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Micro Credit
The very foundation of our work is to provide villagers timely loans that enable them to seize opportunities and come out of the cycle of debt and poverty. Women Self Help Groups availed of loans from their own group savings however, over and above that the community required access to larger loans that could truly transform their lives.
Revolving Fund
BNGVN has successfully generated revolving funds to the tune of Rs 20 Lakhs for the community. We provide loans to needy villagers and village entrepreneurs of amounts ranging from 5000 to 50,000. This helped our villagers to build better homes, repay debts, and invest on better cultivation techniques. The interest rate on the loans are very low and repayment is made through monthly installments. We have been able to recover 100% of the loans so far, which has enabled us to continue to revolve the loans to more needy villagers.
The Revolving Fund starting from the year 2010 is a village fund (Gram Nidhi) that people from the village can avail of through the Model Village Programme. This fund would be made available in terms of loans for each village. The loans are made available in slabs ranging from Rs. 10,000/- to Rs. 1,00,000/-.
In the year 2010, a total of Rs. 780000/- have been disbursed to 78 beneficiaries from 3 villages, Bahadarpur, Shirsode and Mahalpur. We have made 100% recovery andas per schedule. By this we have been able to establish that though BNGVN would be giving loans, the Village would control their economy and can take one step ahead to be a “Model village”.
The Revolving Fund starting from the year 2010 is a village fund (Gram Nidhi) that people from the village can avail of through the Model Village Programme. This fund would be made available in terms of loans for each village. The loans are made available in slabs ranging from Rs. 10,000/- to Rs. 1,00,000/-.
In the year 2010, a total of Rs. 780000/- have been disbursed to 78 beneficiaries from 3 villages, Bahadarpur, Shirsode and Mahalpur. We have made 100% recovery andas per schedule. By this we have been able to establish that though BNGVN would be giving loans, the Village would control their economy and can take one step ahead to be a “Model village”.
Caring Capital
In the wake of the agricultural slump during early 21st century, that triggered a series of farmer suicides, we noticed the financial pressures farmers were always under. They needed money to procure seeds, irrigation, labor, so on during specific period of the year. As banks and other finance organizations failed to assist, most of them fell into heavy debts from moneylenders.
It was obvious that larger amounts were required for farmers to take full advantage of a good monsoon. The villagers themselves began to reflect on how they might be able to become self sustainable and this gave birth to the "Caring Capital" now known as the "Kisan Capital" initiative, started with the support of Caring Friends.
Through this farmers began to take loans of Rs 1,00,000 and above at an interest rate of 14% per annum. As they could not pay back quarterly / half yearly, each installment was set to 1 year.
After 3 years we have found that farmers have been able to come fully out of the debt cycle over their first loan, invest into their farms over the second loan and now most of them do not need to avail more loans. Loans were used to develop drip irrigation, procure seeds and organic fertilizers which they are now fully capable of managing with their income. We have had a 100% recovery rate which simply reiterates the fact that timely access to monetary support can truly make the farmer self sustainable.
Since 2009, BNGVN in collaboration with Agriculture Finance Cooperation Ltd. (AFCL) and with the support of Letz Dream, is able to continue to support over 100 farmers. Overall, Rs 7,66,0000/- has been disbursed with 100% of the first installment successfully recovered in the year 2010-11. We have successfully replicated this model where about 27 tribal farmers were supported in getting their lands back from the local money lenders. Today they are cultivating in their own land.
Sudhakar Rane, Caring Capital beneficiary says " Timely financial assistance from BNGVN has ensured farmers like do not fall into debt traps with the money lenders. We are grateful to them for all the support"
It was obvious that larger amounts were required for farmers to take full advantage of a good monsoon. The villagers themselves began to reflect on how they might be able to become self sustainable and this gave birth to the "Caring Capital" now known as the "Kisan Capital" initiative, started with the support of Caring Friends.
Through this farmers began to take loans of Rs 1,00,000 and above at an interest rate of 14% per annum. As they could not pay back quarterly / half yearly, each installment was set to 1 year.
After 3 years we have found that farmers have been able to come fully out of the debt cycle over their first loan, invest into their farms over the second loan and now most of them do not need to avail more loans. Loans were used to develop drip irrigation, procure seeds and organic fertilizers which they are now fully capable of managing with their income. We have had a 100% recovery rate which simply reiterates the fact that timely access to monetary support can truly make the farmer self sustainable.
Since 2009, BNGVN in collaboration with Agriculture Finance Cooperation Ltd. (AFCL) and with the support of Letz Dream, is able to continue to support over 100 farmers. Overall, Rs 7,66,0000/- has been disbursed with 100% of the first installment successfully recovered in the year 2010-11. We have successfully replicated this model where about 27 tribal farmers were supported in getting their lands back from the local money lenders. Today they are cultivating in their own land.
Sudhakar Rane, Caring Capital beneficiary says " Timely financial assistance from BNGVN has ensured farmers like do not fall into debt traps with the money lenders. We are grateful to them for all the support"
