Create a 2 page essay paper that discusses Policy Brief #2 Poverty Alleviation and Microcredit Institutions.
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As an example district kohistan of Pakistan had per capita annual income was hardly US $ 150.00 .The Micro finance bank of Pakistan (MFBP) came into this district in mid 1990s. The first thing the bank did was to get the consolidated reports of the ownership rights of the people over mountainous property of the people from the revenue department in order to determine the title of people. Then the MFBP issued passbooks to the people on the landed titles. The institution made small cooperative societies in every village of around 100- 200 households. MFBP advanced loans for the rehabilitation of scrub forest, indigenous poultry, sheep and goats and wherever possible dairy farming (MFBP 2006). The recoveries were affected through local headmen. Loans for tractors as carriage vehicle and bigger mechanical shops and gas stations were also sanctioned. By and large the response was positive. In early 2000 it was observed that the same district had shrub forest, developed shops, big poultry farm, and organized sheep and goat farms. The shops are looming on the roadside. There are hundreds of girls in the local private English medium schools by now. The banks recovery rates are 85-90 %.
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