SIF increases the availability of basic economic and social infrastructure and services in poor communities. It also improves the abilities of micro-finance institutions in poor communities to provide financial services to the poor and enhances the access of the poor to these financial services.
SIF strengthens the capacities of Community-Based Organizations (CBOs), Non-Governmental Organizations (NGOs), Local Government Authorities in support of the overall goal of poverty reduction.
The Fund normally supports projects that will provide or upgrade rural infrastructure, such as feeder roads and water supply. Such support helps people below the poverty line such as impoverished farmers to increase their productivity and raise the activities of non-crop farmers to commercial levels. The fund also helps to reduce poverty among urban poor communities.
SIF provides training for local entrepreneurs, NGOs, CBOs, Metropolitan, Municipal and District Assemblies (MMDAs), Small Scale Financial Institutions and networks (such as SUSU collectors) to enhance their roles in urban and rural poor development programmes.
It supports micro financial institutions to improve their service delivery to the poor. It also provides money for lending to micro finance institutions.