The New Nation - Internet Edition

UNB, Rajshahi

Poor people, who took micro credit from non-government organizations here, are being exploited as NGOs doing brisk business in the name of providing credit. Sources said different NGOs - BRAC, ASA, Grameen Bank and Caritas - disbursed micro credit among poor people in all the nine upazilas in the name of alleviating poverty.

But the borrowers are facing problems as they are being forced to pay high interest on loan, resulting in worsening of their economic condition.

Many recipients have to sell their belongings for repayment of loan every week and many of them are taking loans from oone NGOs to repay the loan of another.

NGOs provide loans among people but they do not monitor in which sector the money is being spent. They only care about collection of borrowed money and its interest, alleged local people. A borrower is to pay Tk 1,000 in interest against a loan of Tk 10,000, they said.

A borrower, Lokman of Ratugram village in Durgapur upazila, lamented that he has been passing his days in great distress as, he had to sell his only piece of agricultural land to repay the loan he received from an NGO.

Local people alleged that poverty alleviation programme of NGOs proved a hoax, as it did not bring about any welfare to the borrowers.