Kashf Rural Finance Program
The program will provide access to financial &non-financial services, build associative strength and market linkages of rural women managers
I confirm that I am fully aware of the eligibility criteria, and based on its description, I am eligible to apply to the CSV Prize 2017.
Start-Up (a pilot that has just started operating)
Annual budget in 2017 (USD)
Number of beneficiaries impacted so far
Nonprofit, NGO, or citizen sector
Headquarters location: Country
Headquarters location: City
Location(s) of impact
Pakistan: 10 cities in the province of Punjab and Sindh
Female entrepreneur in Sindh province running her own cattle rearing business
Kashf Foundation team helping female rural managers in the city of Harappa
Problem: What problem is this initiative trying to address?
The rural sector of Pakistan has high visibility of women who are more involved than men in livestock activities such as rearing and breeding cattle, milking, fodder cutting, watering, bathing animals, dung cake making, manure collection etc. These women face constraints like lack of access to capital to purchase animals, lack of proper information on feeding and disease prevention, improper or non-existent use of vaccinations, absence of proper markets for sale and purchase and lack of proper animal husbandry practices
Solution Summary: What is the proposed solution? What do you see as its most promising aspects for creating shared value?
Kashf’s women centric rural product is premised on financing small-scale investment in dairy and meat sectors in Punjab and Sindh province with loan amount in the range of PKR 30,000-100,000, building the associative strength of female rural managers and delivering quarterly trainings on animal husbandry techniques with a focus on keeping animals healthy and productive through improved breeding practices, disease prevention measures and optimal feeding requirements. Kashf also aims to provide financial education trainings to these women to increase their understanding on better managing their finances and utilizing the acquired loan optimally in their enterprises. The product is currently being piloted in the city of Harappa in Sindh province and Kashf intends to expand the scope of this pilot and test the product at 10 other locations in Punjab and Sindh province. Through this pilot project, Kashf aims to reach a total of 11,250 rural clients in the next 18 months.
Impact: What is the impact of the work to date? Specify both the social and the environmental impact of your work
The value and benefit of rural finance for women producers involves the ability to expand their businesses and improve cash flow by purchasing better breeds of livestock. Their ability to also access technical information and training on best practice animal husbandry will encourage them to follow practices that will lead to increased milk and meat production. It is anticipated that with such loan and associated non-financial services, the quality of life for the producers’ families will improve through better financial management and increased incomes. Cattle insurance provided with this product also secures them in cases of untimely death/illness of the animal. Additionally, the product will increase the role of women producers in these value chains and also enhance their economic contribution to the household. Impact assessment for Kashf reveals that 98% of Kashf loans are used for productive purposes, 96% clients report increase in income and 68% of them expand their businesses.
Financial sustainability plan: How is this initiative financially supported? How will you ensure its financial sustainability long-term?
Currently Kashf is self-supporting the operational costs of the program, including the product research and development, setting up branches and disbursing loans among rural female clients. However Market Development Facility (MDF), which is Australia's flagship private sector development programme, is currently providing financial support in hiring and training a project manager and developing training material for the female rural clients under this program. In the long term Kashf plans to pitch the program to various donors, foreign and local lenders as well as corporate organizations to financially support Kashf's rural finance product and help provided sustainability to the women working in the livestock sector.
Unique value proposition: What makes your initiative innovative? How does your project differ from other organizations working in the same field?
Kashf’s Rural Finance program is innovative & tailored to the needs & capacities of smallholder livestock owners; facility provided by very few financial service providers. It provides rural women access to finance, equips them on better animal husbandry practices, form partnerships for non-financial services, build their financial management capacity through financial education trainings & create market linkages to facilitate the availability of appropriate & affordable animals & quality inputs
Founding story: Share a story about the "Aha!" moment that sparked the beginning of this initiative.
25% of Kashf branches are in rural areas and 42,000 of current active businesses are from the livestock sector which is around 17% of current loans disbursed. Kashf’s experience with designing and implementing products and services for low-income women and experience in both group and individual lending methodology puts Kashf in a unique position to provide financial services for rural women. Primary research conducted by Kashf in the provinces of Punjab and Sindh indicated high need and demand for a rural livestock product for female producers in the livestock sector, majorly to purchase more livestock and expand their enterprises. Owing to the need and the organization's expertise, Kashf decided to develop a customized and pro-poor rural finance product to meet the financial and non financial needs of female rural managers.
Where did you hear about the Nestlé Creating Shared Value Prize?
Upon recommendation from others