Table of Content

• Micro Finance An Introduction

• A profile of Rural India
• Services offered by MFI
• Role & Benefits
• Micro Financial Institutions
• Micro Financial Institution working in India
 Introduction to Micro finance
Financial services given to poor & low Income
people (including women) of Rural Areas to raise
their standard of living & can make them
economically sound.

• In 1934 RBI establish Agricultural Credit

Department.
• Regional Rural Banks created in 1975.
• NABARD established as an apex agency for
rural finance in 1982.
A Profile of Rural India

• 350 million Below Poverty Line

• 95 % have no access to microfinance.
• 56 % people still borrow from informal sources.
• 70 % don't have any deposit account.
• 87 % no access to credit from formal sources.
• Annual credit demand is about Rs.70,000 crores.
• 95 % of the households are without any kind of
insurance.
• Informally Microfinance has been in practice for
ages.
 Services offered in Micro Finance

• Loan
• Deposits
• Insurance
• Pensions
Role & Benefits
• Targeting the poor
• Poverty Reduction through Social Protection
• Women’s empowerment
• Widening of social capital
• Business development Services
• Other development services
• Insurance services
• Pension services
 Micro Financial Institutions
Any institution that provide financial services to
the poor, it includes:-
• Co-operatives
• Financial NGO
• Credit Unions
• Commercial Bank
• Post Offices
• Insurance Companies etc
 MFI’s working in India
• NABARD
• SIDBI
• Cashpor
• Grameen koota
• Various amalgamation of
SBI, BOB, BOI, PNB, UCO, Axis,
Syndicate etc
• LIC, GIC, ICICI Lombard & many more
Questions if
any
Thank you