PIEDAR started a micro-credit program in 1995 in Nawanshehr and Hussainabad localities of Kabirwala town, Khanewal district, Punjab with three models of micro-finance for the poor. The key elements of these approaches were:
• Credit to individual poor under social guarantees;
• Credit to solidarity groups after requisite savings; and
• Promoting community organizations as Micro-Finance Operators.

PIEDAR targeted the poorest of the poor with household incomes less than two thousand rupees per month. The loan amounts varied from Rs.7,000 to 15,000. The program distributed five million rupees to 463 individual, 34 solidarity groups of five to eight persons each and community organizations (COs) of farmers and urban women. The CO of women successfully operated the small saving and loan schemes, but individual borrowers and CO of farmers defaulted over time. Overall, Rs.4.2 million was recovered as principal and mark up, while Rs.1.8 million remained outstanding. PIEDAR made a detailed study to understand the reasons for default.

We shifted to Enterprise Development, comprising:
• Identification of potential male and female entrepreneurs in low income households;
• Mobilizing lane committees for savings in the target localities;
• Training in fabric (dupatta) painting, community mobilization skills & health and hygiene education for selected women of the localities;
• Staff training in Enterprise Development;
• Assessment of Nawanshehr and Hussainabad localities with the tools and techniques of EDP;
• Training eight partner organizations in the Enterprise Development Program; and the
• Formation of an Enterprise Development Network.

Many members of the original network have done well with several securing professional jobs, nationally and abroad. Some have become specialists in Enterprise Development Training (EDT).