"Micro Finance: A Holistic Perspective"
on 18th Aug, 2012
At : Jagan Institute of Management Studies, Delhi.
Speaker: Mr. Sahil Mohan, Team Member- Zest4justice.com, Senior Analyst Macafree
Jagan Institute of Management Studies, Sector 5, Rohini, New Delhi organized workshop on Saturday 18th August, 2012 as part of Entrepreneurship-Cell – “Tarkash” on “Micro Finance: A holistic perspective” at its campus. The workshop was an initiative taken to explain the concept of Micro Finance to budding entrepreneurs, who wish to seek a career in the same. Mr. Mohan with the help of an insightful presentation explained Micro Finance in the perspective of what it is in the form of Micro-Credit; Group lending & Social & Charitable activity, and what it should be in terms of being a range of financial services, profitable activity and group and individual lending. He then gave a brief perspective and landscape of MFI’s as:
- 60% registered as societies.
- 20% as trusts.
- 65% following the operating model of SHG’s
- Large concentration in South India
- 600 MFI initiatives reaching to 1.25 crore household
He defined its landscape as private banks, state owned/commercial banks, Niche Market MFI’s, etc. He further stated its models which are Self Help Groups (SHG), Individual banking (IB), Grameen Model (GM) and Mixed Model (MM). He defined its challenges in terms of size, diversity of service, financial sustainability, focus, and legal aspects. He propounded that a higher cost and various forms of risk is small but can add efficiency and can increase ownership of the programme which can help them to achieve their dream of having access to and control of financial and non-financial resources. The session ended with a practical approach suggested for a self help group formation through community meetings, linkages with bank, internal lending, & sanctioning of credit facility.
Overall the workshop gave an eclectic viewpoint of Micro Finance and its perspective as a tool in Finance to our budding entrepreneurs.