Targeting the Hardcore Poor

This is a unique programme designed for the poorest of the poor. They are selected through a Participatory Rural Appraisal (PRA) exercise. Grants (in the form of free assets, not cash) are offered to destitute women. Prior to extending the grant, necessary training is provided to manage the asset. They start generating income from this asset and are consequently able to sustain their livelihoods. It is seen that within 24 months of this grant intervention, these hardcore poor beneficiaries develop enterprise skill, start to graduate in order to uplift themselves from extreme poverty and get linked to mainstream society.

This programme follows a 360-degree approach. Besides free assets, consistent counselling and mentoring support is also extended. A weekly consumption stipend (considerable amount of cash) is also given to these women to meet their daily basic expenses until the assets begin to yield returns. Financial literacy is imparted so that they can make informed financial decisions. They are encouraged to open a savings account with any bank. Education on socially relevant issues is also offered to increase their awareness and help them live better lives. Overall confidence building is done so that they do not fall in the poverty trap again.

Over the years, it has been seen that there is a positive impact of this intervention in the lives of many. There are certain beneficiaries who have moved from a stage in life where they were even contemplating suicide for want of money to a position where they earn reasonable monthly income, have a healthy life and are able to support their families.

The state governments of Bihar, Rajasthan and Jharkhand have shown keen interest in this programme and have collaborated with Bandhan-Konnagar to implement this programme in select districts.

This innovative programme has been evaluated by Nobel laureates Abhijit Banerjee and Esther Duflo. Raghabendra Chattopadhyay of Indian Institute of Management, Calcutta, and Jeremy Shapiro of European Council of Foreign Relations, were also a part of the evaluation team. This programme works closely in line with the Sustainable Development Goal 1 (end poverty in all its forms everywhere) of the United Nations.