The Grameen Bank micro-credit programme for ‘struggling members’ in Bangladesh: Empowerment to tackle social exclusion

Costs and savings

At least 32,156 people have left begging, and 9,792 people have joined as regular Grameen Bank members (Maddocks, 2011). Over time, 2,565 branches of Grameen Bank in 266 areas, spread across all administrative districts of Bangladesh, have implemented this programme.

The ‘struggling members’ are encouraged to save with Grameen Bank as they wish. They are covered by the loan insurance scheme under which their loans will be fully repaid by Grameen Bank in case of death. In addition, an amount of tk500 is provided from the bank's emergency fund to the bereaved family to compensate for burial expenses. In general, savings mobilization is an indicator of a program’s capacity for self-finance and hence, independence. Grameen Bank has drawn a large portion of its resources from grants and concessionary funds.