Sustainable development process depends on the active participation of the marginalized and other sections of the society. Community participation and community ownership has resulted in emergence of strong, sustainable and member controlled institutions of the poor. During the period Institution building has occupied the central stage in the project implementation. In the process of promotion of member owned, member managed and member controlled institutions of Poorest of the Poor/Poor, SERP has adopted new strategies viz., transferring the power and funds to Mandal Samakhyas, preparation of Micro Credit plans for utilization of their own and out side funds including CIF and Bank credit and ensuring effective communication by having direct interactions with communities through Video conferences and sending all circulars and instructions both to TPMU and MSs directly in the local language. Also more emphasis was given to develop a cadre of social capital, who shall act as a sensitive support mechanism for people’s institutions and for strengthening of CBOs. The TPMU has given major thrust on saturation of new group formation and facilitated DPMU’s to focus on the coverage of Poorest of the Poor (PoP) into SHG fold through different strategies viz., developing the list of PoP along with their names, characteristics and reasons for not coming into groups, establishment of Poorest of the poor Fund in every Mandal Samakhya, adopting context specific strategies viz., taking the advantage of APREGS programme for migrants problems, Indiramma Housing scheme, organizing disabled and old aged groups around their entitlements and pensions.