January 2008 Report

Aamara Biswas

Women Helping Women through Nano Finance

November 2007 – December 2008

 

    A.   Financial Report of the Nano Finance Project at Sambalpur District

Month

Amount Disbursed

In Rupees

(Indian Currency)

Amount Collected

In Rupees

Number   of Beneficiaries

New       2nd Time     3rd Time

 

Amount kept for giving Loan
in Rupees

November

 

2,36,000

      3,620

    397

3,75,600

December

 

1,18,600

    55,005

    215

 

January

 

   39,000

    49,925

    80

 

February

 

1,48,700

    65,630

   106             95        

9,000 donation

March

 

   47,000

     62,535

    54              95

 

April

 

   34,000

     41,110

    50              18         25       

 

May

 

   49,500

     56,500

    62              11         16

 

June

 

   27,000

     40,280

    35              13         12       

 

July

 

   49,000

     48,555

    62              25           4

 

August

 

   54,200

     36,220

    61              44

 

September

 

   73,000

     43,900

    90              47

18,400 donation

October

 

   43,700

     34,450

    60              27          5

 

November

 

   43,000

    40,260

   62              24           8

 

December

 

   37,300

    37,800

   35              18

 

Total

10,000,00

6,15,790

1,364           417         70

4,03,000

 

The above amount is in Indian currency (Rupees).
80% of the women who took loan in November 2007 have paid back the loan in a year (November 2008).  I am still hoping, most of them will return the loan though it will take them more than one year. There are genuine cases where they don’t have enough money to pay back the loan in time after barely taking care of their family. Sickness is the common culprit for this situation. A few women will not return. It is just their nature.  I still strongly believe that most of the women who are in need do not cheat, are not greedy, don’t have the dream of acquiring properties or materials, and their needs are minimum. Their only hope is to have a simple thatched roof as their home, to provide food to the family, basic education to their children, and minimum health care to the family members.

 

    B.   New Nano Finance Projects in Different Areas (2008)

 

I.                   Childright (NGO), Bhadrak Dist.      

II.                Srusti (NGO) in Nuapada Dist.         

III.             Itishree Behera, Jagatsingpur Dist.     

IV.             Surabhi Seth, Baragarh Dist.             

V.                Kamalini Badi, Anugal Dist.,               

 
    C.   Solar Lantern Project through Nano Finance
For the last six years, I was looking to promote the solar lantern project. I became aware of a basic problem when I visited several villages of Sambalpur district with BISWA in 2002. It was heart breaking to see that some villages did not have electricity even in this century.  After doing some research, I decided to purchase the Aiswaria solar lantern from NEST, a Hyderabad based company. The only reason I chose this product was that the product had been in the market for eight years and the customers were very happy with it. In this project, the villagers purchase the lantern from us by paying an initial amount and take an interest free loan for the rest, which they have to pay back in a year or less. We have already started to deliver the lanterns and started collecting the initial amount. We are hoping to use the collected money to purchase more lanterns. 
D. Up scaling the Project through existing NGO(s) / Individuals 
Though, Aamara Biswa has given some funds to two NGOs (Childright and Srusti) for promoting the Nano Finance concept, I feel it will be more viable to promote this concept through individual women with small amount of money at the beginning. The women know their own areas and difficulties they go through in daily life. Most of the time, they also know the women whom they are giving loan.  It is interesting and heartwarming to know that, all the women who are currently working for this project never complain about their salary. They are genuinely interested in working for the project and the benefit of the women. 
 

    E.    Evaluation of the Project after One Year 

    Lessons Learnt:

·         At the beginning, the women were not accustomed to the concept of interest free loan. It was beyond their expectation.

·          Many women thought it was a handout to them because they were poor.
·         Some women (outsiders) just took loan with false identification.
·         It was not useful to keep their voter IDs, because they did not match with their current profiles.
 
·         It took a few months for the women to understand the benefit and importance of this project.
 
·         Book keeping must be done properly at the very beginning
 

·         It is a learning process and it requires constant correction and improvement with experience.

    Corrective Actions:

·         It is very important to disburse a small amount of loan to a few numbers of women at the beginning and give them some time to understand the concept.
 
·         We don’t keep ID but ask the new clients to come with another woman who has already established good credit report with us.
 
·         The books for keeping information must be ready before disbursing any amount of loan.
 

·         It is a constant effort to put emphasis on trust. The concept of Nano Finance will not be successful without women’s help and their trust.  Aamara Biswas is their organization and the future is in their hands.

 

F.    Future Plans

 

·         Expand the Nano Finance concept in different parts of Orissa through women
 
·         Encourage women to take short-term education loan for buying books, paying tuition fees, or any other education related expenses. We have already started giving loans for education purpose and asked them to return the loan as soon as possible at their convenience. So, they can again take loan when they need.
 

·         I am still trying to find out how to provide minimum health care to these women and the children but have not been successful. I had a discussion with the women. They are ready to deposit 1% or more of their loan amount towards the health care.   

 

 

 

 

 

 

 

    

Comments