Preface

MSS presents annual report to its readers covering the fiscal year 2008-2009 with detailed
overview. Albeit the impact of recession still persists nonetheless some of the areas of Women’s
Credit Program experiences a better performance in the fiscal year 2008-2009 due to some
productive measures taken by the management.

As of June 2009, the active clients of Women’s Credit Program reached at 102,175 and the
overall loan recovery rate was 99.09% during the reporting period. The operational self sufficiency
has increased to 136.25% during the reporting period compared to 131.12% in 2007-2008. The financial
self sufficiency has also increased to 125.97% in 2008-2009 from 122.56% in 2007-2008. While the
savings-credit ratio has been decreased to 47.95% during the reporting period compared to 60.10% in the
previous year.

Offering larger loans to microenterprize loanees towards alleviating poverty by creating more
employment opportunities reflects a commitment of the management towards reducing poverty
of the marginalized people.

Apart from addressing poverty through microfinance, MSS as part of its social development
initiative is also promoting food security, good governance, human rights, non-formal education,
water and sanitation and health services for the welfare of the disadvantaged segment of the
society.

The success of the programs especially the women’s credit program during the reporting fiscal
year is the all out efforts of the committed and dedicated staffs of MSS and the cooperation of the
project participants as well. We express our heartfelt thanks to them for their hard job and
cooperation.

Participation of development partners and the government of Bangladesh in our development

efforts through the financial and technical cooperation are highly appreciated. We are thankful to
them for their cooperation.

A N Md. Emam Hasanath Rafique Sajjad

Executive Director President
Preface

Chronological Program Highlights

Governance
Institutional Overview
Women’s Credit Programs (WCP)
Other Information of WCP
Self-Sustainable Social Services Program (SSSSP)

Voter and Civic Education and Observation of the 9th Parliamentary Election
Project Dignity
SHOUHARDO Program

Educational Support Program

Water and Sanitation Rehabilitation Activities
Preparedness for Effective Emergency Response (PEER) Project
Rehabilitation of Non-motorized Transport Pullers and Poor Owners (RNPPO)

Human Resource Development (HRD)

Networking and Advocacy
Audited Financial Statements

List of Executive Committee

Chronological Program Highlights

1974 MSS Started through Rehabilitation Program “Cloth the Nude”

1977 Got an Organizational Shape
1978 Registered with the Government Agencies
1982 Initiated Family Planning Program
1984 Initiated Micro Finance Program
1989 Initiated Women’s Credit Program (WCP), Phase-I
1991 MSS received prestigious Prime Minister’s “Population Award-1991
1991 Launched Women’s Credit Program, Phase-II
1992 MSS received the Mayor’s Award for its EPI Program
1992 Initiated Governance Partnership Program
1996 Got Sustainability in the Micro Finance Program
1997 Initiated Electoral Assistance Program and Set up Day Care Program in Slums
1998 Started Partnership with CARE Bangladesh INCOME Project-II
1999 Initiated Self-Sustainable Social Services Project
2000 Initiated Civic Voter Education & Legislative Support Service Project
2001 Started Partnership with CARE Bangladesh INCOME Project-III
2002 Land Purchase for MSS in Dhaka City for multi purpose use
2003 Purchased office space and shifted head office and other project offices at its own office.
2003 Initiated Study Circle Resource Center Project
2003 Initiated Human Rights Education Project
2004 Partnership with Commercial Bank for micro finance Program
2005 Launched SHOUHARDO program with CARE Bangladesh
2005 Introduced Merit Nurture Initiative Program under WCP
2006 Launched Project Dignity with Grameen Trust
2006 Initiated MSS-Foundation for the Justice Friendship Project
2006 Launched Preparedness for Effective Emergency Response Project with Concern Worldwide
2006 Initiated Voter and Civic Education and Observation of the 9th Parliamentary Election
2006 Initiated partnership with Election Working Group (EWG) of The Asia Foundation
2007 Became member of Palli Karma Sahayak Foundation (PKSF)
2007 Launched Rehabilitation of Non-motorized Transport Pullers and Owners Project
2007 Became member of International Housing Coalition (IHC)
2008 Became member of Banking With The Poor (BWTP) Network
2008 Got Microcredit Regulatory Authority (MRA) Certificate
2009 Started construction of Community Based Resource Center (CBRC)
Governance
General Body (GB), Executive Committee (EC) and Management
Any adult citizen engaged in any profession and with initiative and enthusiasm for social welfare is
eligible to become a member of MSS General Body (GB). General body members elect a seven member
executive committee (EC) for two years period from amongst themselves in accordance with procedures
specified in the constitution.

EC formulates policies and guidelines to the management and appoints the executive director and other
project directors. They are full time staff of the organization and are responsible for execution of the
policies. The top management is supported by a group of committed staff.

MSS has a 16- member general body. President who is the chairperson of the EC is the promoter of MSS.
EC has necessary skills to assist the management. EC is elected every two years. It meets at least four
times a year. In case of emergencies, it may, however, meet anytime to cope with the situation.

Functions of GB, EC and Management

The GB mainly approves annual report, audit report, budget and appoints the Auditor. The CEO is
appointed by the president as per powers delegated to him by EC. Different committees constituted by EC
exist. The CEO has job description prepared by EC in addition to the broad job responsibilities as
stipulated the constitution. The performance of CEO is evaluated by EC particularly based on the success
of the programs.

Transparency
MSS prepares annual reports and audits its accounts by external auditor. The reports are used for
dissemination to different stakeholders.

Strategic Focus
MSS has a 10 years business plan. The Finance Committee gives its views on any plan before placing the
same to EC. The organization adopts programs based on the needs of its target people. The organization
sometimes encounters challenges during natural disaster and when slums are evicted. Its operations are
often affected due to deterioration of law and order in the slum areas.

Internal Control Systems

MSS has internal auditing and a monitoring system in place. In addition, it has management information
system (MIS). MSS has a Finance Committee (FC) to deal with financial matters. The finance committee
meets every month. MSS has a staff committee and a core committee. Each committee has its own terms
of references. For smooth operation of microfinance activities, it has a committee at the area level called
Loans Administration Committee (LAC) that meets once a week. Branch managers also sit in the LAC
meeting. The committee looks into progress of clients and programs. LAC gives formal approval of loans.
The organization has service rules and procurement policy. MSS follows the policy strictly for any
purchase.

EC meeting is held quarterly. Management reports on programs and financial status or any special
projects or issues of importance to EC by CEO. CEO discusses matters with the President who then
consults all relevant issues with the members. If the issue is financial, the convener of finance committee
is consulted. Decisions of the committee are recorded.
There is an internal audit department headed by coordinator audit who reports to the CEO on any
discrepancy that he finds at the head office and field level operations. MSS has its finance department,
which follows international accounting standard and principles. The finance department maintains cash
books, ledger, different register and all relevant documents. The staffs are involved in recording all
financial transactions, preparing financial statement, budgets and analyzing financial report. Regular
supervision and monitoring are done to see accuracy of reports and information sent from the field level
offices.

The CEO and the chief accountant sign all cheques regarding operational expenditure. But for receiving
any local and foreign fund, president or treasurer signs with either CEO or chief accountant.

The financial statements are prepared monthly as well as on yearly basis. These include: Receipt and
Payment Account, Income and Expenditure Account, Balance Sheet and Cash Flow Statement. To
evaluate financial performance ratio analysis is also done periodically.
Institutional Overview
Background

Manabik Shahajya Sangstha (MSS), a national level non-government organization

started its mission to stand by the distressed people with humanitarian aid when the
country was hit by a massive flood in 1974. After the task is over and having an
organizational shape in 1977, MSS redirected its focus to poverty alleviation and
empowerment of the poor, especially the urban and rural women of Bangladesh.
Thereafter, MSS started health and population services in 1982; an integrated savings and
credit program for urban poor in 1984 which has since become sustainable and was again
in the front-line when focus of development shifted to building democratic societies and
promoting good governance.

Alongside working for poverty alleviation of the poor MSS is also promoting human
rights, good governance and food security with a vision to establish a society free from
poverty where there is equality among citizens and citizens’ rights are respected.

Up to June 2009, MSS expanded its operational area in 60 thanas of 15 districts of Bangladesh.
MSS is growing by learning from experience and through a responsive and inductive process.

Legal Status
MSS is registered under the following agencies:
■ The Societies Registration Act 1860.
■ The Voluntary Social Welfare Agencies (Registration & Control) Ordinance 1961.
■ The Foreign Donation (Voluntary Activities) Regulation Ordinance/ Rules, 1978.
■ The Directorate of Family Planning under the Ministry of Health and Family Planning.
■ Microcredit Regulatory Authority
Vision
Establish a society free from poverty where there is equality among citizens, citizen’s rights are
respected and they actively participated in the democratic process for establishing those rights.
Mission
Empower disadvantaged people by developing their institution building and leadership
capabilities, enhance their awareness on rights and provide access to resources for their Socio-
economic upliftment.

Objectives of MSS
The objectives of MSS include:
■ Undertake welfare projects for the under privileged segments of the society;
■ Promote rights, democracy and good governance;
■ Promote savings and extend credit to under privileged urban and rural women;
■ Provide healthcare services, family planning and child immunization and clinical back up;
■ Provide relief to calamity stricken people.
Programs and wings of MSS
Women’s Credit Program-WCP
i. Area survey
ii. Baseline survey
iii. Women’s mobilization
iv. Institutional building
v. Savings mobilization
vi. Provide Credit
vii. Encourage micro entrepreneurship
viii. Provide IGA & Skill development
training
ix. Awareness raising and counseling
x. Disaster response
xi. Merit Nurture Initiative
Self-Sustainable Social Services Program
i. Day Care Center
ii. Family Planning
iii. Mother and Child Health
iv. General treatment
v. Awareness raising education
Human Rights Education Project
i. Social mobilization
ii. Awareness raising
iii. Watch group formation
iv. Protection of human rights
Food Security Program
SHOUHARDO Program
i. Community mobilization
ii. Capacity building
iii. Commodity distribution
iv. Infrastructure development
v. IGA support
Networking & Advocacy
i. Initiate networking
ii. Partnership with NGOs
iii. Consortium
iv. Advocacy at national level
Training & Development
i. Capacity assessment/TNA
ii. Module /Manual development
iii. Training conduction for staffs
iv. Skill training for clients
v. Training evaluation
Research, Monitoring & Evaluation
i. Base line survey
ii. Research conduction
iii. Progress monitoring
iv. Impact assessment
v. Mid term evaluation
vi. Final evaluation
vii. Case study
Wings of MSS
i. Program Department
ii. Finance & Accounts Department
iii. Research, Monitoring & Evaluation
iv. Training Cell
v. Internal Audit Department
vi. Administration and MIS Department
vii. Media / Publication/ Learning Cell
viii. Documentation & Reporting Cell
Women’s Credit Programs (WCP)
Introduction

The microfinance program of MSS is being used as an important tool for poverty alleviation and
empowering the poor. MSS took the first initiative to start urban micro credit program in 1984
styled as “Small Credit Fund” (SCF) with the objective of encouraging income generating activities
in the non formal sector for poverty alleviation and empowering the disadvantaged segment of the
society. In that program urban poor male and women were target group. On the basis of the good
performance shown by the women member in the SCF, MSS started Women’s Credit Program in
1989 as an integrated savings and credit program.

On the basis of successful operation in the previous years, MSS-WCP management decided to
expand its activities in more urban and rural areas by enrolling more distressed women, making
credit available to the urban and rural poor enabling them to become involved in different income
generating activities, which in turn, allows them to become economically self reliant. Through this
process MSS proved itself a cost effective, sustainable, reliable financial service for employment
and income generating activities for the poor, while still achieving a recovery rate of above 99%
since 1989.

In 2008-2009, MSS was operating its microfinance programs through 70 branches and total number
of active members stood at 102,175. The total general loan outstanding was Tk. 430.752 million at
the end of June 2009. The general loan recovery rate was 99.09%.

The performance of micro enterprise loan activities was also satisfactory. A total of Tk. 87.857
million has been disbursed among 1564 members with an average loan of Tk.56,175. The recovery
rate was 99.03%.

Institution Building through Social Mobilization

Social mobilization is a concept or process, which involves creation of social movement for
development. It promotes solving problems of national magnitude by participation of civil society
through representation of mass people, mobilization of local resources and using indigenous
knowledge and practices. MSS-WCP’s experiences clearly demonstrate that the poor can be
organized in to community based groups known as “Kendra” and participate as the principal actors of
the development process.

In 2008-2009, a total of 702 community based organizations known as Kendra (Centre) and 2,051
groups were added to WCP totaling 4,337 Kendras and 24,176 groups with 102,175 members.
 Active Group
24,176
25,000 20,942 22,125
19,119
20,000 15,786

15,000
10,000
5,000
0
2005 2006 2007 2007-2008 2008-2009

Active Kendra
5000 4,337
3,322 3,635
4000 2,663 2,952
3000
2000
1000
0
2005 2006 2007 2007-2008 2008-2009

Members’ enrollment including active borrowers

Each year the number of new members of WCP is increasing as per expansion plan and active
members stood at 102,175 at the end of the fiscal year. As of June 2009, the number of active
borrowers stood at 85,354. The achievement of active members as well as active borrowers is
shown in the graphs below:

110000 102,175
95,878 98,875
Active Member 91,525
90000
70,298
70000

50000

30000

10000
2005 2006 2007 2007-2008 2008-2009

110000
100000 Active Borrower
90000 80,196 85,354
80,306 79,972
80000
67,435
70000
60000
50000
40000
30000
20000
10000
2005 2006 2007 2007-2008 2008-2009
Achievement of loan disbursement and Recovery:
During 2008-2009, total credit disbursement of Tk. 959.402 million was made among 84,680
members. At the same time, total loan recovery target was Tk. 984.468 million against which Tk.
947.244 million was recovered from the borrowers achieving 96.22% of the target. The achievement
of loan disbursement and recovery is shown below:

Actual Disbursement

750

732
Taka in Millions

832
640
550
484

959
350

150

-50
2005 2006 2007 2007-2008 2008-2009

Millions
Actual Recovery 947
1,000
751
800 651
544
600 402

400

200

0
2005 2006 2007 2007-2008 2008-2009

Sector-wise investment by clients: Most of the clients of MSS invest their loan according to loan
proposal of the total clients. In 2008-2009, the investments were in trading clothes (12.51%),
tailoring business (9.72%), grocery shop (10.86%), rickshaw/van (11.83%), agriculture (7.59%),
electronics & parts (3.38%), fishing & meat business (4.64%), trading plastic goods (2.28%), food
processing & restaurants (4.47%) , furniture business (1.30%), handicrafts (2.22%), leather &
leather goods (1.77%), poultry & livestock (6.15%), trading vegetables & fruits (6.97%), housing
(6.02%) and other sectors (8.29%). Sector-wise loan utilization by clients is given below:
 Sector-wise
Sector-wise Investment
Investment

Agriculture
Agriculture
Miscellaneous
Miscellaneous
7.59%
7.59%
8.29%
8.29%
Electronices
Electronices&&Parts
Parts
3.38%
3.38%
Trading
Tradingvegetables
vegetables&
&fruits
fruits
6.97%
6.97% Fishing
Fishing&&Meat
Meatbusiness
business
4.64%
4.64%

Trading Food
Foodprocessing
processing&
&
TradingPlastic
PlasticGoods
Goods
2.28% Restaurants
Restaurants
2.28%
4.47%
4.47%

Furniture
Furniturebusiness
business
1.30%
1.30%
Trading
Tradingcloths
cloths
12.51%
12.51% Grocery
Groceryshop
shop
10.86%
10.86%

Handicrafts
Handicrafts
Tailoring
Tailoring& &Sweing
Sweing 2.22%
2.22%
9.72%
9.72%

Housing
Housing
6.02%
6.02%
Rickshaw
Rickshaw& &Van
Vanbuying
buying
/driving
/driving Poultry
Poultry& &Livestock
Livestock Leather
Leather&&leather
leathergoods
goods
11.83%
11.83% 6.15%
6.15% 1.77%
1.77%

Micro Enterprise Loan :

This is a scaled up loan. The objective of this program is to provide credit facilities to its graduated
members and members involved with business to encourage them to become women entrepreneur and
create employment for poverty reduction.
The main features of Micro Enterprise Loan include:
Minimum loan size : Tk. 30,000
Maximum loan size : Tk. 500,000
Loan repayment period : One year
Mode of payment : Weekly
Performance of Micro Enterprise Loan:
A total of Tk. 87.857 million has been disbursed among 1564 members/women entrepreneurs under
micro enterprise loan in rural and urban areas. An amount of Tk. 82.835 million has been realized
in 2008-2009 fiscal year, achieving a recovery rate of 99.03%. Micro enterprise loan has been
disbursed against different purposes such as manufacturing of sanitary latrines, furniture shops,
dairy farm, grocery shop, etc. As of June 2009, the status of micro-enterprise loan is shown below:

Micro Enterprise Loan Amount

Cumulative Micro Enterprise Loan Disbursed (Taka in million) 237.066
Cumulative Micro Enterprise Loan Recovered (Taka in million) 193.465
Total Principal Micro Enterprise Loan Outstanding (Taka in million) 43.600
Cumulative Micro Loan Recovery Rate (RR) 99.03%
Micro Enterprise Loan Outstanding Growth Rate 13.02%
Yearly Micro Enterprise Loan Disbursed (Taka in million) 87.857
Yearly Micro Enterprise Loan Recovered (Taka in million) 82.835
Yearly Micro Enterprise Loan Recovery Rate (OTR) 97.77%
Average Micro Enterprise Loan Size (Taka) 56,175
Average Micro Loan Outstanding by Client (Taka) 27,878
Average Annual Micro Loan Outstanding (Taka in million) 41.090

Loan Product
RMC & UMC Loan
(General ), 865.14

Micro Enterprise Loan,

87.86

Special loan, 6.40

Banarashi Shari Weaving Brings Self-sufficiency to Munni’s Life

Munni aged 34, a mother of a child lives in Mirpur of Dhaka city. Densely habitated area. It is hard
to realize from a distant place that some Banarashi shari producing factories are standing in such a
densely habitated location. Different types of Banarashi shari with various attractive design are
produced here. As Banarashi shari brings her financial solvency, Munni took it as a profession.
Prior to engage in this profession, her husband was involved in selling ready made garments. At
that time she had financial hardship in her family. She could not even save money. At present both
husband and wife is busy in making Banarashi shari. Now, alongside attaining financial solvency
they can save money as well.

Munni’s factory is situated just beside her house. Alongside maintaining her family work, she tries
hard to keep her factory functioning. The space of the factory is large enough. Four machines are in
function. Two more workers are there to assist them. Everyday they pay Tk. 200 to the workers.
They expressed their satisfaction for getting the opportunity of livelihood and are grateful to Munni.
Munni is also indebted to MSS for loan assistance. Before getting membership of MSS Munni was
absolutely a housewife. She didn’t even think to be self-reliant before. But due the practical reason,
one day she felt that alongside men she should had do something for the solvency of the family.
Under such a situation she came across to a field staff of MSS and that was the turning point of her
life. Munni appeared with a new identity leaving behind her housewife identity. Today Munni is a
successful entrepreneur. The shari she produced go to different markets. Very often she makes shari
as per order placed.

This profession has brought not only Munni’s financial solvency but also has increased her family
and social status. In decision making process her importance in the family has increased than
before. She has now access to various social activities.
Savings Products and Features:

From the beginning of the formation of the groups, members started group savings as a
demonstration of their commitment to economic uplift. In 2008-2009, a total of Tk.237.788 million
was collected under savings scheme. The cumulative collection was Tk.1282.498 million. Details of
savings balance as on 30 June 2009 are given below:

Table- 1: Savings status in last 5 years

Taka in million
Year Collection Withdrawal Cumulative Balance
2005 162.62 101.15 176.21
2006 236.43 161.51 251.05
2007 269.00 252.83 267.13
2007-2008 284.91 279.44 255.30
2008-2009 237.78 286.54 206.54

Savings status in last 5-year

300.00
284.91

250.00
255.30
251.05

267.13
269

252.83

279.44

237.78

200.00
Taka in Million

236.43

206.54
286.54
176.21

150.00
10.74

161.51

100.00
101.15

50.00

0.00
2005 2006 2007 2007-2008 2008-2009
Savings Deposit Savings Withdrawal Savings Balance

Average Savings Balance

The average savings balance per member is decreased due to the effect of price hike of daily
essentials for which the members were compelled to withdraw savings to buy commodities for their
survival resulting a decline in average savings balance.
Detail of average savings balance per member is given below:
 3,000.00 Average savings balance
2,500.00

2,786
2,743

2,582
2,000.00
2,507
1,500.00

2,022
1,000.00
500.00
0.00
2005 2006 2007 2007-2008 2008-2009

Health Services
As part of providing health services to its members, the registered physicians of MSS discharges
health services through its branch offices. The members depositing a nominal fee of Tk. 20 for a
period of one year can have the services for herself and other family members as well. Necessary
medicines are also provided to the clients free of cost. Financial support is also given for the
treatment of complex diseases and to meet operation cost from this fund. During 2008-2009 period,
a total of 26,215 members of MSS have been discharged with health services through its branch
offices.

Risk Fund

The risk fund was created with the objective to help recover the loss of assets of the affected
members caused by the natural disaster or fire in slum areas. While taking loan each member has to
contribute an amount of Tk. 50-100 to this fund. The utilization of this fund takes place with the
consensus of the WCP members or their representatives in the disaster committee to meet disaster
situation like fire, cyclone, flood, eviction or any other natural and personal disaster. This non
refundable fund is kept in an interest bearing account with WCP. In disaster situations, the affected
WCP members get support in kind or in cash from this fund. This fund is also used for funeral of
the deceased members as per the customs of their respective religions. Unpaid loan of dead member
is also adjusted from this fund.
The detail status of risk fund generation up to June 2009 is given below:
 Risk fund status (in Million)

21.74
21.88
43.63

Fund generation Fund used Fund balance

a. Sustainable Status of the MSS-Women’s Credit Program: Running a program in a sustainable

way helps achieve sustainability of an organization. When all costs (entire operational management
cost, cost of capital, loan loss provision and inflation) can be met from income of credit and savings
products, the institution becomes sustainable. The Operational Self Sufficiency (OSS) was 136.25%
and the Financial Self Sufficiency (FSS) was 125.97% in 2008-2009.

b. Sources of Funding: The Women’s Credit Program of MSS uses fund from various sources. In
2008-2009, the fund used by MSS-WCP were members’ savings, risk fund, organizational
revolving fund and loan from bank, PKSF, Anukul Foundation-CARE, Grameen Trust, Shafiuddin
Ahmed Foundation and provident fund. The total capital and liabilities stood at Tk. 627.01 million
in 2008-2009 as against Tk. 575.80 million in 2007-2008, resulting in 8.89% increase.

Head-wise fund sources are given below up to June 2009 inclusive 2007-2008:

2008-2009 2007-2008
CAPITAL FUND FINANCED BY (RLF)
Tk. in million Tk. in million
Revolving Loan Fund (Grant Capital) 14.72 14.37
Borrowing from Bank 19.38 45.78
Borrowing from Anukul Fuondation (CARE) 24.97 28.10
Borrowing from Grameen Trust 0.63 0.54
Borrowing from Provident Fund 14.00 11.00
Borrowing from PKSF 94.62 38.07
Borrowing from Staff Walefare Fund 2.20 1.80
Borrowing from Shafiuddin Ahmed Foundation 1.00 1.00
Borrowing from MSS-Mother 6.00 3.40
Cumulative Profit (Retained Earning) 180.27 139.83
Members Savings 206.54 255.30
Risk/Disaster Fund 21.74 22.33
Employees Security Deposit 4.47 3.70
Reserve / Provision 14.14 10.56
Safety Fund/WES Fund 22.63 00.00
TOTAL CAPITAL & LIABILITY 627.01 575.80

c. Internal and external liabilities: Grant capital and cumulative profit are treated as internal
liabilities and members’ savings, risk fund, borrowing as well as employees’ security deposit are
treated as external liabilities. The total internal liabilities in 2008-2009 were 46.42% as against
53.58% external liabilities. The internal and external liabilities are shown in a graph.
 Internal and External Liabilities

External Liabilities 53.58%

Internal Liabilities 46.42%

Internal Liabilities External Liabilities

Disaster Response

Tk.9.12 million was utilized from risk fund for distributing among 3,742 affected members/their family
members or on the deaths of their spouses as well as adjusting loan of the same.

Some Selected Financial Key Ratios

Profitability
The net profit in 2008-2009 was Tk 40.43 million compared to Tk 30.956 in 2007-2008 resulting in 30.62%
increase.
The return on investment in 2008-2009 increased to 6.45% from 5.38% in 2007-2008.
The financial cost ratio decreased to 3.99% in 2008-2009 from 5.40% in 2007-2008.This ratio is decreased
due to decrease in external borrowing and decreased interest paid to the savers. The operational cost slightly
rose to 15.15% in 2008-2009 from 12.71% in 2007-2008 due to inflation.

Effective Yield on Average Portfolio

The yield on average portfolio in 2008-2009 was 28.62% while in 2007-2008 it was 29.05%.
Operational and Financial Self-sufficiency
The OSS has increased to 136.25% in 2008-2009 as compared to 131.12% in 2007-2008. The FSS has also
increased to 125.97% in 2008-2009 from 122.56% in 2007-2008.
Savings/Credit
The savings-credit ratio has decreased to 47.95% in 2008-2009 from 60.10% in 2007-2008.
Borrowers/members
The borrower-member ratio is satisfactory as loans are at the hands of majority of the members. The ratio in
2008-2009 stood at 83.54% raising slightly from 80.88% in 2007-2008.
Growth of Assets
The average annual growth has registered an 8.89% rise in the fiscal year 2008-2009.

Challenges Encountered: Fund constraint was a major problem that disrupted smooth loan disbursement
activities of the Women’s Credit Program.
 Other Information of WCP
Computerization of Area Offices: For smooth functioning and preserve information more
systematically, installation of four computers at four area offices of MSS adds a new dimension to its
women’s credit program. The process started last fiscal year as part of computerizing all the branch
offices in phases. This obviously will accelerate the pace of WCP’s activities especially at the field
level.

Expansion of WCP-MSS during 2008-2009: Although new branches could not be opened due to
fund constraint, members’ enrollment increased as under the existing branches opportunities are
there to enroll more members and areas as well. Keeping this in mind and considering the fund
constraint expansion plan of WCP was set up accordingly.

Community Based Resource Center

Japan embassy in Bangladesh has provided US $ 88,057 in grant to MSS against the cost of
building a community based resource center in Saidpur Upazilla of Nilphamari district. The
resource center is being built with a view to provide training on income generating activities and
other social development issues to the local community people and members of MSS to enhance
skills and involve them in income generating activities.

Housing loan
MSS has been providing housing loan to its urban and rural members to build low cost houses
aiming at promoting housing for the poor. Under the scheme, a total of Tk. 57.75 million has been
disbursed among 2887 members during 2008-2009 fiscal year.
Project Dignity
MSS with the financial assistance of Grameen Trust has commissioned a project titled Project
Dignity to involve beggars into productive activities to improve their livelihood diverting them
from begging. This interest free initiative was aimed to support initially 1000 beggars.
Achievement at a glance (as of June 2009)
Particulars Taka/Number
Total no. of members 693
Total loan disbursed 13,30,000
Total loan realized 8,25,647
Total loan balance 504,353
Savings collection 225,270
Savings withdrawal 80,216
Savings balance 145,054

Visitors’ Attention: Each year overseas visitors from MFIs, bank and universities as well visit
MSS’s women’s credit program activities especially in the urban areas of Dhaka city to gather
experience on urban microfinance. During the reporting period, a total of 12 members from
countries such as Switzerland, Germany, Austria, Egypt, UAE, Sudan and Lebanon visited MSS-
WCP’s activities in the field as well as head office in 2008-2009 to learn and gather experience on
urban Microcredit program of MSS.
 MSS-WOMEN’S CREDIT PROGRAM
Non-Financial Information

DESCRIPTION 2008-2009 2007-2008 2007 2006 2005

NON-FINANCIAL INFORMATION
Number of Districts 15 15 15 13 12
Number of Thanas 60 54 54 52 44
Number of Union 253 112 112 88 80
Number of Ward (Urban) 359 350 349 344 151
Number of Villages 1054 932 931 924 547
Number of Branches 70 70 70 41 35
Number of active Kendra / Center 4337 3635 3322 2952 2663
Number of active Group 24176 22125 20942 19119 15786
Number of active General Members 100611 97302 94425 90588 69908
Number of active Micro Enterprise Members 1564 1573 1453 937 390
Number of Total Active Members 102175 98875 95878 91525 70298
Number of Active General Borrowers 83790 78399 78853 79259 67045
Number of Active Micro Enterprise Borrowers 1564 1573 1453 937 390
Number of Total Active Borrowers 85354 79972 80306 80196 67435
Yearly Number of General Loan Disbursed 83116 82317 84489 83479 72880
Yearly No. of Micro Enterprise Loan Disbursed 1564 1584 1466 944 384
Yearly No. of Special Loan Disbursed 1459 1925 1661 110 0
Yearly Number of Loan Disbursed 84680 83901 85955 84423 73264
Total Male Staff 524 513 412 322 302
Total Female Staff 87 79 70 58 43
Total Staff 611 592 482 380 345
Total CDO / Loan Officer 359 352 276 219 209
Number of CDO cum Accountant 70 70 65 41 35
Number of Field Staff (CDO) 289 282 211 178 174
Average number of members per branches 1460 1413 1370 2232 2009
Average number of borrower per branches 1219 1142 1147 1956 1927
Average number of members per CDO 354 351 454 514 404
Average number of borrower per CDO 295 284 381 451 388
 Financial Information
1. LOAN PORTFOLIO: (Amount in Taka)

A. GENERAL LOAN:

FINANCIAL INFORMATION 2008-2009 2007-2008 2007 2006 2005

LOAN PORTFOLIO: TAKA TAKA TAKA TAKA TAKA
GENERAL LOAN:
Cumulative General Loan Disbursed 4,296,546,300 3,431,403,300 3,033,043,300 2,301,504,300 1,661,841,300
Cumulative General Loan Recovered 3,865,793,341 3,006,628,904 2,594,258,400 1,942,926,720 1,398,642,160
Total Principal General Loan Outstanding 430,752,959 424,774,396 438,784,900 358,577,580 263,199,140
Current 395,440,912 398,843,682 424,664,853 353,000,740 261,134,780
Overdue 35,312,047 25,930,714 14,120,047 5,576,840 2,064,360
General Loan Outstanding Growth Rate 1.41% 23.67% 22.37% 36.24% 45.01%
Yearly General Loan Disbursed 865,143,000 832,295,000 731,539,000 639,663,000 484,094,000
Yearly General Loan Recovered 859,164,437 750,993,624 651,331,680 544,284,560 402,401,800
Cumulative General Loan Recovery Rate (CRR) 99.09% 99.14% 99.46% 99.71% 99.85%
Yearly General Loan Recovery Rate (OTR) 96.05% 96.66% 97.88% 98.99% 99.49%
Average General Loan Size 10,217 9,920 8,511 7,577 6,608
Average General Loan Outstanding by Client 5,047 5,312 5,464 4,471 3,903
Average Annual General Loan Outstanding 427,763,678 384,123,708 398,681,240 310,888,360 222,353,040
Portfolio General Loan per Loan Officer / CDO 1,490,495 1,506,292 2,079,549 2,014,481 1,512,639
General Loan Disbursement per Loan Off./.CDO 2,993,574 2,951,401 3,467,009 3,593,612 2,782,149
Yearly General Loan Loss Provision 3,000,000 3,300,000 950,000 947,130 454,703
Total General Loan Loss Provision Balance 12,188,450 9,188,450 5,888,450 4,938,450 3,991,320
General Loan Portfolio at risk: (Delinquency Loan) 49,238,131 48,791,871 30,867,458 15,769,140 7,500,860

MICRO ENTERPRISE LOAN: (Amount in Taka)

Cumulative Micro Enterprise Loan Disbursed 237,066,000 149,209,000 110,183,000 51,707,000 16,000,000
Cumulative Micro Enterprise Loan Recovered 193,465,244 110,629,561 75,757,551 29,569,560 7,333,400
Total Principal Micro Enterprise Loan Outstanding 43,600,756 38,579,439 34,425,449 22,137,440 8,666,600
Current 41,709,040 37,655,400 33,833,346 22,137,440 8,666,600
Overdue 1,891,716 924,039 592,103
Micro Enterprise Loan Outstanding Growth Rate 13.02% 36.23% 55.51% 155.43% 428.16%
Yearly Micro Enterprise Loan Disbursed 87,857,000 70,636,000 58,476,000 35,707,000 12,440,000
Yearly Micro Enterprise Loan Recovered 82,835,683 60,376,001 46,187,991 22,236,160 5,414,300
Cumulative Micro Loan Recovery Rate (CRR) 99.03% 99.17% 99.22% 100.00% 100.00%
Yearly Micro Loan Recovery Rate (OTR) 97.77% 98.49% 98.73% 100.00% 100.00%
Average Micro Enterprise Loan Size 56,175 44,593 39,888 37,825 32,396
Average Micro Loan Outstanding by Client 27,878 24,526 23,693 23,626 22,222
Average Annual Micro Loan Outstanding 41,090,098 33,449,440 28,281,445 15,402,020 5,153,750
Portfolio Micro Loan per Loan Officer/CDO 150,868 136,807 163,154 124,368 49,808
Micro Loan Disbursement per Loan Officer/CDO 304,003 250,482 277,137 200,601 71,494
Yearly Micro Loan Loss Provision 411,940 300,000 50,000 52,870 75,204
Total Micro Loan Loss Provision Balance 901,476 489,536 189,536 139,536 86,666
Micro Loan Portfolio at risk: (Delinquency Loan) 2,717,853 1,415,838 1,084,206 - -
SPECIAL LOAN: (Amount in Taka)

Cumulative Special Loan Disbursed 16,947,900 10,545,300 10,072,700 8,411,700 8,300,000

Cumulative Special Loan Recovered 14,831,674 9,587,325 8,746,881 8,324,357 8,300,000
Total Principal Special Loan Outstanding 2,116,226 957,975 1,325,819 87,343 -
Current 2,095,567 957,975 1,325,819 87,343 -
Overdue 20,659 - - - -
Special Loan Outstanding Growth Rate 120.91% 522.49% 1417.95% #DIV/0! #DIV/0!
Yearly Special Loan Disbursed 6,402,600 1,925,700 1,661,000 111,700 -
Yearly Special Loan Recovered 5,244,349 1,171,724 422,524 24,357 -
Cumulative Special Loan Recovery Rate (CRR) 99.86% 100.00% 100.00% 100.00% 100.00%
Yearly Special Loan Recovery Rate (OTR) 99.61% 100.00% 100.00% 100.00% #DIV/0!
Average Special Loan Size 4,388 1,000 1,000 1,015 #DIV/0!
Average Special Loan Outstanding by Client 1,450 498 798 794 #DIV/0!
Average Annual Special Loan Outstanding 1,537,101 555,935 706,581 43,672 -
Portfolio Special Loan per Loan Officer/CDO 7,323 3,397 6,284 491 -
Special Loan Disbursement per Loan Officer/CDO 22,154 6,829 7,872 628 -
Special Loan Loss Provision -
Total Special Loss Provision Balance - - - - -
Special Loan Portfolio at risk: (Delinquency Loan) 57,864.00 - -
TOTAL LOAN PORTFOLIO: (Amount in Taka)

TOTAL LOAN PORTFOLIO: 2008-2009 2007-2008 2007 2006 2005

Cumulative Loan Disbursed 4,550,560,200 3,591,157,600 3,153,299,000 2,361,623,000 1,686,141,300
Cumulative Loan Recovered 4,074,090,259 3,126,845,790 2,678,762,832 1,980,820,637 1,414,275,560
Total Principal Loan Outstanding 476,469,941 464,311,810 474,536,168 380,802,363 271,865,740
Current 439,245,519 437,457,057 459,824,018 375,225,523 269,801,380
Overdue 37,224,422 26,854,753 14,712,150 5,576,840 2,064,360
Loan Outstanding Growth Rate 2.62% 24.82% 24.61% 40.07% 48.44%
Yearly Loan Disbursed 959,402,600 904,856,700 791,676,000 675,481,700 496,534,000
Yearly Loan Recovered 947,244,469 812,541,349 697,942,195 566,545,077 407,816,100
Cumulative Loan Recovery Rate (CRR) 99.09% 99.15% 99.45% 99.72% 99.85%
Yearly Loan Recovery Rate (OTR) 96.22% 96.80% 97.94% 99.03% 99.50%
Average Loan Size 11,330 10,785 9,210 8,001 6,777
Average Loan Outstanding by Client 5,582 5,806 5,909 4,748 4,032
Average Annual Loan Outstanding 470,390,876 418,154,135 427,669,266 326,334,052 227,506,790
Portfolio Loan Outstanding per Loan Officer/CDO 1,648,685 1,646,496 2,248,987 2,139,339 1,562,447
Portfolio Loan Disbursement per Loan Officer/CDO 3,319,732 3,208,712 3,752,019 3,794,841 2,853,644
Yearly Loan Loss Provision 3,411,940 3,600,000 1,000,000 1,000,000 529,907
Total Loan Loss Provision Balance 13,089,926 9,677,986 6,077,986 5,077,986 4,077,986
Loan Portfolio at risk: (Delinquency Loan) 52,013,848 50,207,709 31,951,664 15,769,140 7,500,860

SAVINGS PORTFOLIO: (Amount in Taka)

SAVINGS PORTFOLIO 2008-2009 2007-2008 2007 2006 2005

Cumulative Savings Deposit 1,282,498,075 1,044,709,443 898,394,392 629,386,855 392,952,695
Cumulative Savings Withdrawals 1,075,728,429 789,188,384 631,038,177 378,206,604 216,692,037
Cumulative Savings Adjustment 220,757 220,757 220,757 124,511 46,612
Net Savings Balance 206,548,889 255,300,302 267,135,458 251,055,740 176,214,046
Net Savings Balance Growth Rate -19.10% -4.50% 6.40% 42.47% 53.54%
Average Net Savings Balance per Member 2,021.52 2,582.05 2,786.20 2,743.03 2,506.67
Yearly Savings Deposit 237,788,632 284,910,954 269,007,537 236,434,160 162,628,247
Yearly Savings Withdrawals 286,540,045 279,447,988 252,831,573 161,514,567 101,156,859
Yearly Savings Adjustment 96,246 77,899 25,656
Yearly Net Savings Deposit / Balance Increase (48,751,413) 5,462,966 16,079,718 74,841,694 61,445,732

RISK FUND: (Amount in Taka)

RISK FUND (A+B) 2008-2009 2007-2008 2007 2006 2005

Cumulative Disaster Deposit 43,631,263 35,093,113 31,129,213 22,337,595 17,682,944
Cumulative Disaster Support 21,885,614 12,762,859 10,626,799 4,453,601 3,223,638
Net Disaster Balance 21,745,649 22,330,254 20,502,414 17,883,994 14,459,306
Net Disaster Balance Growth Rate -2.62% 103.55% 14.64% 23.69% 20.00%
Average Net Disaster Balance per Member 213 226 214 195 206
Yearly Risk/Disaster Deposit 8,538,150 9,239,918 8,791,618 4,654,651 2,746,142
Yearly Risk/Disaster Support 9,122,755 6,575,803 6,173,198 1,229,963 335,857
Yearly Net Disaster Deposit (584,605) 2,664,115 2,618,420 3,424,688 2,410,285

SAFETY FUND: (Amount in Taka)

SAFETY FUND 2008-2009 2007-2008 2007 2006 2005

Cumulative Safety Fund Deposit 29,884,809 - - - -
Cumulative Safety Fund Support 7,251,079 - - - -
Net Safety Fund Balance 22,633,730 - - - -
Net Safety Fund Balance Growth Rate #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Average Net Safety Fund Balance per Member #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Yearly Safety Fund Deposit 29,884,809 -
Yearly Safety Fund Support 7,251,079 -
Yearly Net Safety Fund Deposit 22,633,730 - - - -

REVOLVING LOAN FUND ( RLF ): (Amount in Taka)

REVOLVING LOAN FUND ( RLF ) 2008-2009 2007-2008 2007 2006 2005

Liquid Assets 84,921,080.44 54,388,145.05 5,114,384.08 2,744,584.33 7,774,423.46
Total Principal General Loan Outstanding 430,752,959.00 424,774,396.00 438,784,900.00 358,577,580.00 263,199,140.00
Micro Enterprise Loan Outstanding 43,600,756.00 38,579,439.00 34,425,449.00 22,137,440.00 8,666,600.00
Special Loan Outstanding 2,116,226.00 957,975.00 1,325,819.00 87,343.00 -
TOTAL REVOLVING LOAN FUND ( RLF) 561,391,021.44 518,699,955.05 479,650,552.08 383,546,947.33 279,640,163.46
PRODUCTIVITY & PROFITABILITY: (Amount in Taka)

PRODUCTIVITY & PROFITABILITY 2008-2009 2007-2008 2007 2006 2005

Liquid Assets 84,921,080.44 54,388,145.05 5,114,384.08 2,744,584.33 7,774,423.46
Total Current Assets 566,733,141.44 523,030,105.05 481,399,122.08 385,181,972.33 282,544,818.46
Total Long Term Assets 60,279,280.99 52,775,411.16 40,937,120.00 30,662,006.00 29,203,359.00
Net Fixed Assets 19,197,205.00 18,952,647.00 18,485,920.00 18,816,060.00 19,193,359.00
Total Assets 627,012,422.43 575,805,516.21 522,336,242.08 415,843,978.33 311,748,177.46
Average Assets 601,408,969.32 575,805,516.21 469,090,110.21 363,796,077.90 259,692,419.45
Average Performing Assets 556,263,736.25 535,611,337.05 447,816,997.71 342,041,203.40 238,813,989.95
Total Current Liabilities 359,282,732.66 295,827,607.50 290,474,460.00 286,176,699.34 208,422,890.42
Total Long Term Liabilities 59,996,491.00 125,771,853.00 94,906,854.21 22,844,909.00 23,460,378.00
Total Confessional Loan 133,307,595.66 72,918,714.00 17,591,431.00 15,912,520.00 20,832,063.00
Total Liabilities 419,279,223.66 421,599,460.50 385,381,314.21 309,021,608.34 231,883,268.42
NET WORTH 194,643,272.77 154,206,055.71 136,954,927.87 101,368,248.99 75,410,788.04
Total Service Charges 134,635,961.00 121,489,831.00 105,697,443.00 84,978,108.00 61,172,415.00
Total Financial Income 151,988,759.17 130,452,006.19 112,401,794.63 91,700,802.72 65,573,996.16
Total Administrative Cost 13,265,252.62 15,802,992.73 6,454,063.05 5,122,172.85 4,008,733.37
Total Financial Cost 22,177,915.49 28,921,654.74 23,517,031.33 19,183,970.92 13,226,590.25
Total Operating Expenses 84,206,331.62 70,571,733.73 54,590,345.05 44,778,563.85 33,601,119.37
Total Expenses 111,551,542.11 99,493,388.47 78,107,376.38 65,743,341.77 46,827,709.62
Yearly Surplus (Profit) 40,437,217.06 30,958,617.72 34,294,418.25 25,957,460.95 18,746,286.54
Cumulative Profit (Retained Earning) 180,270,586.14 139,833,369.08 122,582,241.24 88,287,822.99 62,330,362.04
Cumulative Profit Growth Rate 28.92% 28.44% 38.84% 41.64% 43.01%
Imputed Cost of Capital 9,105,572 6,944,967 5,967,429 4,167,391 2,862,952
Cost per Taka money lent (Operating) 0.097 0.085 0.075 0.070 0.069
Cost per Loan made 994.41 841.13 635.10 530.41 458.63
Yearly Loan Paid 51,381,003.84 22,986,429.00 64,409,667.96 17,441,855.42 20,042,230.71

KEY RATIOS:

KEY RATIOS 2008-2009 2007-2008 2007 2006 2005

Effective Yield on Average Portfolio 28.62% 29.05% 24.71% 26.04% 26.89%
Effective Yield on Average Assets 22.39% 21.10% 22.53% 23.36% 23.56%
Return on Average Performing Assets 27.32% 24.36% 25.10% 26.81% 27.46%
Gross Financial Margin 23.34% 18.96% 19.85% 21.20% 21.92%
Operating Margin 7.58% 5.11% 7.43% 7.82% 7.63%
Net Financial Margin 22.72% 18.28% 19.63% 20.91% 21.70%
Loan Loss Provision Ratio 0.61% 0.67% 0.22% 0.29% 0.22%
Return on Investment Fund (NP / Total Capital) 6.45% 5.38% 6.57% 6.24% 6.01%
Financial cost Ratio 3.99% 5.40% 5.25% 5.61% 5.54%
Operating cost Ratio 15.14% 13.18% 12.19% 13.09% 14.07%
ROE ( Return on equity) 23.18% 22.42% 28.78% 29.37% 28.39%
ROA ( Return on assets) 6.72% 5.38% 7.31% 7.14% 7.22%
Adjusted Return on Assets 5.21% 4.17% 6.04% 5.99% 6.12%
Operating Self Sufficiency (OSS) 136.25% 131.12% 143.91% 139.48% 140.03%
Financial Self Sufficiency (FSS) 125.97% 122.56% 133.69% 131.17% 131.96%
Administrative Efficiency(OER) 17.67% 15.20% 11.50% 11.76% 12.36%
Total Expenses/ Total Average Assets 18.55% 17.28% 16.65% 18.07% 18.03%
Financial cost / Total Average Assets 3.69% 5.02% 5.01% 5.27% 5.09%
Administrative Cost / Total Average Assets 2.21% 2.74% 1.38% 1.41% 1.54%
Total Equity / Assets 31.04% 26.78% 26.22% 24.38% 24.19%
Total Equity / Liability 46.42% 36.58% 35.54% 32.80% 32.52%
Quick Ratio ( Liquid Assets/ Current Liabilities) 23.64% 18.39% 1.76% 0.96% 3.73%
Current Ratio 157.74% 176.80% 165.73% 134.60% 135.56%
Savings/ Credit 47.95% 60.10% 60.88% 70.01% 66.95%
Borrower/Members 83.54% 80.88% 83.76% 87.62% 95.93%
Average Annual Growth to Total Assets 8.89% 29.26% 25.61% 33.39% 50.14%
Portfolio at Risk Ratio 10.92% 10.81% 6.73% 4.14% 2.76%
Portfolio in Arrears 7.81% 5.78% 3.10% 1.46% 0.76%
Reserve Ratio 2.75% 2.08% 1.28% 1.33% 1.50%
Leverage or Debt to Capital Ratio (Liab/Net Worth) 215.41% 273.40% 281.39% 304.85% 307.49%
Capital Adequacy Ratio 35.91% 29.57% 26.48% 24.54% 24.81%
Debt Service Coverage Ratio (DSCR) 154.97% 159.64% 139.00% 170.87% 156.35%
Liquidity to Savings Ratio 41.11% 21.30% 1.91% 1.09% 4.41%
Financial cost to RLF 3.95% 5.58% 4.90% 5.00% 4.73%
Administrative Cost to RLF 2.36% 3.05% 1.35% 1.34% 1.43%
Operating cost to RLF 15.00% 13.61% 11.38% 11.67% 12.02%
Total Real Cost (Admin+Operating) to RLF 17.36% 16.65% 12.73% 13.01% 13.45%
 Total Cost to RLF 19.87% 19.18% 16.28% 17.14% 16.75%
Total Income to RLF 27.07% 25.15% 23.43% 23.91% 23.45%
Total Service Charge to RLF 23.98% 23.42% 22.04% 22.16% 21.88%
Total Surplus to RLF 7.20% 5.97% 7.15% 6.77% 6.70%
Total Operating Cost to Service Charge 62.54% 58.09% 51.65% 52.69% 54.93%
Total Financial Cost to Service Charge 16.47% 23.81% 22.25% 22.58% 21.62%
Total Cost to Service Charge 82.85% 81.89% 73.90% 77.37% 76.55%
Total Surplus to Service Charge 30.03% 25.48% 32.45% 30.55% 30.64%
Total Expenses to Income 73.39% 76.27% 69.49% 71.69% 71.41%

CAPITAL FUND FINANCED BY (RLF) : (Amount in Taka)

CAPITAL FUND FINANCED BY (RLF) 2008-2009 2007-2008 2007 2006 2005

Revolving Loan Fund (Grant Capital) 14,372,686.63 14,372,686.63 14,372,686.63 13,080,426.00 13,080,426.00
Borrowing from Bank 19,384,005.00 45,783,047.50 55,437,437.21 25,315,517.34 27,747,031.42
Borrowing from Anukul Fuondation (CARE) 24,975,203.00 28,102,015.00 15,671,288.00 - 2,665,395.00
Borrowing from Grameen Trust 637,283.00 544,699.00 420,143.00 428,600.00 700,000.00
Borrowing from CDF - - - - 166,668.00
Borrowing from Provident Fund 14,000,000.00 11,000,000.00 11,400,000.00 7,600,000.00 4,400,000.00
Borrowing from PKSF 94,624,266.66 38,072,000.00 500,000.00
Borrowing from Staff Walefare Fund 2,200,000.00 1,800,000.00 1,000,000.00 450,000.00
Borrowing from Shafiuddin Ahmed Foundation 1,000,000.00 1,000,000.00 1,000,000.00 1,000,000.00 1,000,000.00
Borrowing from MSS-Mother 6,000,000.00 3,400,000.00 3,400,000.00 3,400,000.00 3,000,000.00
Cumulative Profit (Retained Earning) 180,270,586.14 139,833,369.08 122,582,241.24 88,287,822.99 62,330,362.04
Members Savings 206,548,889.00 255,300,302.00 267,135,458.00 251,055,740.00 176,214,046.00
Risk/Disaster Fund 21,745,649.00 22,330,254.00 20,502,414.00 8,688,336.00 5,329,467.00
Group Fund 9,195,658.00 9,129,839.00
Employees Security Deposit 4,471,643.00 3,705,157.00 2,836,588.00 1,887,757.00 1,530,822.00
Reserve / Provision 14,148,481.00 10,561,986.00 6,077,986.00 5,454,121.00 4,454,121.00
Safety Fund/WES Fund 22,633,730.00
TOTAL CAPITAL & LIABILITY 627,012,422.43 575,805,516.21 522,336,242.08 415,843,978.33 311,748,177.46

S e l f - S u s t a i n a b l e S o c i a l S e r v i c e s P r o g r a m ( S S S S P )

As providing health care services to the underprivileged segment of the society is one of the prime
objectives, MSS has been discharging its services to the destitute people especially women and
children through its Self-Sustainable Social Services Program since 2000. The purpose of the program
is not only providing health care services to the disadvantaged people but also to empower them
involving in income generating activities and raising awareness among them on various social and
health issues. The program has been able to run in a sustainable way operating its services through
branch No. 7 of MSS’s Women’s Credit Program.

Project Components
Following services are rendered under Self-Sustainable Social Services Program.

A. Social Services Programs:

• Continuing program of day care centers for children
• Mother and child health–Family Planning clinic
• General Treatment

B. Social Awareness Raising Programs:

• Awareness raising on AIDS
• Awareness raising on Mother and child health
• Awareness raising on Human Rights and other Civic Issues
A. Social Services Program

Continuing Program of Daycare Center for Children

Manabik Shahajya Sangstha has come forward to promote social security, education and health care of the
children in the slum areas. MSS has been running day care centers for more than eleven years in Dhaka city.
MSS thus at least managed to keep kids of some poor urban workers safe. Kids aged 3-8 of poor workers get
enroll in the daycare center of Manabik Shahajya Sangstha and get opportunity to stay there from morning to
afternoon. The daycare centers are located in Korail, Lalbag, Mirpur and Keraniganj areas. The kids are
provided with breakfast, lunch and snacks in the afternoon at the daycare centers. Each daycare has a teacher
who teaches, plays with the children and trains how to dance. Besides, a physician of MSS carries regular
health check up of the kids. Side by side, emergency treatment is also provided whenever needed. A total of
120 children were enrolled in daycare centers during the reporting period.
Mother and Child Health & Family Planning Programs

In order to save health of the mother and child MSS with the assistance of Directorate of Family
Planning of the ministry of Health and Family Welfare has been providing MCH-FP services to the
poor women and children at its Kalabagan clinic in Dhaka city. Apart from distribution of
contraceptives and vitamin A, the services provided under the program are ante natal care, post natal
care and immunization. Following are the achievement of MCH-FP services provided during the
reporting period:

Services/items Provided Service Recipients

Contraceptives distributed 3,832
Injection including CT 350
Vitamin A capsule distribution and polio administration 3808
Ante natal services 106
Post natal services 36
BCG 65
DPT 263
TT 154
Measles 79
Pregnancy test 180
Other vaccination 80
Hepatitis B 262
Anthelmintic tablet 1,228
General Treatment: As access to health services is one of the fundamental needs of human being,
MSS has been providing general treatment services to the poor people through its clinic and branch
offices with its limited resources. During the last fiscal year, a total of 26,215 patients were given
general treatment.

B. Social Awareness Program: In order to create awareness on various social issues, MSS under
its Social Awareness Program has been promoting awareness on various social issues like adverse
effects of dowry and early marriage, health and rights based issues such as mother and child health,
human rights and other civic issues conducting sessions at weekly kendra meeting in its program
areas.
Awareness on AIDS: The prevalence of HIV/AIDS is still a threat to human beings. The spread of
this deadly disease can be prevented creating awareness among the people. MSS has been carrying
out the awareness raising program about AIDS to create awareness among the group members of its
Women’s Credit Program. Details of awareness on AIDS are given below:

Year Target members Achievement %

2008-2009 27,220 26406 97.01

Awareness on Mother and Child Health: It is no doubt that the country made a remarkable
progress in health sector especially in maternal and child health resulting a decline in mortality of
women and children. This has been possible through the efforts undertaken at government and non-
government level. MSS creates awareness among the WCP members on MCH, personal hygiene
and nutrition on a regular basis through its clinic and branch offices. The target and achievement of
awareness on mother and child health are given below:
Year Target members Achievement %
2008-2009 57,500 55,250 96.08

Awareness on Human Rights and other Civic Issues: MSS has always been playing a pioneer role
in promoting human rights of the marginalized people. The organization is continuing its efforts
towards promoting human rights along with other civic issues through its branch offices among the
group members. The achievement of awareness raising program on human rights and civic issues are
given below:
Year Target members Achievement %
2008-2009 48,300 47,125 97.56

Sustainability of Self-Sustainable Social Services Program-SSSSP: After commissioning the

program in 2000 it achieved sustainability in 2004 and since then has been running in a sustainable
way. During the fiscal year 2008-2009, a total of Tk. 5.12 million was earned from branch No-7,
Clinic and Daycare center under SSSSP and operational cost was Tk. 4.07 million during the same
period achieving the rate of operational self-sufficiency of 126.05%. Position of operational self-
sufficiency during the last five year is given below.
Item 2005 2006 2007 2007-2008 2008-2009
Operational self sufficiency 147.070% 147.15% 150.61% 121.70% 126.05%
 Target and achievement of Awareness
Operational Self-sufficiency

147.07%
70,000
program

147.15%

126.05%
150.61%
60,000

121.70%
50,000

55,250
48,300

47,125
40,000

57,500
30,000

26,406
27,220
20,000
2005 2006 2007 2007-2008 2008-2009
10,000
-
HR issue MCH-FP HIV/AIDS

SHOUHARDO Program
MSS has crossed another year of the SHOUHARDO (Strengthening Household Ability to Respond
to Development Opportunities) program of CARE Bangladesh after launching the program in
October 2005. The program has been striving in reducing food insecurity of 1,632 vulnerable
families in the slum areas of Pabna and Iswardi Pourashavas implementing various programs that
include Training on IGA and capacity building, IGA Support Program, Education, Awareness and
Empowerment, Food Aid, Infrastructure Development.
Training being one of the major activities plays a key role in generating income of the project
participants acquiring their skill and involving them in income generating activities. Trainings
imparted during the reporting period include hand stitch and food processing. As part of capacity
building initiative training on savings and fund management, entrepreneurship was also provided
during the said period.
As the training is not good enough to improve the livelihood, financial aid is given to the trainees
under IGA Support program so that they can get involve in income generating activities. As per
need of the business equipments/tools are purchased to support their business.

Education, Awareness and Empowerment is another component of the program that helps create
awareness among the general mass. As the issues of health and hygiene are correlated, it is
therefore, necessary to raise awareness among the project participants concerning health and other
social issues and as such the program imparted trainings on reproductive health, gender and
development.

In addition, national and international days on different issues such as safe motherhood, AIDS were
observed during the last fiscal year. Besides, a mass gathering on health issue and a dialogue
session on violence against women were also arranged with the community leaders in the program
areas.
As part of promoting food security Food Aid is given to a section of the project participants who
practically cannot be considered in any development program. They are pregnant and lactating
mothers who are provided with essential commodity like wheat, edible oil and pulses.

Infrastructure Development in the slums of SHOUHARDO program areas is also mentionable.

Building two chamber community latrine, dustbins and development of drainage system has
improved the overall sanitation system and the environment as well in the program areas.
Voter and Civic Education and Observation of the 9th Parliamentary Election

Promoting good governance is one of the thematic areas where MSS has been working for long by
strengthening democratic process and institutions through advocacy initiatives and election
observation. Under the umbrella of Election Working Group (EWG), MSS observed 9th
parliamentary election in 32 constituencies held on December 29, 2008.

To help holding a free, fair and credible election, a committee Citizen Alliance for Promoting
Transparency and Accountability (CAPTA) comprising civil society members is formed prior to
holding election in 32 upazillas under 32 constituencies. Each committee had 3 meetings in each
upazilla where they are informed about their roles and responsibilities during and after the election
period. Besides, meetings with women and youth voters were also held in each of the 32 upazillas
to create awareness about their civic rights and responsibilities. Being accredited by the District
Commissioners, MSS deployed 8,161 observers in 32 constituencies to monitor 9th parliamentary
election.

Educational Support Program

Non-Formal Primary Education: After realizing the significance of the non-formal education,
MSS initiated this program three years ago to make access to education to the poor children who are
deprived of education. Currently, a total of 120 children are enrolling in 6 schools in Dhaka and
Gazipur districts who are getting educational materials free of cost.
MSS Medha Bikash Udyog

As part of social responsibilities and to encourage and help continue the education of the poor
children MSS has introduced a program Medha Bikash Udyog (merit nurture initiative). Under this
program each year poor but meritorious children of MSS’ clients who are studying from primary to
university levels are awareded scholarships based on their previous year’s academic performances.
In the year 2009, a total of 126 children of which 59 female and 67 male were provided
scholarships.

Water and Sanitation Rehabilitation Activities

As safe sanitation and pure drinking water plays an effective role in maintaining hygienic
environment and promoting good health, the maintenance of the water and sanitation complex set
up by MSS in 2005 in Lalbag slum area with the financial assistance of UNICEF and in cooperation
with Coalition for the Urban Poor is still going on under the direct supervision of MSS and in
cooperation with the local community.

Preparedness for Effective Emergency Response (PEER)

Funded by DIPECHO and with the technical assistance of Concern Worldwide, implementation of
the project Preparedness for Effective Emergency Response by Manabik Shahajya Sangstha (MSS)
ended in December 2008. The following activities were accomplished from July to December 2008.
Observation of International Day for Disaster Reduction 2008

On the occasion of International Day for Disaster Reduction, Manabik Shahajya Sangstha (MSS)
organized a rally in one of its project area–Demra thana of Dhaka district on October 29, 2008
under the project Preparedness for Effective Emergency Response (PEER) funded by
DIPECHO/Concern Worldwide. The purpose of observing the day was to raise awareness among
the general mass about risk reduction of disaster.

The rally started from Demra thana compound at 10: 00 a.m. and ended at 11:00 a.m. parading
different roads of the thana carrying a banner with the theme “Hospitals Safe from Disaster”. The
beneficiaries and staff of MSS, NGO workers, DMC members and local elites participated in the
rally. Around 60 people participated in the rally chanting various slogans to raise awareness among
the people. The rally was formally opened by the Officer in Charge of Demra thana Mr. Nasir
Uddin Mondal and accompanied the rally.

Participation in Training
As part of the capacity building initiative, Concern/DIPECHO imparted training to the staff of the partner
NGOs. MSS as a partner NGO participated in Roles and Responsibilities of Local Authorities and
DMC, Disaster Risk Reduction and Humanitarian Principles, Practices and Standard held during
the reporting period. The training was held at Teknaf upazilla of Cox’ Bazar district. A total of ten
members comprising senior and mid-level staff from MSS participated in the trainings.

Participation in Workshop

MSS also participated in two different types of workshops namely contingency planning and lesson
learned workshop held on July 5-7, 2008 and November 6, 2008 respectively. Moreover, a two
member team including the Focal Person attended in emergency project proposal writing workshop
held on September 21-23, 2008 at NRDS in Noakhali. Besides, the Focal Person also participated in
a day long NGO coordination meeting held on October 16, 2008 in Dhaka.

Data collection on Disaster Management Committee

In order to keep information updated, data collection on Disaster Management Committee at union
level was carried out in Keraniganj Upazilla and Demra Thana during October-November 2008
period. Information was gathered through conducting FGDs with the members of the DMCs of
respective unions. Information was collected from 13 unions, 8 from Keraniganj Upazilla and 5
from Demra Thana. Collected information from 13 unions was compiled.

Development of Contingency Plan

A three tier contingency plan was developed at union, upazilla and organizational levels. The
contingency plan was developed in cooperation with the DMC of Ruhitpur union under Keraniganj
Upazilla of Dhaka district. Different PRA tools were applied for preparing the contingency plan.
Mentionable that before preparing the contingency plan, a two member team from MSS participated
in a three day long contingency planning workshop organized by Concern from August 5-7, 2008 at
Kishoreganj. After completion of union contingency plan, Upazilla contingency plan and
organizational contingency plan were developed using prescribed formats.
Rehabilitation of Non-motorized Transport Pullers and Poor Owners (RNPPO)

With the objectives of improving the livelihood of the target people, the two year RNPPO project
that started in July 2007 was ended in June 2009. Funded by Palli Karma Sahayak Foundation
(PKSF) the project was implemented in Lalbag thana of Dhaka city. The target people were: non-
motorized transport pullers i.e. rickshaw-pullers, rickshaw-van drivers and poor owners who were
affected due to the ban of plying non-motorized transports in some of the roads in Dhaka city.
Moreover, family members of the affected people, non-motorized transport pullers who were
willing to change their occupations and the listed poor and affected members of MSS’s micro-credit
program also included in the target group. Total number of beneficiaries under the project was
2,745. The main objective of the project was to improve livelihood of the target people imparting
training and getting them involved in income generating activities providing loan assistance.

Training for Non-Motorized Transport Pullers and Poor Owners

During the two year project period apart from lending loan, the target people were provided with
different types of vocational training such as business development, social awareness raising etc.
The vocational trainings include tailoring, embroidery, block-boutique, garments knitting,
mushroom cultivation, car driving, karchupi (embroidery on shari) and varieties of food making. In
these trainings alongside creating small entrepreneurs business development skill was also
enhanced.

Besides, shifting occupation of the affected non-motorized transport pullers and owners, in a greater
sense, employment generation and business entrepreneurs creation were also another objective of
the project. The project has been able to create self-employment opportunities including grocery,
crockery, leather, small factory, tailoring, mini garments, hardware, hotel business etc.
Human Resource Development
Development of human resource carrying out rigorous training throughout year is a regular
phenomenon of MSS that helps run the organization more smoothly and efficiently. Perfection of a
staff grows through the achievement of professional efficiency, interpersonal skill, knowledge,
changing attitude and behavior. In fact, MSS makes every effort to building a strong and efficient
human resource that facilitates proper management of development programs.

To fulfill increased demand of the skilled human resource, the training cell of MSS provides
training to its staff in accordance with their need. MSS is not only developing its own human
resources, but also assists in developing skilled human resources of its associate partners providing
various need based trainings to their staff. MSS has also been playing a pivotal role in developing
human resources imparting training to the unemployed youths and thus creating job opportunities
for them in micro-financing organizations. Further, providing need based training to the project
participants and civil society members is also mentionable.

During the period from July 2008 to June 2009, a total of 286 staff received training on various
development issues of which 120 attended in foundation training, 18 in micro-finance and
delinquency management, 140 in orientation on program operation and the rest participated in
program orientation course. Besides, 25 mid and senior level staff received training on various
professional courses at PKSF.

Course title Total no. of trainees

Foundation training 120
Orientation on program operation 140
Microfinance and delinquency management 18
Program orientation 8
Total 286

Training for Members: MSS believes that providing loan only is not good enough to lift the livelihood
of the marginalized people. Bearing this in mind, MSS imparts training to its members on various
courses related to IGA so that they can enhance their family income. Poultry raising, cow fattening,
vegetable cultivation, nursery raising, pisciculture and goat rearing were the notable courses attended by
2,496 members in its program areas during the last fiscal year.
.

Name of courses No of Participants

Poultry raising 592
Cow fattening 495
Vegetable cultivation 765
Nursery raising 188
Goat rearing 290
Pisciculture 166
Total participants 2,496
Networking and Advocacy
As network plays a significant role while implementing a large project across the country, MSS
always gives emphasis on maintaining a strong networking with different coalitions/alliances so
that development projects can be implemented smoothly and efficiently.
MSS has always been playing a pivotal role in the promotion of good governance, rights of the
marginalized people especially the women and children implementing different programs through
networking and advocacy initiatives. Besides, MSS has also been advocating for promoting housing
of the urban poor through countrywide networking with local NGOs/ CBOs/ Civil Society Groups.
Efforts to promote housing for the urban poor through International Housing Coalition (IHC) is also
significant. Working with Banking With The Poor (BWTP) and Micro-credit Summit Campaign
has given MSS an opportunity to establish a linkage with the international networks playing
advocacy role in view of promoting livelihood and housing condition as well of the destitute people
of the society.
Development Partners: The contributions of various development partners help implement
development programs for the welfare of the marginalized people. MSS is associated with the
following development agencies/institutions.

■ Palli Karma Shahayak Foundation (PKSF)

■ Anukul Foundation-CARE
■ Academy for Educational Development (AED)/USAID
■ European Commission
■ CARE Bangladesh
■ Japan Embassy in Bangladesh
■ Grameen Trust
■ Coalition for the Urban Poor
■ Credit & Development Forum
■ The Asia Foundation
■ Foundation for the Justice-Spain
■ Concern Worldwide.

Membership: MSS is continuing its networking or membership with the following:

■ Coalition for the Urban Poor (CUP)
■ Credit and Development Forum (CDF)
■ Bangladesh Shishu Adhikar Forum (BSAF)
■ Fair Election Movement Alliance (FEMA)
■ Election Working Group (EWG)
■ Coalition for Good Governance
■ International Housing Coalition (IHC)
■ Micro-credit Summit Campaign
■ Banking With The Poor (BWTP)
 Governance

Executive Committee

Md. Rafique Sajjad

President

Mahboob ur Rahman. Bhuiyan

Vice President

Md. Moshleh Uddin Dhali

Treasurer

A. K. M. Zaman
Member

Abeda Sultana
Member

Zinnat Ara Barkat

Member

Amena Feroz
Member

A. N. Md. Emam Hasanath

Member Secretary