2020-04-23-21-06-1f9fd9f631baa4b9be7eea99bf8cb614
The Prime Minister's Special Initiative on Poverty Alleviation A House One Farm Project (now called My Home My Farm Project) was adopted in 2009. The Palli Sanchay Bank was established in 2014 with the intention of the Hon'ble Prime Minister to institutionalize the activities of the project. The authorized capital of the bank is Rs.1000 crore and the paid up capital is Rs.200 crore, the value of each share is Rs.100 crore. The government owns 51% of the bank's shares and the associations own 49% of the shares. The Board of Directors of the Bank consists of 15 members, out of which 6 are elected by the Government and 1 is elected by the Association from each administrative department. The main objectives of the bank are to raise funds for the poor and disadvantaged people of the country, increase the savings tendency of the members, alleviate the poverty of the poor people, make women financially self-sufficient by employing them in income generating activities, increase economic and social development and women's empowerment. To alleviate poverty from the country by performing the functions of saving and acquiring the assets of the association and its members, by providing loans and advances. In order to empower women and make them financially self-sufficient, each association has 40 women members out of 60 members. Managing SND accounts of bank associations, savings deposit accounts of members, monthly deposit accounts, school banking accounts etc. In order to prevent the members of the association from having to sell their agricultural products at low prices, they provide loans at low service prices in various other productive sectors including short service loans. The bank is providing training and low service loans to 1 lakh entrepreneurs. The bank is providing loans to new sectors for the development of its members.

As per the Rural Savings Bank Act, under the project, the liabilities and assets of 40216 societies formed before 30/06/2018 have already been transferred to the bank and the funds are being transferred to the bank in phases after formation of funds among the later formed societies. So far 56293 village associations have been transferred to the bank with 32 lakh members and funds. When the project period ends in June, 2020, the remaining associations will be transferred to the bank. After the transfer of all the associations from the project, the total number of associations will be 1.20 lakh and the number of members will be about 55 lakh. These associations are being conducted in remote areas of the country.

In order to provide financial services to the members of the associations, branches have been set up in the bank's own building in 465 upazila headquarters and branches are in the process of being set up in 5 more upazila headquarters. The bank has set up district offices in most of its own buildings in each district. The district office oversees the branches. The authorized manpower of the bank is 625 persons. There is one field worker working in each union. The bank is providing financial services to its members through its own online banking software. To make the financial services more accessible to the members, the bank has launched its own digital financial service "Pallilenden". One member of each association is being appointed as a transaction manager (agent) who is transacting the members' money while sitting in the village. This service has created additional income opportunities for the transaction managers, the members of the association can withdraw remittances sent by their expatriate relatives from the area through the village transaction managers. Apart from this, all the bills and various allowances payable by the government can be withdrawn through this service. Members do not have to come to the branch located in the Upazila Sadar to perform banking activities. As a result, labor and expenses of the members are being saved. Members are in the process of carrying out all banking activities through their own mobiles. Through this service, members will be able to perform all banking activities from their own mobile while sitting at home. The bank is going to launch an online e-commerce system to market the products produced by the members of the association. This system will create an opportunity for the members to sell their products at reasonable prices. The service cost of micro loan of the bank is only 6% and the service cost of SME loan is only 5%. The members of the village association and the customers of the bank are very poor. All these members are trying to alleviate poverty by increasing their income by setting up income generating agricultural farms in their homes. Statistics show that 33% of the members invest in raising cattle, 21% in raising poultry, 11% in fish farming and 12% in setting up agricultural farms.

Palli Sanchay Bank is moving ahead to alleviate the poverty of the poor people of the country and is playing an important role in implementing the objectives and goals of the government.