The Myanmar government has planned to set up micro-credit schemes in villages in four townships on the west bank of the Chindwin River in Monywa, northwestern Sagaing region.
As part of the efforts for rural development and poverty alleviation, the micro-credit schemes will be launched in Pale, Yinmabin, Salingyi and Kani townships, according to official media reports Monday.
A total of 250 million Kyats (about 333,000 U.S. dollars) will be injected into the first phase of the schemes which will kick off in December, Minister of Information and Culture U Kyaw Hsan told a coordination meeting on the move.
The establishment of the micro-credit schemes is aimed at providing capital to rural people and flourishing micro-credit schemes in rural areas and encouraging the schemes to become non- profit business.
Myanmar is striving for rural development as part of its efforts to alleviate poverty and a work committee, headed by Vice President Dr. Sai Mauk Kham, has been formed.
A wide-ranging survey of livelihood of household, jointly conducted by Myanmar's Ministry of National Planning and Economic Development and the United Nations Development Program (UNDP) showed that although the poverty rate of the country decreased from 32 percent to 26 percent, the gap between urban and rural areas is still widened as pointed out.