Objectives of a Non-Conventional Financing System

A non-conventional financing system, targetted towards the low-income families, can have objectives that are both internal to the family, as well as external:
  1. To create more opportunities for savings by the establishment of appropriate financial institutions.
  2. To harness resources where they are availble and direct them to projects for low-income families.
  3. To improve the financial stability of low-income families by providing them with oportunity to build up savings.
  4. To enable low-income low-income familie to contribute to the solution of their own problems by providing them with sufficient credit for that purpose.
  5. To provide long-term loans to local agencies to enable them to undertake sustained programmes of development in different areas.
Source:
UNCHS (HABITAT), Guidelines for the Preperation of Shelter Programmes. Nairobi: United Nations Centre for Human Settlements.
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Hari Srinivas - hsrinivas@gdrc.org
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