Workers’ empowerment: Akhuwat, HomeNet to launch loan scheme

LAHORE:

Akhuwat and HomeNet signed a memorandum of understanding (MoU) on Tuesday to launch an interest-free microfinance scheme for home-based workers. The programme is part of Chief Minister’s Self-Employment Scheme aimed at encouraging entrepreneurship.

Akhuwat Executive Director Amjad Saqib told a press conference the government had given funds to the organisation to distribute among home-based workers.

He said they had already been using a network of home-based workers, registered with HomeNet, to distribute loans. He said the loans ranged Rs10,000 to Rs50,000.

Saqib said in its earlier projects, Akhuwat had financed 750,000 families; the rate of pay back stood at 99.8 per cent.

HomeNet Executive Director Ume Laila Azhar highlighted various phases of the programme. She said the scheme was initially for Lahore and that it would be extended to other cities of the Punjab.

Several home-based workers pointed out discrepancies between the policy laid out by Akhuwat and those practiced in actual at some of its offices.

Samina Farooq, the leader of a group of home-based workers from Shalimar Town, said some workers had been asked to pay Rs50 for charity at the time of registration at the Madhu Laal Hussain office of Akhuwat. She said the verification process was, too, tedious. Saqib assured the workers that Akhuwat would look into the complaints. He said the verification process was necessary.

Published in The Express Tribune, December 10^th, 2014.