Rural Development Programmes (RDPs) can use a combination of grants and FIs to support projects and schemes. Grants distribute funds that do not need to be repaid by beneficiaries. FIs provide RDP funding for investments that are repaid by beneficiaries through loans and micro-finance, guarantees, equity, interest rate subsidies, or other risk bearing instruments. These so-called ‘revolving’ RDP funding tools are useful for improving beneficiaries’ access to rural development finance. A farmer for example can use a combination of grant, loan, and bank guarantee from their RDP. Together, this package of RDP support would cover a much larger proportion of the costs involved in realising development projects. RDP FIs can now also cover working capital and this further increases their potential usefulness.