by Shishu Niloy Foundation (SNF) from October 2015 to 30 June 2026 in Elangi Union of Kotchandpur Upazila, Jhenaidah District, with financial support from Palli Karma-Sahayak Foundation (PKSF). The project aimed to improve the socio-economic condition of poor and ultra-poor households by enabling them to acquire productive assets and strengthen their long-term livelihoods.

Implemented through the dedicated team of the Elangi Branch, the project organized 148 members (35 men and 113 women). During the implementation period, PKSF provided BDT 5.8 million through 14 instalments, enabling SNF to provide affordable asset creation loans with an 8% service charge. The project officially concluded on 30 June 2026 after successfully achieving its intended objectives.

Goal

To reduce poverty and promote sustainable livelihoods by supporting poor and ultra-poor families in creating productive assets, strengthening asset ownership, and improving long-term economic resilience.

Objectives

  • Enable disadvantaged households to create and retain productive assets.
  • Support land purchase and the release of mortgaged or leased land to restore ownership rights.
  • Finance the purchase and installation of income-generating physical assets.
  • Complement existing livelihood and income-generating activities through affordable asset creation loans.
  • Invest in human capital by financing education and long-term vocational training.
  • Enhance household income, financial security, and self-reliance.

Impact

The project significantly contributed to improving the economic stability of participating households. Access to affordable asset creation loans enabled beneficiaries to acquire productive resources, increase their income-generating capacity, and regain ownership of valuable assets such as land. The project also strengthened financial inclusion, enhanced livelihood resilience, and empowered women through increased participation in productive economic activities.

Achievements

  • Successfully implemented the project for more than a decade (2015–2026).
  • Organized 148 beneficiaries, including 113 women and 35 men from poor and ultra-poor households.
  • Disbursed BDT 5.8 million in loan funds received from PKSF through 14 installments.
  • Facilitated land purchase and the redemption of mortgaged or leased land for eligible households.
  • Supported beneficiaries in acquiring productive assets for sustainable income generation.
  • Promoted investment in education and long-term skills development to improve future earning opportunities.
  • Contributed to strengthening household asset ownership and long-term economic resilience.

Challenges

  • Limited repayment capacity among extremely poor households during periods of economic hardship.
  • Rising costs of land and productive assets reduced purchasing power over time.
  • Climate-related disasters and market fluctuations occasionally affected beneficiaries’ income and loan repayment.
  • Limited access to markets and business development services constrained the full potential of some income-generating activities.

Learning

The implementation experience demonstrated that asset creation is an effective pathway to sustainable poverty reduction when combined with affordable financing, livelihood support, and capacity building. Integrating asset creation loans with livelihood development initiatives significantly enhances long-term economic outcomes. The project also highlighted that investing in women, education, and productive assets creates lasting benefits for families and strengthens community resilience.

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