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Presented by:

NALINI PATIL
MARGARET
09th September,
2007
LOBO
AGENDA OF THE
PROJECT
AGENDA..


WHAT IS MICRO
FINANCE?
•Micro + Finance in literal terms means:

•Micro- extremely small in scale or scope or in capability

•Finance- a commercial activity of providing funds and


capital

•If put together microfinance in very simple terms means a


commercial activity of providing small amounts of funds
and capital.

•In the development paradigm, micro-finance has evolved


as a need-based policy and programme to cater to the so far
neglected target groups.
STATUS OF MFI in
INDIA
•Estimated 350 million people live below the POVERTY LINE which translates into
75 million households.

• Total Annual poor credit demand is about Rs. 60000 crores and cumulative
disbursements under all micro finance firms is only about Rs. 5000 crores.

• Majority of the poor are excluded from the financial services.

•There are certain constraints that stop MFIs to scale up.

•However, it is estimated that MFIs will have a projected growth rate of 20% in the
next five years.
Progress So far….
MAR ‘93 MAR ‘96 MAR ‘05 MAR ‘06
SHGs 255 4757 16,18,456 22,38,565
LINKED
% Women 70 74 90 90
groups
FAMILIES 5100 80000 24.3m 32.9m
assisted
Banks 14 95 573 545
participating
Aggregate 0.06 1.24 1604 2533
Bank loans
handled (in
million)

www.nabard.com
EXISTING MICROFINANCE
Nationa
BUSINESS MODEL
l
Financi
al
Instituti
INDIVUDU
on
ALS
Banks
DIRECT
LY
ENGAG
Govt ED
Funded IN
Progs MFIs

SHGs
Funder MEMBERS
s/
Donors
WHY AMUL +
MICROFINANCE


AMUL BUSINESS
DETAILS…
2.12 Million
farmers
Collects the
milk and
packages and
brands the
product
3500
distributors

47 depots for
buffer
inventory.
Delivers goods
worth Rs. 6
crore daily.

www.amul.com
ASSUMPTION
S

• ZONE 1-GujaratZone 2-Maharashtra & ZONE 3-Orissa


Our MFIs will be set
up at..

Total 30 in Gujarat Villages

Total Population :
23 MFIs in Maharashtra

Total Population
22 MFIs in Orissa

Total Population Orissa


AMUL MFI BUSINESS
MODEL

SHGs
Organization
Structure
BOD

CEO

SME
Finan Marketi
CFO COO IT Legal BD HR tea
ce ng
m
Conclusion…


THANK YOU….

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