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Summary:

In view of the existing problems faced by mountain farmers of Nepal in meeting their basic needs, several saving and credit schemes have been established by women farmers through out Nepal. In Sindhu and Kabhre districts of Nepal, a program is being implemented by the Nepal Agroforestry Foundation (NAF) under financial support from the Nepal Australia Community Resource Management Project (NACRMP) and the Ford Foundation. Basically this papers highlights the effectiveness of saving and credit cooperative and its institutional processes. The entry point for this process is a“ saving group”, where groups of women farmers are organized and motivated to undertake income-generating activities, including agroforestry home gardening to empower and strengthen their communities. These women have proven resourceful to alleviate the chronic shortage of credit by operating saving and credit cooperatives in NAF’s working areas. The results and lessons learnt through the implementation of this program are discussed.