<P> Through assistance of Swiss Agency for Development and Cooperation, NABARD set up the Rural Innovation Fund . Rural Infrastructure Development Fund (RIDF) is another noted scheme for the bank for rural development . Under the RIDF scheme Rs. 51,283 crore have been sanctioned for 2, 44,651 projects covering irrigation, rural roads and bridges, health and education, soil conservation, water schemes etc . Rural Innovation Fund is a fund designed to support innovative, risk friendly, unconventional experiments in these sectors that would have the potential to promote livelihood opportunities and employment in rural areas . The assistance is extended to Individuals, NGOs, Cooperatives, Self Help Group, and Panchayati Raj Institutions who have the expertise and willingness to implement innovative ideas for improving the quality of life in rural areas . Through member base of 25 crore, 600000 cooperatives are working in India at grass root level in almost every sector of economy . There are linkages between SHG and other type institutes with that of cooperatives . </P> <P> The purpose of RIDF is to promote innovation in rural & agricultural sector through viable means . Effectiveness of the program depends upon many factors, but the type of organization to which the assistance is extended is crucial one in generating, executing ideas in optimum commercial way . Cooperative is member driven formal organization for socio - economic purpose, while SHG is informal one . NGO have more of social color while that of PRI is political one . Does the legal status of an institute influences effectiveness of the program? How & to what an extent? Cooperative type of organization is better (Financial efficiency & effectiveness) in functioning (agriculture & rural sector) compared to NGO, SHG & PRIs . </P> <P> Recently in 2007 - 08, NABARD has started a new direct lending facility under' Umbrella Programme for Natural Resource Management' (UPNRM). Under this facility financial support for natural resource management activities can be provided as a loan at reasonable rate of interest . Already 35 projects have been sanctioned involving loan amount of about Rs 1000 crore . The sanctioned projects include honey collection by tribals in Maharashtra, tussar value chain by a women producer company (' MASUTA'), eco-tourism in Karnataka etc . </P>

National bank of agriculture and rural development (nabard)