microfinance and its overview. its performance over the indian market, its pros and cons.

1. TONOY TARAFDAR MBA(3RD SEM) ACHARYA’S BANGALORE B-SCHOOL

2. RISING INDIA MICROFINANCE

3. MICROFINANCE Microfinance is the supply of loans, savings and other basic financial services to the poor. As the financial services of microfinance usually involve small amounts of money- small loans, small savings, etc- the term microfinance helps to differentiate these services from those which formal banks provide. Microfinance has been defined by RBI as provision of thrift, credit and other financial services and product of very small amount to the poor in a rural, semi-urban and urban areas for enabling them to raise their income levels and improve living standard.

5. 5 to10 persons doing same activities & same standard may form a joint liability group this is for the persons who are engaged in tiny business self-employed persons or marginal farmers living in same area bank provide loan to this groups NABARD refinances 100% loan

6. Number of members can be between 10 to 20 but for irrigation projects minimum 5 members can form SHG.

7. Members are the persons below poverty line.

8. Their can be only one person from one family in one SHG.

9. Group need to have a bank a/c.

10. There have to be regular fortnightly or monthly meetings.

11. Members are to save regularly.

13. MFIs PERFORMANCE…

15. Savings

16. Insurance

17. Housing

19. Assets

20. Security

21. Confidence in futureBetter: Health Population Education Community participation Banking for the majority

25. Top five MFIs in Outreach….

27. Recommendations

28. Conclusion

30. “a potential transform it’s weaknesses into strength”!!! THANK YOU