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This paper, which will be published in two parts in consecutive issues of Circuit World, reproduces a chapter of the recently published book ‘Handbook of Printed Circuit Technology: New Processes, New Technologies’, edited by G. Herrmann and K. Egerer and published by Electrochemical Publications Ltd, Port Erin, Isle of Man.

Formed by Andrew Hall following interest at the Fabricators' Group Meeting in the November 1994 PCIF Senior Management Session, the Bare Board Test Working Group is the latest addition to the PCIF April Project.

Points out that the small and cottage industry (SCI) sector is often neglected despite its potential for contributing to economic development, especially in the third world; and reports an investigation of the use of the Bai‐Muajjal (BM) method of financing in the Bangladesh SCI sector. Explains the theoretical basis and methodology of the study, the possible sources of funds for SCI owners, the particular characteristics of Islamic banks and the fund investment methods they offer. Describes the BM lending activities of one such bank with 40 “grass root level” SCIs (poultry farming and handloom industry), which require borrowers to create groups, undergo monitoring and open savings accounts; and assesses their effects on SCI owners’ saving habits and the mobilization of savings towards productive ends. Identifies many social and economic advantages in the BM system and welcomes it as a way to channel savings productively and reduce poverty.