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Rainwater harvesting financed by microcredits

RAIN piloted a project on providing microcredit to Nepalese farmers to purchase rainwater harvesting (RWH) equipment. RAIN analyzed and developed strong business cases for farmers who want to invest in RWH equipment and designed the modalities of the microcredit loan. For the development of the product in the current moderate market scale, it is important that these loan modalities fit into existing microcredit schemes in order to attract microfinance institutes. RAIN also advised the consortium, which targeted 2000 farmers.

Since 2005, Nepali partners of RAIN have constructed hundreds of RWH tanks, which range in volume from 6,500 liters to 94,000 liters, as well as other RWH solutions. Investing in RWH equipment leads to increased yields and income, which in turn improves farmer bankability.