Kudumbashree join hands with Department of Co-operation for Muttathe Mulla Scheme in Palakkad Updated On 2018-06-30
Muttathe Mulla scheme which involves the disbursement of loans at low rates of interests to rural households was launched as a pilot project in Palakkad. Shri. Kadakampally Surendran, Minister for Co-operation, Tourism and Devaswoms, Government of Kerala launched the scheme at a programme held at Palakkad on 26 June 2018.The programme is implemented by Department of Co-operation, Government of Kerala with the support of Kudumbashree, aiming at liberating the women from the local blade mafia and also private micro finance companies as the latter's interest rates vary between 24 and 30 percent.
Muttathe Mulla seeks to disburse loans at lower rates of interest and the women have to repay it on a weekly basis. Under the scheme, each woman will be disbursed a loan between Rs 1,000 and Rs 25,000.The interest rate will be 12 percent, that is Rs 1 for a loan of Rs 100 for one month. Loans which can be repaid in 10 weeks were also available. The loans will also be given to close old loans taken from blade companies which can be settled on a one-time basis. The scheme is being implemented in each ward through the three units of the Kudumbashree which would be selected based on its efficiency in its working and its credibility. The members of Kudumbashree will go to the houses of its members who need loans and disburse it to them. They would also collect the loan repayment visiting the households in weekly basis. Each Kudumbashree unit will get a cash credit of Rs 10 lakh at an interest of 9 percent would be disbursed as loan. Of the 12 percent interest to be levied, 9 percent will go to the primary cooperative societies, and 3 percent to the Kudumbashree women. Therefore the Muttathe Mulla Programme of Department of co-operation would help the Kudumbashree women raise themselves while raising their fellow citizens, putting an end to the exploitation of the local blade mafia and private micro finance companies.