Protecting Houses against Floods through microcredit and Micro-lending
- Bangladesh
- South Asia
ENTRY DATE: 09.03.2012 | LAST UPDATE: 09.03.2012
SCALE:
- Countrywide
TARGET AREA:
- Rural and Urban
BEST PRACTICE IN:
- Microfinance
KEY SECTOR:
- Disaster Risk Reduction and Management
FUNDING AMOUNT:
Description of Intervention
The Grameen Bank plays an important role for the adaptation to the impacts of climate change. Since 1984, the bank has given out credits for the building of houses, and supports the population by funding preventive measures against flooding. The approach has become very important for the adaptation strategy in Bangladesh. To date, 600,000 houses have been funded with credits of the Grameen Bank. These small loans are paid back on a weekly basis. The microcredit system builds on a system of shared responsibility: Families and communities support each other, thereby realizing a payback rate of close to 100 percent.
Problems to be Addressed
Impacts of frequent flooding on houses in Bangladesh
Aims
Provision of low cost housing loans