SAFWCO is currently running its Programs in twelve Districts of Sindh with the overall objective of social and financial development. Micro Finance Program works with Community Organizations and with SAWFCO own model of Village Development Organizations called VDOs This programs offers multiple products and SAFWCO now intends to focus on achieving the following objective:

• Transformation of VDO to village banking
• Developing these Micro Finance Organizations to evolved MFI
• Establish a sustainable saving and credit programs through these VDOs
• Build the capacity of VDOs to be able to run the Micro Credit Program autonomously and to enhance their role in poverty alleviation
• Advocate for the role of Micro Finance Organizations in development process

Over the past decade SAFWCO has been trying to find the best possible approach that addresses poverty effectively, ensures sustainability and contributes to the empowerment of the poor. Evaluation of Micro Finance Programs shows that positive results have been achieved so far in terms of the impact on poverty alleviation. The key elements that contribute to this are the degree to which the system is responsive to the needs of the poor and the degree of participation and ownership by the poor. The types of other support services (training and advice, gender awareness, family planning) provided to the poor have their own contribution to poverty alleviation. However there are also difficulties in this approach. Flexibility of the system sometimes works against the sustainability of the scheme itself. The resource require for village banking is building the capacity of VDOs /VDO/CBO/NGOs/NGOs to manage the system makes replication easier. This task is further complicated by the significant differences in capacity between female and male VDOS. Intensive training for VDO in various areas including participatory methodologies is needed to put direct impact on the quality of the intervention and the end result. The compilation of strong database both qualitative and quantitative is essential for a more accurate measurement of impact for proposed village banking.
SAFWCO’s micro Credit Program started in 1999 with the overall objective of alleviating poverty in its area of operation with particular emphasis on women .
The two major components of the program are to strengthen the coping mechanism through building the capacity of VDOS to assist their members. The other major component is to provide micro credit loans to the community initiated VDOS to boost up the economical conditions in partnership with communities, local government and NGOs. In general Village banking concept through VDO seek to implement alternative strategy for addressing the financial needs of the poor through informal structures while at the same time contributing to their role in development.
.