Secure Farming for Rural Smallholder Farmers An Initiative on Non-traditional Financing Services

Publication Date: 30/04/2019

Krishi Utsho is a successfully proven supply chain model which has improved the food security situation of vulnerable farmers and their families. As part of the KU initiative, the idea of MEDA (Non-traditional financing initiative) project is to mitigate the financial predicaments of vulnerable farmers, through introducing financial institutions to provide benefits to the farmers and bring banks and financial services closer to them. The plan is to create a linkage with bank and insurance company to secure financial offers
by becoming a guarantor where farmers’ loan will be secured by the insurance services. The project is being piloted in Bogura and Jashore. As the starting point, a baseline study has been commissioned to assess the current situation and circumstances of the target beneficiaries. This report is a reflection of the findings of the baseline survey.

To capture the information to fulfill the objectives of the study, mixed methodology was used – wherein 100 KU beneficiaries (randomly selected) participated in the quantitative survey, while six FGDs (target beneficiaries), two IDIs (KU franchisee shop owners) and two KIIs (representatives from insurance company and commercial bank) were conducted to supplement the qualitative information to support the quantitative data.