Credit Program of Asa: Impact on Poverty Reduction in Some Selected Areas of Mymensingh District

Abstract

The present study assesses the impact of ASA credit program on poverty alleviation in Mymensingh district. Data were collected from a total of 60 stakeholders for six categories of enterprises each comprising 10 samples. The categories were petty business, tailoring, dairy raising, poultry rearing, daily hawkery and rickshaw pulling activities. Most of the credit beneficiaries (52 per cent) were young (20-30 years old) and maximum (52 per cent) of them were primary level educated. Respondents were involved in diverse income generating activities. Average ownership of the land was very low amounting only 14.16 decimal. The family size was 5.26 and the dependency ratio was 3.42. The average annual income of the household was TK.32,931 and it was increased by 86 per cent after involving with ASA group member. The overall per day per person income was TK.17 (US $ 0.26) before and increased by 23 per cent after involving with ASA credit program. Expenditure on family consumption, clothing, education and treatment were significantly increased after involving with ASA and the household assets value also increased by 28 per cent. The savings of credit beneficiaries after involving with ASA was an average TK.10,320 and before they were in deficit condition. The findings clearly indicate that the respondent households here improved their income and livelihood after involving ASA credit program.

Keywords: Association for Social Advancement (ASA), Credit, Poverty Reduction