Community Led Finance
Lumanti works on the urban poverty issues particularly security of housing for the poor people. In order to materialize the goal of having secured housing by the urban poor communities, Lumanti has chosen micro finance as one of the priority areas since its beginning of engagement in development work in 1996. The aim of micro finance programme was to empower slum and squatter communities through improved economic conditions and self reliance. Lumanti adopted strategies to promote micro finance include to increase access and control over financial resources by the poor people, increase access to and opportunities for women to manage financial resources, promote and strengthen community-based financial institution and advocate for pro poor micro finance policy framework by the government/or micro finance regulating authority
The microfinance program was initiated by Lumanti in 1996. In it’s first year, 8 women’s saving and credit groups were established in communities from slums and informal settlements in Kathmandu and Lalitpur. By 2007, the number of saving groups increased to 259 with 5117 members.
This year the number of saving groups increased to 1126 with 29816 members. In the present scenario, total of 32 Women Saving and Credit Cooperatives have been registered and established all over Nepal. The women cooperatives have invested total of NRs. 744176996/- amount loan to its members providing secure home to 4680 families and toilets to 870 families. In addition, the women cooperatives are providing loan for income generation activities, education, treatment, foreign employment and many more as per the need of their members.
Lumanti provides financial and technical resources to woman's saving and credit groups/ cooperatives to empower urban poor communities focusing on women’s group by improving their economic conditions and promoting self-reliance. Lumanti believes that savings can be key tool in organizing leading to empowerment of women and development of the poor urban communities. Saving schemes is strong forms of community based finance that ultimately helps communities to access land and secured shelter and build a positive working relationship with the local governments.