As we come to a close of our financial year, and another year in our journey of
ishq, ilm and aml, it is time to reflect on our various opportunities, and take
pride in our achievements and review many challenges and obstacles that we have
overcome. It has been another busy year for PPAF with new innovative projects undertaken
and new relationships being built.
According to several Global Indicators, Pakistan is facing many challenges with
inclusion. At PPAF, we take these indicators very seriously and have been committed
to making inclusion a priority in all our work. PPAF’s Institutional Development
Unit has remained committed to nurturing social mobilization in all PPAF projects
and programs. By strengthening human and institutional resource development at a
local level, social mobilization seeks to facilitate change through a range of players
engaged in interrelated and complementary eorts. PPAF’s approach of reinforcing
the ability of community institutions & poor households to participate more effectively
in social, economic and political forums, sets the precedence for a more inclusive
and productive Pakistan.
By creating a platform for dialogues and listening to various narratives, PPAF is
harboring all around inclusivity that works towards a greater goal.
A pilot project titled ‘Ending Gender- Based Violence in Punjab’ focused on addressing
gender based violence. The pilot project created awareness in the community on women’s
issues, rights and laws. The plan engaged people through Youth Centers, the Women
Development Department (WDD), Non-Formal Literacy and Basic Education (NFLBE), and
the Department of Government of Punjab, who are all looking to create modes of service
delivery at the grass-roots level. Under the pilot, women were able to share their
personal stories through a radio program called ‘Roshan Raahein’ (Pathways of Light).
The Program for Poverty Reduction (PPR) has launched as a three-year investment
program titled: “Poverty Reduction through Rural Development in Balochistan, KP
and FATA”. The Government of Italy (GoI), through the Directorate General for Development
Cooperation (DGCS), financed it. Under this program, PPAF has taken some new initiatives
resulting in some strategic shift from its standard approach. This program is exciting
and challenging for PPAF as it is an opportunity for the organization to reprogram
itself in the light of those learning, best practices and experiences. PPR provides
fresh approaches to the partner selection process, preparing for entering an area,
socio economic development program and union council development plans.
In 2009 PPAF entered into an arrangement with the World Bank’s Consultative Group
to Assist the Poor (CGAP) and Innovations for Poverty Action (IPA), a research and
policy non-pro¬fit, to be part of a global experiment to test its poverty graduation
pilot, “Targeting the Ultra Poor (TUP)”. The purpose of the study was to assess
the impact of PPAF’s TUP program on household social and economic outcomes and look
into whether a multifaceted graduation program can help the extreme poor establish
sustainable self-employment activities and generate lasting improvements in their
well-being. The Poverty Graduation report helped PPAF go to scale with the basic
poverty graduation approach, which consisted of asset transfers along with relevant
trainings, vocational skills training, formation of common interest groups around
specifi¬c trades/ skills, and a community livelihood fund. For PPAF this is just
the beginning – we believe that supporting ultra-poor and vulnerable households
out of poverty requires further scale-up and continuous innovation around this basic
formula that has already shown positive results.
Resulting in successful experiences working with PPAF, the Government of Pakistan
(GoP) asked PPAF to design, mobilize, implement and monitor the Prime Minister’s
Interest Free Loan (PMIFL) through its partner organizations. PPAF is targeting
least developed and most deserving areas where it has already invested in terms
of social-mobilization, livelihood projects the poor, training, health, education,
water, small infrastructure and post flood rehabilitation projects. The scheme has
been successful in making interest free loans available to men, women and youth
from vulnerable and marginalized households. The loan also emphasizes that 50% of
its borrowers must be women.
In order to add value in aiding Pakistan’s continuous energy crisis, PPAF established
an independent Renewable Energy (RE) Unit which is involved in the development of
indigenous renewable energy resources (small scale hydropower, solar, wind and biomass)
to generate electricity locally to o grid communities. The RE Unit was successful
in designing and initiating the construction of 5 Mini Hydropower Projects in Chitral,
Upper Dir and Buner districts of KP Province with varying capacity of 100 to 300
kW. The design of these Mini Hydro Projects is in line with the international standards
and based on data collected from ¬field with detailed engineering surveys.
In January 2015, PPAF’s Education, Health and Nutrition (EHN) team initiated an
exercise in Sindh that would ensure that PPAF’s strategic direction was based on
field realities, and PPAF’s own strength in grass roots program implementation.
Consultations were held with community based households, Mohallah committees, village
organizations (VOs), local support organizations (LSOs), PPAF partners organizations,
technical organizations in health, nutrition and education, district and union council
based government officials, and relevant provincial departments. The consultations
indicated that nutrition and preventive health were two important, stand alone areas
that communities should focus on, including attention to malnutrition, balanced
diet, food security, breast feeding, menstrual hygiene, anemia in adolescent girls,
hand washing, and safe drinking water. Once the results of these consultations were
analyzed, and aligned with PPAF’s Framework for Socio-Economic Transformation, the
two strategic frameworks for Education and Health and Nutrition were finalized.
In February 2015, the World Bank formerly approved these. The Frameworks are supported
by a policy guideline for all PPAF’s current and future programming in EHN.
PPAF contributed its eorts in aiding in conflict hit areas, by implementing the
Chamalang Education Program. This initiative provides scholarships to 4,000 children
from the poorest families of the district Kohlu and Lora Lai to integrate them into
the mainstream society. PPAF helped children to enroll in the best schools of the
province. The overall support included tuition fees, uniforms, books and stationery.
Furthermore, PPAF also provides the cost for exposure visits of these children to
different cities of the country so that they have opportunity of cross-cultural
As a sector developer, PPAF continued its eorts to improve the business environment
and foster growth in the microfinance sector of the country. Forming a strategic
relationship with the government, regulators, investors, practitioners, public sector
entities and other stakeholders has yielded a conducive environment for microfinance
to be rated as one of the best in the world by Economist Intelligence Unit. All
this significantly contributed to another year of consistent growth and development
in the microfinance sector of Pakistan. By June 30 2015, the sector served 4.2 million
microinsurance policyholders, and 13.15 million savers. The penetration rate increased
to 12.8% with potential microfinance market estimated at more than 25 million clients.
The number of branches reaching the poor to offer fi¬nancial services has crossed
to 2,700 gross loan portfolio reached at PKR 80.95 billion, active borrowers at
3.50 million. The average amount of loan disbursed is PKR 31,563 Finally, we continue
to grow our alliances and networks and strongly acknowledge PPAF partner organizations
for implementing our developmental initiatives. The Livelihood Support & Promotion
of Small Community Infrastructure Program (LACIP) Unit organized the Mashal-e-Khyber
Awards Ceremony to acknowledge the best practices in project implementation under
various program components by its partner organizations. The award ceremony was
held in Islamabad, on April 23, 2015. Mashal-e-Khyber provided a platform for PPAF
to celebrate and salute our communities whose courage and spirit encourages us to
We are grateful to the Government of Pakistan for their assistance and proactive
support, to our Board and General Body for their direction and advice, to our bilateral
and multilateral donors who continue to trust and have confidence on our delivery.
Finally, we salute the women, men and children in the communities we work with,
whose courage and spirit inspires us to work harder.