Micro credit is a way to keep the poor people poor for ever. Instead of lending 5,000/- to a thousand people, lend the whole money to an entrepreneur, he will start an industry, give employment, pay taxes, ..........
When NABARD Pioneered the Micro Credit Innovations in 1992, it was slow and when we look back the Micro Credit Movement is the succeessful concept. The future is bright but only we take some safe guards from fly by night NGOs. That is why the Micro Finance Regulation Bill has been tabled in the parliament. As regards the financial inclusion, some wher we have to make a begginning to bring the poor and other marginalised sections into banking stream. When it involves a diversified and multi lingiustic and multi cultural and social ethos, do not expect to get the results overnight. A begginng done is a step ahead and we only can look forward
The writer's doubt on NABARD's Fund Distribution under Micro-Credit Policy of RBI or Govt. of India, very suspect, due to in-efficient Management as well retarded fore-sight on Indian Agriculture Policy.
Banker's or thier employee's get thier salary at the end of 30 days; whether they distribute or not the loan under micro-credit or any other credit programme.
The Blame is on in-efficient policy implementation and plan execution.
The Fate of the poor and the marginalized would not change even in next century, if these attitude continue.
We need to get the facts clear !! 1)when the microFinance development fund was created in 2001 as indicated in the article , the management of NABARD did a perhaps an unwise thing, ... replenish the fund from its profits every year ... so to the outside world , it is still an unused fund.. and intact ?? .. the fact may be otherwise 2) The govt has not been very gracious as being quoted in the article ..NABARD being rewarded etc etc ...Govt only announces .. the money flows from NABARD kitty others( not Govt) and that too post tax profit ...would it be a bane or boon .. the author can mull over 3) If ever one thought that spending is easy .. the best way is to shower it from a helicopter !!..what does one do with mushrooming NGos and fly by night operators.. the sector has a lot of talkers and writers , but very few who know the knitty gritty... how does one tackle the issue of lack of capacity ?? Cheers keep thinking Suran
