THE GRAIN bank scheme started in Karjat tribal block by the Academy of Development Science has had some positive effects. Besides making villagers self-reliant, the mechanism of such banks has resulted in quarrels being settled and the hold of sahukars (moneylenders) getting weakened.

The programme began in 1988 with four villages. Today, 21 villages have joined in and the membership has increased from 185 to 545. In 1991, the first four villages repaid the loans they had taken and are now self-sufficient in grains.

An indirect success of the grain bank has been the settling of old disputes. For instance, during a village meeting in Shilawadi to discuss the bank's affairs, an old issue was raked up. But the disputing parties were persuaded to bury the hatchet and help run the grain bank smoothly.

"The villagers felt it was important to be united or the bank couldn't run," says ADS village programme coordinator Kiran Kulkarni. According to Budhji Dhama Bhala, a tribal of Nagewadi village, "Now we need not plead with the sahukars for a loan.
Kulkarni says if schemes with local participation are designed, total loan repayment is possible because the people feel the schemes are theirs and are prompt in repayments.