PREAMBLE 1 (2).docx

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Goenka College of Commerce and BusinessAdministration

INTRODUCTION

OVERVIEW STATEMENT

Microfinance is defined as any activity that includes the provision of financial services

such as credit savings and insurance to low income individuals who fall just above the

nationally defined poverty line and poor individuals who fall below that poverty line,

with the goal of creating social value. The creation of social value includes poverty

alleviation and the broader impact of improving livelihood opportunities through the

provision of capital for micro enterprise, and insurance and savings for risk mitigation

and consumption smoothing. A large variety of sectors provide microfinance in India

using a range of microfinance delivery methods.

Poverty is the main cause of concern in improving the economic status of developing

countries. A Microfinance Institutionis an organiation that offers financial services to

low income populations. Almost all give loans to their members, and many offer

insurance, deposit and other services. A great scale of organiations is regarded as

microfinance institutes. They are those that offer credits and other financial services to

the representatives of poor strata of population !e"cept for e"tremely poor strata#.

Microfinance is increasingly being considered as one of the most effective tools of

reducing poverty. Microfinance has a significant role in bridging the gap between the

formal financial institutions and the rural poor.

The Micro $inance Institutions !M$Is# accesses financial resources from the %anks andother mainstream $inancial Institutions and provide financial and support services to the

poor. M$Is are the pivotal overseas organiations in each country that make individual

microcredit loans directly to villagers, micro entrepreneurs, impoverished women and

poor families. An overseas M$I is like a small bank with the same challenges and capital

needs confronting any e"panding small venture but with the added responsibility of

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An exemplification of microfinance process


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serving economically&marginalied populations. Many M$Is are creditworthy and well&

run with proven records of success, many are operationally self&sufficient.

The goals for MFIs are:

o To improve the 'uality of life of the poor by

providing access to financial and support

services(o To mobilie resources in order to provide

financial and support services to the poor,

particularly women, for viable productive

income generation enterprises enabling

them to reduce their poverty(o To create opportunities for self employment

for the underprivileged(

o To train rural poor in simple skills andenable them to utilie the available

resources and contribute to employment and

income generation in rural areas.

Difference between microfinance and microcredit

Microfinancemeans the broad spectrum of financial services provided to the people of

low income groups. )onversely,Microcreditis a small loan provided to the persons of

below poverty line in order to make them self employed. The scheme is offered to the

people of below poverty line who lack collateral and are not eligible to take loan in a

traditional way. As microcredit is a financial service provided in microfinance, the terms

are used interchangeably by the people.

A!I! FOR

COM"ARI!ON

MICROCR#DIT MICROFINANC#

Meaning Microcredit is the small loan

facility provided to the people

with less earning, to motivate

them to become self employed.

Microfinance refers to the number of

financial services provided to the small

entrepreneurs and enterprises who

cannot take shelter of banks for banking

and other services.

$hat is it% *ubset *uperset

Includes )redit Activities )redit and non&credit activities

Till the time, when there is no such facilities like microcredit or microfinance is available

to the needy people. They fulfill their financial re'uirement by taking credit from the

money lenders who charge very high interest rates from the poor people because they are

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"ROMOTIN& $OM#N TO # !#'F R#'IANT


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not eligible to take shelter of banks as they do not own any property to provide as

collateral. The emergence of microfinance has a very positive impact on the beginners

who wants to start their business, but cannot have access to the banking services.

JUSTIFICATION TO TE !ROJECT

The ways in which microfinance and microcredit insurance tools provide social security

to the disaster prone areas of various countries are really remarkable. %ut there are

sectors of people still in the world who are till now unaware the effectiveness of the tools.

Is this reall( the lac) of)no*ledge of such people% Or the fault lies in the hands ofsuch tool operators *ho are still not a+le to reach the mostl( affected people%

+vidences can be tracked where microfinance tools have successfully mitigated the losses

caused by disasters but to throw light on the pre disaster combating techni'ues is the

main urge of our project i.e. how certain techni'ues are being developed in order to

reduce the effects of disaster. *tudies reveal that - of the affected do not have any life

insurance or health insurance but interest in purchasing insurance jumped by // after

recent disasters.

The ,uestion arises ha-e the( learned to +ecome self reliant% Or is it still l(ing *ith

their a*areness%

The study suggested that the M$Is may take the lead in advancing loans for disaster&

proof housing, emergency loans, and asset replacement loans.

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They may design a special

product of disaster savings, for

which the government can

provide the matching grant.

Threats to be self reliant are

being addressed by M$Is and

loans are being provided at

immediate notice.

"ITERATURE

REVIEW

The under mentioned literatures

were found relevant for ourproject. They have been briefly e"plained below0&

I. !tuart Matheson /01123 stated that most Microfinance Institutions !M$Is#

cannot ignore the possibility of being impacted by natural disasters. Many

operate in communities and regions where natural disasters are an annual

event. 1atural disasters such as those caused by flood, storm, earth'uake,

Tsunami, fire, etc. are a harsh fact of life for many poor households and

therefore, for the microfinance institutions !M$Is# that target them. 1atural

disasters have a severe impact on the income and assets of poor households.

This paper discusses financial coping strategies of poor households and

highlights a range of financial products that M$Is can offer to assist these

households to manage their finances through difficult times. An M$I that is

weak under 2normal3 conditions will struggle to survive a serious natural

disaster. *trong M$Is are better placed to provide relevant and helpful services

to their clients. *uccessful M$Is have effective governance, strong human

resource management, accurate and fle"ible management information

systems, and effective portfolio management. They offer services that fit the

preferences and needs of poor households, they are efficient, and they operate

on a business&like basis. If an M$I wishes to prepare for a disaster event, then

its first commitment should be to on&going institutional strengthening. Most

M$Is cannot ignore the possibility of being impacted by natural disasters.Many operate in communities and regions where natural disasters are an

annual event. It behaves such an M$I to make preparations for the impact of

natural disasters on their clients and on the M$I itself. M$Is will be better

placed to respond effectively when a disaster strikes if it has worked through

the issues, designed policies and products, and negotiated collaboration with

4MAs, beforedisaster strikes rather than in the midst of it.

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II. 4IR45 et al. /26673

5irkby et al.6s 2disaster cycle3 framework highlights the overlapping stages of

disaster recovery, starting with pre disaster planning and prevention throughpost&disaster. This framework identifies the appropriate types of programmingthat can assist with the challenges of each stage. Programmers confronting arepetitive disaster cycle can plan disaster&mitigation and disaster&managementprograms for the following general stages.Investments in prediction, preparation, and risk&proofing mechanisms duringthe pre disaster phase(

23 4elivery of humanitarian assistance to avoid mass starvation and epidemicdiseases during the relief stage

03 Inputs to restore livelihoods on a sustainable basis during the rehabilitation

phase(83 Investments in replacement of destroyed infrastructure during the

reconstruction phase and 4isasters as used in this paper hereafter referonly to natural disasters.

93 *upport of opportunities for economic growth during the developmentstage !at the end of the disaster cycle#.

III. #RINR /26693

Another framework, the 2linking relief to development3 framework, alsoprovides important guidance for responding to natural disasters byhighlighting the need to link relief measures to long&term developmentactivities.

7nder this framework, capacity&building activities would be a central part ofrelief activities in a post&disaster setting, and disaster&mitigation strategieswould be part of development assistance programs at the development stage.

I;. AND#R!ON AND $OODRO$ /26


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The main objective of the study was to find out how Microfinance Institutionsassist their clients in times of disaster. *tudy found that 9: of the victimsreceived reliefs from some Microfinance Institutions, just as ;: receivedrelief items from other organiations. It indicated that female forms the largest

percentage of victims during disaster constituting


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RESEARC METODO"O%$

Many microfinance organiations !M$?s# now working indisaster&prone countries have been caught up in natural

disasters as they have occurred and have become activeplayers in post&disaster situations. This project documentsthe e"periences and e"periments of M$?s that have foundthemselves on the front line in natural disaster situations.

?ur project report synthesies the lessons learned from suchsituations and makes recommendations for donors, policymakers, and M$?s. The information presented wascollected through an e"tensive review of the literature. Thereview placed special focus on %angladesh, India, %urkina$aso, 1epal and *outh Africa.

ASSUM!TIONS

In order for an M$? to succeed and protect its clients in the event of a natural disaster, itmust be able to operate under the following minimum conditions0

23 overnments or donors must be able to undertake relief activities.03 The local economy must be at least partially monetied.83 The M$? should be able to access information for client preparedness and portfolio

protection from early warning systems that help predict slow&onset disasters.93 A cohesive and trusting community must e"ist so that peer pressure can be used

effectively( and the country should have diversified environmental conditions and

be reasonably sied so that crop insurance and disaster insurance can diversify riskeffectively.

"IMITATIONS FACED

The following limitations were encountered while conducting the study0&

23 The literatures collected are in nature of secondary data and B:: accuracy can6t

be ensured.03 The drawn conclusion and provided recommendations may not be satisfactory

with respect to actual situation due to absence of direct communication with theaffected people.

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COMMON MFOs IN O"#RATION


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CA!TER !"ANNIN%

The body of the project has been divided into four chapters and their respective sub heads

which has been illustrated below(

1ame of the chapter 4escription

Introduction This includes overview statement, difference

between microfinance and microcredit,

justification of the project, literature review,

objectives of the study, research methodology,

assumptions and limitations faced.

Conceptual frame*or)@ Nationaland International !cenario

This chapter includes eyeing the conceptwhich studies the linkages between

microfinance and disaster management and

followed by the e"perience analysis stating

various opportunities and challenges faced by

microfinance organiations.

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"resentation of data= Anal(sis and

Findings

It contains various case studies both at

national and international level. There are

four case studies from international ground

and a special response to 1epal earth'uakefollowed by the situational analysis in India

elucidating the performance of *+8A,

ujarat. $inally it suggests few findings from

the study conducted.

Conclusions and recommendations It is inclusive of conclusions drawn from the

entire subjective study followed by

recommendations for donors and policy

makers.

CONC#"TUA' FRAM#$OR4@

NATIONA' ANDINT#RNATIONA' !C#NARIO

E$EIN% TE CONCE!T

1atural disasters occur in two forms0 slow&onset disasters, such as droughts and famines,and rapid&onset disaster, such as earth'uakes, floods, hurricanes, landslides, and volcaniceruptions. >apid onset disasters are severe and difficult to predict well in advance butusually are temporary. *low&onset disasters develop slowly, can be predicted, and lastlonger than rapid&onset events. >egardless of type of disaster, the effects on the strickenpopulations are devastating. 1atural disasters are common in the developing world.

4eveloping countries hit by natural disasters are faced with devising multistage recoverystrategies for their populations, as well as developing active disaster&mitigation programsto reduce the effects of future natural disasters.

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Many microfinance organiations !M$?s# now working in disaster&prone countries havebeen caught up in natural disasters as they have occurred and have become active playersin post&disaster situations. In other cases, programs originally developed as disaster&relief

programs have evolved into well&known microfinance organiations, such as the%angladesh >ural Advancement )ommittee !%>A)# in %angladesh. Increasingly, neworganiations that arrive following disasters are taking a microfinance focus, designed toput poor and rural populations back on their feet.

$h( is microfinance seen as a logical mechanism for disaster relief as *ell as

reconstruction and de-elopment%

The answer lies in the fle"ibility inherent in microfinance0 It can provide appropriate andimportant services to those hit by disasters throughout the stages of relief, rehabilitation,reconstruction, and development. $urthermore, microfinance has the potential to play a

strategic role in risk management before disasters strike, a characteristic particularlyvaluable in disaster&prone areas. 4isaster&oriented microfinance services range from newand temporary services to those M$?s may undertake on an ongoing basis. Temporaryservices include0

+mergency loans !relief stage#(

>emittance services !relief stage#(

Coan reschedulingDrestructuring !reliefDrehabilitation stage#(

Coans to restore capital assets lost in disasters !rehabilitation stage#(

Coans to rebuild housing and other infrastructure !reconstruction stage#(

Coans to start new economic activities !development stage#.

Coans for new activities may also be part of an M$?6s ongoing services,

as would be loans for diversification of economic activities. ?ther long&term financial services that is particularly relevant for disaster&

prone areas include insurance instruments to protect vulnerablepopulations against future disasters !disaster mitigation#( and savingsservices to provide a personal safety net against future disasters !disastermitigation#.

7nfortunately, although M$?s are increasingly being considered as

vehicles to jump&start a post disaster economy, the challenges they face indisaster situations are enormous and not well understood.

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4isasters generate a plethora of challenges for e"isting and new microfinanceorganiations, but they also present opportunities that should not go unnoticed. Thischapter identifies the uni'ue opportunities, followed by the challenges that M$?sencounter in countries either recovering from natural disasters or e"periencing chronicdisasters.

E&!ERIENCE ANA"$SIS

O""ORTUNITI#!

4isasters open up several opportunities for M$?s at the macro, institutional, and clientlevels that are not present during normal times. They arise from both the supply side

!program funders or sources within the program itself# and the demand side !M$? clientsand the larger community of disaster victims#.

2.3 !uppl(!ide Opportunities

At the macro level, e"isting M$?s are often approached by international donors andgovernments to channel money E either loans or grants E to the affected populations for

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MFO &UID#! "#O"'# $IT O""ORTUNITI#! AND TR#AT!


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relief and rehabilitation. This flow of e"ternal funds, often as grants, increases the capitalavailable to M$?s during the disaster period and improves their image in their areas ofoperation. The opportunity to coordinate with governments and international donors canalso provide a forum for lobbying for microfinance&related issues so that these e"ternal

agencies do not undermine financial markets, especially during disaster times. At theinstitutional level, when disasters strike, M$?s have a uni'ue opportunity to assess theirvulnerability to disaster conditions and their ability to manage under them. Although suchlearning occurs under duress, the resulting lessons can pay off in future disastersituations. At the micro level, disasters provide an opportunity to e"amine M$? clients6vulnerable areas and capacities. This information can be used to develop new financialproducts or to work with client groups to develop risk&mitigation strategies for the future.

0.3 Demand!ide Opportunities

4emand&side opportunities emerge from M$? clientele as they respond to a disastersituation. The loss of or damage to income&generating assets and workplaces creates an

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increased demand for credit, especially for replacing assets and reconstructing buildings.1atural disasters also generate an increased flow of remittances from overseas orunaffected regions, leading to a demand for fast and efficient services to transfer money.These demands may be placed on M$?s by e"isting clients or by others in the

community who find themselves in need of a financial institution.

CA''#N!

Cisting challenges in post&disaster situations is a longer e"ercise than listingopportunities, as M$?s face several challenges in providing financial services under suchconditions. Although many of these challenges are similar during normal and disastertimes, they may be amplified by disaster conditions.

2.3 Fund Management Challenges

In normal times, M$?s are responsible for accounting for money received from theircreditors !whether donors, governments, or depositors#. They are challenged to serviceloans and depositors efficiently, whereby the demand for loans and deposit services canbe predicted with some certainty. In contrast, disaster times generate an outpouring ofgrant and loan funds from donors and governments that re'uire 'uick disbursement toprovide relief and rehabilitation services.

0.3 !taff Administration Challenges

In normal times, M$?s encounter problems in recruiting, training, and maintainingefficient staff that can screen, sort, monitor, enforce, and collect on loans so that programobjectives in terms of target clients can be met and loan defaults can be reduced to ensuresustainability. 4uring disaster times, M$?s are further re'uired to do the following0

Prepare their staff to predict and deal with disasters.

+ncourage staff to work in disaster areas during relief and rehabilitation

stages, which involve more time and effort to collect on old loans or makeand collect on new loans(

Train staff to sensitie clients to the difference between one&time grants

and loans so that the regular loan program is not undermined by relief

efforts( Prepare staff to work under conditions with less logistical support and

damaged client records and collateral( and train staff to minimiemismanagement of grants and servicing of non targeted clients.

8.3 Changes in "rogram O+Becti-es

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Program objectives of long&term outreach and sustainability are heavily challengedduring disaster times, when e"isting M$?s may be encouraged by donor agencies toprovide the affected population with new financial and social services. Part of the donorpressure may be to service a new clientele, one at greater risk than the usual clientele. In

addition, donors may insist on rela"ed loan terms and conditions because of humanitarianconsiderations.

Though some M$?s may be independent of public funding, these re'uirements aresignificant to donor mandate. The challenge is whether these M$?s can resist donorpressure or alter their objectives during disasters, then revert back to their originalmandate once normal conditions return, without undermining their long&term objectives.1ewly established M$?s are challenged to find the appropriate balance betweenfinancial and social objectives.

The 'uestion remains,Can ne* MFOs that +egin operation during disaster times

*ith social o+Becti-es later mo-e on to +ecome financial organiations pursuingeconomic goals%

9.3 Client selection

)lient selection is a challenge in normal times as well as disaster times. Fowever, duringdisaster times( M$?s face the dilemma of whether to e"pand services to the vulnerablepopulation to respond to obvious pressing needs, or to service only creditworthy clients.If the M$? decides to e"tend services to the vulnerable population, the institution mayhave to develop indicators that allow it both to serve the program6s objectives andeffectively screen and select the targeted population.

>.3 "roducts and programs and contract terms and conditions

In normal times, M$?s design their programs and products and related terms andconditions for viable and competitive operation. In disaster times, M$?s must adaptproducts and programs developed for normal periods to disaster situations, but in waysthat do not conflict with their long&term objective of sustainability. The importantchallenge is to establish clear guidelines and cutoff dates for special products andprograms used during post&disaster stages.

?.3 Contract enforcement

iven the incomplete information inherent in financial markets, M$?s are alwayschallenged by problems related to contract enforcement. In normal times, M$?s6 maincontract enforcement issues deal with repayment and collateral foreclosure on anindividual or group borrower basis. 4isaster times e"acerbate the situation, re'uiringM$?s to manage widespread collateral damage or loss( widespread default resultingfrom client injury, death, or migration( and losses to guarantors. The challenge isespecially intense for established M$?s that have minimal geographic and enterprise

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diversification and for new M$?s, which may have a less diversified clientele thanestablished organiations.

7.3 Changing Demand for !er-ices

4uring normal periods, M$?s lend primarily for income&generating activities andsecondarily for consumption. 4uring disaster periods, demand increases for loans forconsumption purposes, loans to replenish assets lost or damaged, and social services!such as emergency food or shelter# that precede income generation. Although socialservices usually are outside the realm of microfinance services, M$?s recognie thataccess to them affects households6 ability to return to productive activities and generateincome in the future.

4emand may be both short and medium term in nature. ?nce M$?s decide whatservices they are prepared to offer, they are challenged to predict accurately the demandfor those services by assessing the magnitude of the damage so that programs will beeffective, timely, and of the appropriate duration.


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It is challenging for e"isting M$?s to educate and coordinate with such new suppliers inpost&disaster settings. In addition, new M$?s may have to coordinate with establishedM$?s to learn from their e"periences and avoid duplication of efforts. ?n a differentlevel, M$?s also need to coordinate with insurance and credit guarantee programs !if

they e"ist# to cover losses to their portfolio and clientele.

"R#!#NTATION OF DATA=

ANA'5!I! AND FINDIN&!

E"UCIDATION OF CASE STUDIES

"O!T DI!A!T#R !ITUATION! AT INT#RNATIONA'

'#;#'

CA!# !TUD5 NO.2 /*ource0 7*AI4, BG


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later determined that banks should not be re'uired to perform social welfare functions intimes of disaster and that a clear cutoff date should be specified for interest ratee"emptions.

ANA'5!I!

Ta+le no. 2 /*ource0 M>A3

T5"#! OF O'D 'OAN AMOUNT RAT# OF INT#R#!T

*hort& term loan >s.s.B,9:,::: 9

Total Rs.0==111

Table no. B shows the share of various old loans before the flood took place which clearly

reflects that maximum amount of loan *as of long term nature i.e. ?1.1>G= the reason

being people were reluctant for short term loans as it re'uires immediate pay off. %eing

agriculture their main motive they preferred long term loans which were at low rate of

interest and repayment tenure was sufficient to gather funds.

23%

28%

49% SHORT TERM LOAN

MEDIUM TERM LOAN

LONG TERM LOANS

TA'# NO. 0 /*ource0 M>A3

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T5"#! OF N#$ 'OAN AMOUNT RAT# OF INT#R#!T

*hort term loan >s./,::,::: 9

Cong term loan >s.-:,::: =Total Rs.0=>1=111

Table no. / indicates the types of loan after flood took place whereby M$?s opted for

providing short term loans at a lo*er rate of interest in order to ensure the pay back of

the loan. After the flood devastation M$?s in order to protect people e"cused the old

loans and incurred a huge amount of loss in respect of principal amount and interest.

+ven people who intended to repay the amount even stopped paying the amount therefore

under rural credit programme scheme M$?s decided to provide short term loan at a

lower rate of interest to guarantee the repayment and removal of huge interest imposition.

FINDIN&! FROM CA!# !TUD5 NO. 2

M$?s use various mechanisms to protect their clients, including allowing immediatewithdrawal of both compulsory and voluntary savings, rescheduling the compulsorysavings component, and forgiving loans !principal, interest, or both#.Coan forgivenessduring disasters is primarily used by public banks and cooperatives under a governmentalmandate.

Although de+t forgi-eness ma( +enefit +orro*ers *ho ha-e outstanding loans at thetime of the disaster= it creates apath( among other clients and increases losses to the

MFO.

In fact, the effectsof loan forgiveness have been well documentedas undercutting thelong&term objectives of M$?s and their clients indeed, more e"periencednongovernmental organiations !1?s# report that they rarely use debt wipe&off as amechanism to protect their clients in a post&disaster situation.

$hat options ha-e +een more successful%

M$?s that mobilie voluntary andDor compulsory deposits in %angladesh and India allown clients to withdraw their savings during disasters and reschedule regular mandatorycontributions until normalcy returns. *ome M$?s in India have also allowed withdrawalsfrom emergencyDcontingency funds built from members6 compulsory regularcontributions to reconstruct damaged public infrastructure, or they have divided theemergency funds e'ually among members to meet medical e"penses. The *mall+nterprise $oundation !*+$# in *outh Africa also makes compulsory savings available

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for immediate withdrawal without any penalty, but the institution e"pects members torepay the funds after a specified time.

In addition, *+$ pays no interest on deposits until the withdrawn money is repaid.

Methodology used by some programs is to implement 2state&contingent contractsHwhereby M$?s temporarily vary their financial design in post&disaster situations toprotect their clients. $or e"ample, *+$ protects its clients during droughts by switchingfrom group to individual liability for group loans. It is e"pected that this will reduce adomino effect created through collective loan default by all members of a group once afew members default on their loans.

CA!# !TUD5 NO. 0 /*ource0 8??4>?8, BG.#

Cereal an)s in ur)ina Faso

)ereal banks were initiated in %urkina $aso in B=9 by$?1A4+*, a $rench&based 1?. %y BG


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T5"#! OF 'OAN AMOUNT

$ood loan >s.9,:::

)ereal loan >s.-/,:::

Monetary loan >s. /:,:::

TOTA' R!.7?=111

TA'# NO. 9 !*ource AM?IC P>?$IC+*#

T5"#! OF 'OAN NO. OF 'OAN! G R#A'I!#D

$ood loan BG B/./-

)ereal loan ;9- B:

Monetary loan B/- -

Table no. ; and Table no. 9 showcase the types of loan and the no. of loans offered to the

people to rescue them from drought. An implication being the number of cereal loan

ranks no. B and that is why people started depositing in cereal banks of M$?s.

FINDIN&! FROM CA!# !TUD5 NO. 0

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In addition to special methodologies or programs for post&disaster periods, specific financial products areparticularly helpful to clients in these settings. Most ofthese products will be offered temporarily, and some may

reach a broader population than simply the M$?6songoing clientele. Products include housing loans, in&kindand emergency loans for food and medicine, andremittance services. Additionally, cereal +an)s ha-e +eenesta+lished to pro-ide food and cereal loans in post

disaster situations. 4isaster&related loans are generallyfound to be effective if they are provided immediatelyafter a disaster. The timing and fle"ibility of housing loansin particular are very important features that affect theability of such products to protect clients. The time lagled several victims to relocate to other regions and repair their houses by themselves.

After project implementation in BG=, uniform amounts were issued as loans withuniform terms and conditions to all borrowers. Their impact would have been greater(however, had the loans been made on fle"ible terms and been issued according to demandrather than having been restricted to people who previously owned houses in the area.?nly ?>6 loanswere made, even though 2=111 *ere +udgeted, and only 8> percentofthe loans were considered sound after three years of program implementation !7*AI4,BG=#.)ereal banks are another financial product that, if used ineffectively, can fail torespond ade'uately to user needs.

Thus, although cereal +an)s are effecti-e in dealing *ith seasonal food shortfalls ,they seem to be inade'uate during severe droughts unless augmented by e"ternalassistance. Also, cereal banks that are not monetied and deal with only in&kind loans

appear to be more vulnerable to financial losses during droughts than do monetiedbanks.

CA!# !TUD5 NO. 8/*ource0 7*AI4, BG


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generating activities lead to a dependency syndrome among victims. Therefore, it startedproviding subsidied and easy credit to disaster victims as a development strategy.P>?*FI5A soon learned, however, that subsidied loans drain an 1?&M$?6sinstitutional resources unless they are supported by donor grants.

A loan *ipeoutfor flood victims in BGG also proved to be a loss to reserve funds. Inaddition, dependence on donor resources for disaster relief was limiting P>?*FI5A6stimely intervention after disasters. In response, in BB, a program for natural disastermanagement for sustainable development was created. Also that year, a disaster&management fund for 7*:.B million, capitalied by donors, was formed.

The fund is used to provide relief services to disaster victims until fresh donor fundsarrive. Methods P>?*FI5A uses to provide disaster&related services include thefollowing0

i. Relief stage0 A small, one&time, instant&relief grant including food, medicine,and cash is provided during the relief stage. It is e"pected to provide a limitedsafety net through additional cash flow to victims !clients and non clients#who suffer from loss of employment that follows immediately after a disaster.The members are also allowed to withdraw from their compulsory deposits.As a penalty, interest on remaining savings is withheld until the withdrawnsavings are replenished.

ii. Reha+ilitation@reconstruction stage0 Interest&free, collateral&free new loansare made to established clients so they can revive their income&generatingactivities. These loans are provided for asset replenishment and for

reconstruction of houses damaged or lost.

The loans are to be repaid in monthly installments, but borrowers can choose to make asmaller repayment every month and then pay a bigger amount at a later date once incomestarts accruing. A total of ;/,=; new loans !housing and asset replenishment# worth7*;.G million were made in B= for flood disaster victims( the on time recovery ratehas been around


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CA!# !TUD5 NO. 9/*ource0 7*AI4, BGA), the %angladesh >ural Advancement )ommittee, was created in B=B with donorfunds to provide relief services to victims of the war that led to the country6sindependence and of the cyclone that hit %angladesh soon after independence. In BB,%>A) developed a disaster&response mechanism called the Post )yclone >ehabilitationand 4evelopment Program !P)>4P#. %>A) based the program on the organiation6stwo decades of e"perience in working in disaster&prone areas. 7nder P)>4P, %>A)managed the May B= disaster that hit the coastal regions of %angladesh, killing morethan 9,-:: livestock and damaging more than -G:,::: houses and /B-,::: acres ofpaddy. The program worked as follows0

i. Relief stage0 In the first days after the disaster, %>A) used permanentcyclone shelters to house and provide health care to victims. It also suppliedemergency food, water, and medicine to all victims !members andnonmembers# in the project area.

ii. #arl( reha+ilitation stage0 After two days, victims were moved back to theirvillages. Members were allowed to withdraw their compulsory savings!essentially borrowing from their savings# in order to secure some means ofcash flow to manage emergency re'uirements. The members were e"pected torepay the withdrawn amount at an interest rate of < percent. %>A) officials,with the help of the local community, immediately assessed their members6damages and considered housing reconstruction loans based on the e"tent of

the damages. The loan committee consisted of one %>A) official and onelocal person. The members, usually females, were provided with areimbursement slip and were directed to collect the loan from the area officeafter two weeks.

iii. 'ate reha+ilitation stage0 A total of /A)#. +"periments with village&level rehabilitation funds created after theB/ floods were found to be difficult to manage and were thereforediscontinued.

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i-. #arl( reconstruction stage0 %>A) helped repair schools, roads, tube wells,and water pumps and also assisted in desalinating ponds and opening wells inthe first four weeks after the disaster.

-. 'ate reconstruction stage0 This commenced after the fourth week of thedisaster. ?n a grant basis, %>A) supplied fresh seeds, fishing, and poultry togroup members whose vegetableDfishDpoultry farms were destroyed during thecyclone. %>A) also provided working capital loans from its resources. Thegovernment reimbursed %>A) for grants and loans in the amount of7*BB,G::.In total, relief and rehabilitation activities cost %>A) about7*;:,:::. $unds were obtained from fresh donor grants !7*/9:,::: from?J$AM, 1?KI%, and )I4A# and from %>A)6s internal resources allocatedfor disaster management !7*B-:,:::#. %>A) suggests that housing loansare essential for effective use of grants and loans provided for assetreplenishment and income&generating activities. ?f the housing loans made in

B- to flood victims !amounting to 7*A), B-#.

L FINDIN&! FROM CA!# !TUD5 NO. 8 AND NO. 9

+stablished M$?s operating in areassubject to chronic disasters are increasinglydeveloping mechanisms to prepare theirclients for such events.

4isaster&preparedness programs are nowimplemented as part of several M$?s6ongoing activities during normal times.Although several of these programs arefinanced through special reserve funds,they are increasingly being financedthrough regular funds allocated for normalM$? activities.

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In %angladesh, ?J$AM provides subsidiedloans for buying food and emergency productsand storing them under the earth as a reserveduring the reliefDemergency stage after a

disaster. Fousing loans are also provided innormal times by M$?s such as %>A),P>?*FI5A, the rameen %ank, andM>A4A for clients to build houses in safeplaces. roup&based insurance companies inCatin America are now providing loan andsavings protection to micro entrepreneurs.%7>?&Tangail, an 1? in %angladesh, hasintroduced enterprise insurance for members ona pilot basis.M$?s in %angladesh provide several training

programs to improve the entrepreneurial ability of their clients to diversify into income&generating activities that are disaster&proof. Also, several M$?training programs are in place for vulnerable groups helped bythe government in previous disasters.

Fowever, these programs may be cost&effective only forestablished M$?s that provide training programs as part oftheir regular services.

In addition, shelters have been built in safe places to protectclients affected by floods, and irrigation projects have been

implemented to protect against droughts.

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RES!ONSE TO NE!A" EART'UA(E )T JANUAR$ *+,-

In a country with poverty that is already among the highest in the world, the devastatingearth'uake in 1epal this April caused more destruction and destitution than could havebeen imagined. The 1epal earth'uake, estimated to have been a magnitude of =.G to G.B,caused more than G,G:: deaths and /;,::: injuries. There is also a great deal of coverageof the toll this has taken on 1epali families and the international response. >ecent data

shows that it will cost over


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The earth'uake seriously affected B9 districts in 1epal, and microfinance clients areamong the hardest hit. $rom preliminary information collected by>M4) and its members, here are the statistics of those affected0

23 1o. of M$Is affected0 06!only 9 are highly affected#03 1o. of branches of the / M$Is0 29083 MembersDclients affected0 206=11193 Member deaths0 20?>3 Fomes of members destroyed0 2?8?3 %ranches of M$Is damaged0 773 Fouses of *taff damaged0 61M4) Portfolio affected with M$Is0 Rs. 2.06 +illion

These details provide a snapshot of the disaster caused to 1epal6s microfinance sector bythe April earth'uake. ?n the basis of preliminary analysis, >M4) and their members arein the process of finaliing the following action plan0

23 Providing soft loans to rebuild homes0 temporary for short&term needs and thenplanned homes for the long&term

03 Managing the livelihoods of the affected families83 Managing daily necessities93 Fealth and education

CR#ATIN& CONDUCI;# #CONOMIC #N;IRONM#NT

23 4evising to revive the old economic and farm activities03 Identifying appropriate local based microenterprises83 *kill development trainings

FINANCIA' R#!OURC# MANAM#NT

23 >eschedulingD writing off of the affected farm and microenterprise loans03 Providing new loans at lower interest rates

83 Additional >s. / billion will be re'uired to finance in the affected districts

T#CNICA' !U""ORT

23 4isaster management training03 8orkshop on rehabilitation of affected M$I branches83 4eveloping new microenterprises93 *kill development trainings

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Microfinance An Aid to Ne.a/01 !o1t2Eart345a6e Reco7er8

o O-er-ie*

?ne month before a series of earth'uakes ravaged the 5athmandu valley and surrounding

areas, efforts are turning to formulating a plan for recovery. 8ith the onset of monsoons

and poor sanitation increasing endemic disease incidences, initial efforts have been

focused on temporary shelter, clean water sources, maintaining food supplies, and

continuing medical support. The people of 1epal are left largely to their own devices to

ensure their economic and physical recovery. Assuming, for the moment, that emergency

aid will begin to address the immediate humanitarian crisis, we are left with the issue of

how to ignite longer&term sustainable development.

*pecifically, the 'uestions that loom large are0

o* to facilitate economic gro*th and de-elopment in a postcrisis context%

$hat can +e done to mitigate longterm dependenc( on humanitarian aid% $hat

*ill ha-e a transformational impact on peopleHs li-es%

It is a well&established that the majority of net new jobs are created by small businesses.

lobally, small businesses provide between


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registered# entities. $ormal businesses contribute, on average, -: percent of 4P in high

income countries and


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03 Poor regulation and supervision of deposit taking M$Is.83 $ew M$Is that meet the needs for savings, remittances or insurance.93 Cimited management capability in M$Is.>3 Institutional inefficiencies !identity verification, design appropriate products,

grow business, reduce risk#.?3 Inability to fund microloans through savings and with sufficient margins !high

transaction cost relative to loan sie leads to high interest rates, upwards of =:,

average is well over ;:#.73 1eed for broader distribution of services for rural and agricultural entities.


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sentiment is a common one. %ut it

presupposes that it6s the relief and aid

community that must take the lead after crises.

8hile there is an important role for those

organiations, there is also a vital role for the

financial services industry in helping people

rebuild their lives. Microfinance can be

genuinely transformative in this respect. The

microfinance industry has had its own share of

crises in the past few years N some very real(

some overblown through misunderstanding

about its role, its capacity, and its limitations.

%ut from crisis has come opportunity, as social

performance management, appropriate

regulation and demand&driven products bring the sector closer to its founding ideals. Asnatural disasters become ever more prevalent and serious N a result of population growth,

and possibly of climate change as well N so too has civil strife dominated the lives of

many in emerging economies in recent decades.

$or poor people in countries suffering from these crises, life is an endless tale of

vulnerability. Microfinance can play a vital role in helping these people increase their

resilience to crisis, minimiing their vulnerability to poverty, insecurity and instability.

>estoring livelihoods and providing resilience to vulnerable populations are among the

core benefits that financial intermediation can offer, by providing access to savings,

insurance, emergency loans, remittances and income smoothing, among other services.

Microfinance providers are well&suited to play this role, building on e"isting relationships

of trust with clients that foreign 1?s cannot.

In these countries, disaster and conflict can lead to a negative feedback loop of poverty

traps over the short and long term. Incomes become less stable, and economic

productivity decreases. Market opportunities worsen, and infrastructure failings prevent

the movement of goods. Fousing and working conditions deteriorate, and social cohesion

can be destroyed.

In response, the provision of fair, sustainable, scalable financial services to poor

populations, appropriate to the conte"t and fle"ible to changing circumstances, can createemployment, drive economic growth, ensure a range of critical services, and bring people

together during times of shared difficulties. Microfinance can also build social cohesion,

while putting people and communities back on their feet. It will take years for the

communities affected by the earth'uake in 1epal to recover. >elief and aid will always

have their place, and the rest of the world will need to send money and logistical support

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to help. %ut long&term recovery will re'uire more than food packages and temporary

housing.

It will need livelihoods to be re&built, businesses to be grown, and the long&term

reconstruction of assets and skills.The applicants for the +uropean Microfinance Award,

and the eventual finalists and winner will demonstrate e"cellence in providing services in

the hardest environments imaginable. 8ith luck, their ideas and e"perience can be

leveraged to help millions of others recovering from future crises around the world.

FINDIN%S FROM TE E"UCIDATION

2. "ortfolio Managements

Protecting clients from disasters is a central concern of M$?s operating in disaster&proneareas, both from a humanitarian and a business perspective. In its endeavor to remain aviable financial organiation, the M$? has a second major concern when disasters strike0how to protect its portfolio from the effects of disasters.

0. Financial "rograms and Methodologies for Disaster

Management

Mechanisms used for portfolio protection include loan rescheduling, with or withoutinterest, and credit guarantee programs designed to compensate M$?s for losses incurredon risky loans. The effectiveness of loan rescheduling in protecting an M$?6s portfoliodepends on the credibility of threat attached to defaults and the institution6s long&termrelationship with its clients.

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An M$? client who places importance on his or her long&term relationship with the M$?or who faces a credible threat of losing collateral benefits from the additional timeprovided to repay loans. In turn, the increased likelihood of repayment of suchrescheduled loans protects the M$?6s portfolio. +vidence suggests, however, that only

established M$?s with long&term client relationships tend to reduce defaults onrescheduled loans. +ven so, both new and established M$?s can protect their portfoliousing collection of collateral or severance of future transactions as credible threats.M$?s6 e"perience with using credit guarantee programsto protect their portfolio hasbeen less encouraging, as several guarantee programs have not been viable and li'uidenough to meet the huge demand for insurance payments that occurs after a disaster.

8. Financial "roducts for Disaster Management

The financial products M$?s use to protect their portfolio in post&disaster situationsinclude new loans for asset replacement !to generate income# and housing and in&kind

!seed# loans. The rationale behind issuing new asset&replacement and housing loans toprotect M$? portfolios is as follows by replacing as soon as possible after a disaster thenon land assets the household uses for its main source of livelihood, and providing cashloans to tide the client over during the initial post&disaster period, the M$? enables theclient to repay future loans and rescheduled old loans normally. $urthermore, from along&term perspective, new loans to old clients can help an M$? retain good clients andprotect its future portfolio.

In relationship lending, an M$? incurs a sunk cost in gathering information about itsclients. It is important for the M$? to ma"imie its use of that information by makingconsecutive new loans to good borrowers. In addition, new loans made in times of

disaster based on long&term relationships with borrowers can enhance borrower loyalty,as well as protect the M$?6s portfolio through regular repayments.

9. Do ne* loans in fact protect against default on existing loans%

+vidence from the Association for *ocialAdvancement !A*A# in %angladesh showsthat a new loan for asset replenishmentdoesn6t protect an M$?6s portfolio in theshort run as intended. >ather, it wasobserved that it takes about three or fourconsecutive new loans to generate enough

income to service the rescheduled old debtcompletely. A*A points to an alternativefinancial product in lieu of asset&replacementor housing loans.

>. !pecial "rograms and "roducts for Disaster "reparedness

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+stablished M$?s operating in areas subject to chronic disasters are increasinglydeveloping mechanisms to prepare their clients for disasters. $or e"ample, since thedrought of B:, some M$?s in %urkina $aso have insisted that their members develop a

contingency plan to deal with disasters. *uch contingency plans reportedly reducedarrears rates by about ;: percent during the B-drought. *ome M$?s are also encouragingclients to arrange for thirdpart( guarantorsfrom a drought&resistant area to protect theirportfolio from the risk of covariance. ?therdisaster&preparedness products include loans toclients for starting disaster&resistant incomegenerating projects and enterprise diversificationto 2shock&proof3 households so that loanrepayments are not affected by natural disasters.

Insurance mechanisms such as groupcontingency funds and privateDindigenousinsurance have also been developed !e"amplesinclude credit unions in Catin America thatinsure their portfolio with private insurers( loanguarantee programs( and group contingencyfunds formed by the rameen %ank and *+$#.

CONC'U!ION ANDR#COMM#NDATION!

CONC"USION

If M$?s confronting natural disasters can learn from the e"periments and lessonsprovided in this paper to create a disaster plan, resources will be better used, clients betterserved, and portfolios made more resilient to shocks. Additionally, those involved in

disasters need to be better informed as to the limits of microfinance as a risk&reductionstrategy, and should be simultaneously encouraged to communicate with M$?s indisaster&affected regions in the process of planning for and responding to naturaldisasters.

After application of the mentioned methodology of studying the literatures available itcan be widely concluded that the M$?s have been able to combat the ma"imum needs of

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the needy or those who are affected. The case studies of %angladesh, )ereal bank Africaand *+8A 7OA>AT acts as a pioneer for other M$?s including those newly set up.

%ut the 'uestion of pre situation analysis of disaster over an area by *+8A in ujarat is

risky enough in terms of government e"penditure and e"pectations of drought andsimultaneously the tools applied to overcome it may result faulty if the inherent capacityfires back becoming the weak point. 8e all know future is uncertain and dynamic enoughinvolving multifaceted problems in it as a result tools applied by *+8A may not beacting as the appropriate yardstick to combat droughts in ujarat and other naturaldisaster in India. ?verall the post disaster techni'ues has been proved successful but therestill lies a drawback to include the entire affected population of the world as a single unitand provide benefits to all.

:S5cce11f5/ in eradicatin9 .o7ert8 b5t fai/ed in benefitin9 t3e needie1t; RECOMMENDATIONS

?ur project has documented the strategies used by M$?s in natural disaster settings toprotect clients and portfolios. This sub chapter provides recommendations for donors,policy makers, and M$?s that actively participate in post&disaster situations.

DONOR!

23 It is undesirable to start a new M$? during the early stages of a disaster,especially if the M$? is e"pected to provide social services during that time.

+stablished M$?s are better e'uipped to deal with early stages of disasters,especially if they have a dense network of branches.

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To avoid burdening long&termM$? operations with the costsof relief operations, it is

appropriate for donors toprovide grant funds for reliefoperations.

If the donor arrives after M$?relief activities havecommenced, the donor maycompensate the M$? for reliefe"penditures so that the M$?is fully capitalied to beginrehabilitation and

reconstruction loans in the laterphases of disaster recovery.

03 In no case should donorsencourage M$?s to make financial grants to clients or wipe out previous debts. Inaddition, donors should allow M$?s to be active, rather than reactive to donorpressures, in post&disaster situations.

83 )lear e"it dates should be specified for any disaster&related grant facility. 1oactivity aimed at disaster relief should e"tend into the later part of thereconstruction stage.

93 1ew M$?s that focus on financial activities can become sustainable operations ifthey are established during the rehabilitationDreconstruction stages.

"O'IC5 MA4#R!

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Policy makers presume that M$?s have the capacity tofunction as a safety net to populations in post&disastersituations, and that they can jump&start an economyaffected by a disaster.

%ased on the findings presented above, this is clearlynot the case.

Therefore, post disaster recommendations for policymakers include the following four points0

23 +ven well&established M$?s play a verylimited role in providing safety&net services,and even then, services are primarily targeted tothe M$?s6 clientele.

03 overnment grants can be channeled through M$? networks only if the M$?scan effectively manage the provision of relief grants along with managing theirown credit programs.

83 In any case, the grant operation should not undermine the M$?6s reputation as aprudent financial intermediary.

93 Policies such as loan wipe&outs should never be used, as they compromise M$?viability and do not benefit non borrowing victims.

>3 )oordination among the several agents active in post&disaster situations should beencouraged and actively supported.

Three "illars the !upport and &ro* !mall usiness= o+s and the

#conom(

Focus on *omen

8omen business owners are further constrained by the legalDregulatory

environment in which they operate and at the mercy of firm growth limitationsderived from societal&specific characteristics like education, training, sie of firm,

and cultural barriers. 8omen business owners need access to the same financial

products as their male counterparts plus non&financial services such as support for

capacity building, networking and market information. Create go-ernment

supported incenti-e programs to strengthen MFI financial outreach to

*omen and *omen small +usiness o*ners.

#m+race the future

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Invest in cost reduction tools, such as automated decision making to streamline

the decision making process and alternative scoring techni'ues !i.e., application

driven models, +ntrepreneur )apability Assessment# and embracing

infrastructures already in e"istence such as internet and mobile phone banking. Acombination of products across micro and *M+ customer accounts !business and

business owner and employee of the business# to capture market share and

strengthen margins.

Infrastructure support

)reation of an incentive program for the registration of informal businesses to

reduce illegality and increase access to capital for appropriate growth and job

creation but recognie not all informal businesses have the capacity or

willingness. Incentives could include a reduced cost for registration, a simplifiedprocess, reduced ta" burden, and public outreach to articulate the benefits !e.g.,

selling to government or other registered businesses( access to new markets,

capital, technology, finance, capacity building, judicial system( better business

predictability#.

It is incumbent on policy makers and private sector !finance institutions, financial

intermediaries# to intervene to encourage better banking services, higher deposit

rates, greater access to capital, regulatory reforms, better infrastructure,

competition in the financial sector, and support measures !i.e. development of

programs that lower costs of financial services for under and unserved micro and

*M+s#.

The key to economic recovery, *hether from a de-astating earth,ua)e or a

glo+al recession resides in support for microfinance= access to capital for

micro and !M#s and the su+se,uent Bo+s created%

Anything less is simply temporary measures that are not sustainable and that will

have to be replaced repeatedly over time.

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8e would love to thank all the websites and journals to help us in gathering information

for our study. The following sources were helpful while conducting our study0

WE#SITES

www.google.com

www.sewa.co.in

www.proshika.co.in www.brac.co.in

www.sewa.co.in

www.bdmc.com

JOURNA"S AND MA%A


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!#$A ANNUA' R#"ORT 0128= 0129 AND N#$!'#TT#R 012> "R#!#NT! T#

FO''O$IN&:

!#$A Ur+an:

The year witnessed several achievements derived through a lot of challenges0

-::: head loaders and hand cart pullers witnessed an increase of /- to ;: in

their wages. This lead to an annual increase of >s =,G:,::,::: in the income ofthe workers.

A levy of - lakh rupees was being deposited by the owners in the welfare board.

8ith *+8AQs efforts this amount of - lakhs has now risen to B- lakh rupees. Thishas change has happened after a gap of ;: years.

The annual turnover of *+8AQs >achaita )ooperative of )onstruction 8orkers

was registered at >s B,B:,::::. $rom this the monthly income of s 9G:: to >s /B:::.

8aste recyclers were offered work in three slums.

The turnover of eetanjali Paper Pickers )ooperative was registered at >s

9=,:G,9-. This cooperative supplied spring files to the biggest stationerycompany of the world known as *taples and worked for several other ITcompanies.

%idi workers witnessed a price rise for the first time in several years. $or B:::

bidis rolled now the workers are paid >s G: to ; instead of >s B/. This hasincreased their annual income by >s /,,-/,:::. 4ue to the changes undertakenin the overnment policies there has been retrieval in the scholarships beingprovided for the children of bidi workers.

4ue to the inception of *+8AQs thread shop in Ouhapura area of Ahmedabad city,

threads re'uired for stitching were provided at nominal rates to the workers.

4ue to renovation work in %hadra area of Ahmedabad women street vendors lost

out on their vending space during the peak season of 4iwali. This resulted information of %hadra Kechnar Mahila %aaar.

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*treet Kendors !Protection of Civelihood and >egulation of *treet Kending# Act

was passed in /:B;.

The Ahmedabad Municipal )orporation provided space beneath the Oamalpur

overbridge for the vendors market as designed by the *+8A team.Fere withincluded budgets for several such markets in its estimate report.

8ith the support of the police *+8A helped B/: street vendors of 5harikat canal

in 1aroda regain their vending space.

Through the year *+8A helped B-:B vendors restart employments worth >s ,

;


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Award by the *cotch roup and olden Oubilee Memorial *marak rass Award by theujarat 5rushi Kigyan Mandal.

Rudi:*ale worth >s s


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Apart from this, B::: girls were imparted financial literacy trainings. 7nder *+8AQscredit scheme, housing and vehicle loans are now being provided. 7nder its Project, solarlights, fans and hand pumps are sold and for these loans are available.

!ocial !ecurit(:

ealth Care:Cok *wasthya *+8A )ooperative !C*M#, a member&owned state levelcooperative enables women workers and their families to have access to life&savinghealth information, prevent illness, obtain services when re'uired thereby leading healthyand productive lives. This is achieved by providing community&based, preventive andcurative health care, in a financially sustainable manner that promotes decision&makingand control by women workers of the informal economy. C*MQs community healthprogramme supplements, and works in partnership with, the public health system wherehealth needs can be met through public health services. The Fealth )ooperative !Cok*wasthya Mandali# is working on health&related issues such as ensuring maternity

benefits, occupational health benefits and the provision of health education for itsmembers and their community.

The main activities of the health cooperative are(

Fealth +ducation and Awareness

>eferral services !curative care#

?ccupational Fealth and mental health

Fealth )amps !eye, gynaecological, 1)4, general#

Cow cost medicines and Ayurvedic medicines productions

Cinkages with government programmes R community based monitoring of these

Insurance !>*%, Kimo*+8A#

Through the health education and awareness sessions over 9 lakh members obtainedhealth and nutrition education and information on government health and child care

schemes. /== women, health workers of Cok *wathya health cooperative, obtainedincome of over >s -: lakhs for their health services.

Mahila ousing Trust:Through 5armika *chool across three states 9-: women wereprovided construction related trainings. A lot of water and sewage connection work wasundertaken. Across the states of ujarat, >ajasthan, Madhya Pradesh and %ihar work wascarried out in /:< slums. 8ork was carried out for ;


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people with basic facilities. )redit facility of up to >s GG,G-,::: was provided to G:-women who wished to avail basic domestic necessities.

$or home renovation 9/ women were given loans worth >s /-,9:,:::. In Madhya

Pradesh home electrification was undertaken for -G houses. The work of energy auditingis undertaken across 9-/9 houses of Madhya Pradesh. In *uratQs )redit )o&operativethrough BB9B accounts savings worth >s ;,s -,9;,Bs B,:=,BG,:: was registered. The turnover of this co&operativewas >s /-,9;,s /,9:,::,:::. /// women throughgovernment schemes received subsidy worth >s B,,G:,:::. 7nder >ajiv andhi*cheme, B,

Documents

PREAMBLE 1 (2).docx