OPP-OCT
discovered that this growing settlement of Orangi was full of the enterprising
sprit. The most impressive demonstration of the spirit of enterprises is the
creation of employment everywhere in the lanes; inside the homes there are
around twenty thousand family units, shops workshops, peddlers and vendors. In
response to the dual challenge of inflation and recession, the residents have
invented working family, modifying homes into workshops, promoting the women
from more dependents to economic partners and wage earners, abandoning the
dominant patriarchal pattern with surprising speed.
OPP’s
research revealed two significant factors; first, there was unlimited demand
for products and services of these family units. Second, the family units were
extremely competitive (on account of very low over heads and very cheap and
docile labor). The working family units of Orangi were completely integrated
with the main Karachi markets. In fact many units are supplying goods to
famous firms, who just put their labels and make big profits. What is required
is to support their initiatives.
Research
further revealed that the production and employment in urban as well as rural
areas could easily be increased provided the credit is accessible, as there
was no shortage of market demand or productive labor. But they would not get
credit at reasonable rate, because banks were inaccessible to them. The lack
of bank credit forced them to buy raw materials at exorbitant prices while
they had to sell their products at depressed prices and forego expansion.
On the
basis of the research findings, Orangi Pilot Project (OPP) decided to arrange
access to credit to these micro enterprises. For this Orangi Pilot Project –
Orangi Charitable Trust (OPP – OCT) was established in 1989 as an
independent and autonomous institution in Orangi, a low income settlement of
over one million people. The main objective is to support people effort in
their economic development by providing credit in urban and rural areas.
