WHY NON FINANCIAL SERVICES?WHY NON FINANCIAL SERVICES?

Inter Aide

Kishor MAGDUMKishor MAGDUM

77thth Sep 2011 Sep 2011

The Promise of Microfinance

Our Promise – Our Goal

Improve the livelihood of the familiesImprove the livelihood of the families

Enrich the lives of the poorEnrich the lives of the poor

Improve and strengthen the living Improve and strengthen the living conditioncondition

Collaborate with poor people to help Collaborate with poor people to help them in upgrading their socio them in upgrading their socio

economic status.economic status.

Our Target Population

Very vulnerable, poor & excluded Very vulnerable, poor & excluded familiesfamilies

Characteristics of our target population

No

NoNo

NoNo

Is their a link?

Livelihood…Livelihood…

It includes skills, knowledge and capacity, health, access to education, sources of credit, or networks of social support.

Improving livelihood?

Is it merely by giving a loan?Is it merely by giving a loan?

Improving livelihood?Is it merely by giving loans, Is it merely by giving loans,

collecting savings & providing collecting savings & providing financial services?financial services?

No!!!

Only loans and saving can not be Only loans and saving can not be enough for improving livelihood!!!enough for improving livelihood!!!

April 24, 2023

Name of Presentation 11

Services

1997 ???200620032000

Credit•Solidarity Group

•Individual

Credit•Solidarity Group

•Individual

•Housing

•Consumer

•Utility bill

•Small Business

Credit•Solidarity Group

•Individual

•Housing

•Consumer

•Utility bill

•Small Business

•Vehicle

•Fixed Asset

•Gold loans

Savings•Savings Accounts

•Fixed Deposit

Payments•Utility Bills

Credit•Solidarity Group

•Individual

•Housing

•Consumer

•Utility bill

•Small Business

•Vehicle

•Fixed Asset

•Gold loans

Savings•Savings Accounts

•Fixed Deposit

Money Transfers•Utility Bills

•Remittances

Insurances•Life

•Health

*Source: Rhyne,E. & M Oterio (Microfinance through next decade)

FS + NFS strengthens immunity to fight against adverse conditions

It can lead into behavioral change along with economical progress

Current Current Behaviors Desired Desired BehaviorsBehaviors

Examples of Behavior Change

Hesitant to acquire newer skills

NFS

PRESENT/CURRENT FUTURE/DESIRED

Ignorant about productive usage of capital & debt

Knows when & from where to borrow, how to utilize for maximum gain

Ready to learn & improve

This may help a family…

To be free from clutches of poverty.

Then our vision will not be a piece of paper

Vision

It will become true soon or later…

Lets break the ice…

To fulfill our VISION

…& adopt comprehensive approach

Thank you