Establishment:

The Trust Fund was established by AAAID Board of Directors' Resolution No. (25) for the year 2005. Its purpose was to enhance the role of AAAID in different areas of development, particularly in rural agricultural communities, by mobilizing resources and directing them to assist in raising the productivity of the rural agricultural community and alleviating poverty in it.

Objectives:

• Provide support to the basic services, such as health, education and water in production areas and poverty pockets.
   

• Provide support services to poor small farmers with the objective of increasing production and raising productivity by means of introducing suitable technologies and providing plant and animal production inputs.
   

• Provide revolving capital to small poor producers, especially women.
   

• Provide training and capacity building to small and medium businesses in order to increase productivity and sustain it.

Sources of Finance:

• The Fund depends on contributions from the participating partners who currently include AAAID, the Ministry of Finance, the Savings and Social Development Bank, the National Fund for Social Insurance in the Republic of Sudan, in addition to donations from other institutions.
   

• Currently the total contributions amount to about $2.5 million (February 2009), including an extra amount of $1.0 million from AAAID for purchasing equipment for establishing a drilling unit for water provision.
   

• Currently AAAID has endeavors to attract other partners to enable increasing the provision of vital basic services and in poverty alleviation in a sustainable manner.
   

• The Fund invites financial institutions and donor organizations, in Sudan as well as abroad, to contribute in financing the fund operations for supporting the poor.

Operation Strategy:

• The Strategy of the Fund centers on operating through local community institutions and by active participation of beneficiaries throughout all the stages of the project, starting from the idea, through the implementation, follow-up, and evaluation stages.
   

• Within its projects, the Fund focuses on providing soft loans and the active participation of recipients to ensure sustainability.
   

• It also focuses on remote poor and promising areas, and emphasizes sustainability as well as environment preservation.

Programs Implemented by the Fund in 2008:

The Fund implemented micro credit projects in the form of revolving credit to the poor (including retirees) covering 17 projects in Sudan. Those projects included remote areas at distances of over 800 km from Khartoum, covering traditional and mechanized farming areas, pastures, and provided support to the services of education, health and water provision. The Fund activities spanned several outer states which included North Kordofan, South Kordofan, Gadarif, White Nile, Northern, River Nile, and Kassala states beside Khartoum State as follows:

1- Small Revolving Credit Program (for poor families):

• North Kordofan State: Ghabsha, Bara, and Alqa’ah.

• South Kordofan State: Dalanj, Tukma.

• White Nile State: Duwaim.

2- Small Revolving Credit Program (for Retirees):

• Northern State: Dongola.

• White Nile State: Duwaim.

• Gadarif State: Gadarif.

3- Public Utilities Support Program:

• Gezira State: Abu Haraz

• White Nile State: Duwaim

• Khartoum State: AL Kiryab

• North Kordofan State: Alqa’ah, Bara, Ghabsha.

Funding to the implemented projects amounted to about $580,550. By the end of 2008, the program implementation percentages were as follows:

Revolving Credit Program for Retirees: 44%
Small credit Program: 48%
Public Utilities Support Program: 8%

Number of Beneficiaries, Supported Individuals, and Women
Participation % in Small Credit Program in 2008

State	Area	Number of Beneficiaries	Women Participation %	Supported Individuals
North Kordofan	Ghabsha	158	-	1106
	Bara	25	50%	125
	Alqa’ah	Local community
South Kordofan	Dalanj	70	90%	490
	Tukma	10	-	74
White Nile	Duwaim	110	60%	660
Northern	Dongola	78	28%	390
Gadarif	Gadarif	89	29%	623
River Nile	Atbara	77	26%	382
Kassala	Kassala	74	50%	518
Total		701		6371

Providing Drinking Water is one of the Activities of the Fund.
 

Providing Revolving Credit to Poor Small Producers, Particularly Women.