Microfinance lifts sharecroppers’ living standards: Study

Micro finance institutions have played a key role in improving the living standards of sharecroppers, according to a study.  

This information came to light through a survey conducted by Shamunnay, a private organisation for research and development.   

The initial report of the study found that most of the sharecroppers have escaped from extreme poverty with microcredit from financial institutions. 

"More than 80 percent of the sharecroppers produced more crops than previous years, and 60 percent of them were found to consume better food, wear better clothes and educate their children," the study said. 

It added that those who received microcredit were found to be more stable than other sharecroppers in terms of owning houses, buying land, saving money and household income. 

The study titled "Impact Assessment of Credit Programme for Sharecroppers" was published on Monday at Brac Centre Inn in the capital. 

Dr Atiur Rahman, former Bangladesh Bank governor, and Dr Mohammad Mahfuz Kabir, researcher of the Bangladesh Institute of International and Strategic Studies, presented keynote papers at the seminar.

Speaking at the event, Planning Minister MA Mannan said, "The gap between the lower income and upper income groups of people has gone up immensely but the agony from hunger by the marginalised people has declined significantly," he further said.

The planning minister said the government has a participation in increasing the production of farmers. 

"We are giving subsidies in seeds, fertilizer, pesticide and other agricultural products," he added.

Qazi Kholiquzzaman Ahmad, chairman of Palli Karma-Sahayak Foundation, presided over the function.

He said financial inclusion is important for sustainable development. 

"We need to expand our services to widen the country's development," he added.

He said the microfinance institutions are playing a direct role in meeting the 13 sustainable development goals (SDGs).