Microfinance for water and sanitation: a case study from Tiruchirappalli, India

This paper looks at the development of a water and sanitation loan fund deployed through a network of women’s selfhelp groups in Southern India. The success of the loan fund reduced barriers to credit from formal lending institutions and increased investment in water and sanitation facilities. Results from this case study indicate that microfinance principles can be successfully applied to the water and sanitation sector. The objectives of this case study are to summarize what is known about this loan program and explore the possibilities and limitations of this new financing model for the water and sanitation sector.