1. Selection of the new PO

2. Financing the credit programs of the POs

3. Institutional development of the POs

Selection of the new PO:

PKSF apprises the new organizations who are competent to operate microcredit programs for the landless-assetless people and comply with the ideology of the Foundation. The selection procedure is a continuous process and guided by a thoroughly designed 'PO Selection Policy'.

Financing the credit programs of the POs:

After enlisting an organization as PO, PKSF provides loan to facilitate the ongoing microcredit program. The rate of service charge, which varies from 3% to 5%, depending upon the volume of the loan size, is much lower than the bank rate. This loan is recoverable in three to ten years. POs disburse loan among the landless-assetless for off-farm income generating activities and the landless-assetless peoples repay the loan with the service charge (usually at the rate of 12.50%) in fifty weekly installments.

Institutional development of the PO:

PKSF gives emphasis on institutional development in order to enhance its own capacity as the apex microcredit institution and the capacity of its partner organizations (POs) for on-lending credit to the targeted clients. The institutional program, which is being implemented presently, includes measures to enhance financial sustainability of POs, strengthen accountability, improve staff skills and assess socio-economic impact microcredit programs.