Bangladesh OBA Sanitation Microfinance Program
Objective: This program aimed to provide affordable, accessible and safe sanitation to poor households-- and ultimately scale-up the adoption of sanitation microfinance in Bangladesh.
The OBA grant supported access to improved hygienic sanitation by mobilizing household loan finance from participating microfinance institutions.
This combination of microfinance and output-based subsidies made affordable loans available to low-income households to buy quality hygienic latrines from local manufacturers.
Outputs: The project demonstrated that carefully designed catalytic funding can help leverage significant resources for the sanitation sector. The $3 million GPRBA grant mobilized an additional $22 million from local microfinance institutions for household investments in hygienic sanitation.
The project surpassed the target results for the number of hygienic latrines constructed (170,679 latrines), the number of beneficiary households identified as poor (89 percent of households), the proportion of loans provided to female borrowers (96 percent), and overall household satisfaction (99.99 percent). The number of beneficiaries reached was 776,590.
In FY19, GPRBA reviewed this project’s impact on market development in rural Bangladesh and assessed how much additional finance was leveraged because of these activities.
A workshop on the findings was held in Dhaka, with local microfinance institutions, non-governmental organizations (NGOs), and other local sanitation actors.