| Financial Inclusion for Livelihood Security, Sujeevan |
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| About Sujeevan |
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IDF has embarked on an innovative project on financial inclusion for livelihood security of small and marginal farmers, landless labourers, tenants, lessees, artisans, etc. Financial inclusion of the excluded farm families through BC-BF model and promotion of sustainable livelihoods through participatory approaches are the twin features of the project.
Financial inclusion is delivery of banking services at an affordable cost to the disadvantaged sections and low-income groups. It aims to extend hassle free savings, loan facilities, other banking services, insurance and pension at an affordable cost to this underprivileged and un-served population.
To bring in Financial Inclusion, as per the policy initiatives of RBI, Banks can engage NGOs to provide services as Business Facilitator (BF) or Business Correspondent (BC). IDF took steps to partner as BC/BF of SBI subsequent to the workshop titled 'VYAPTI' held during 2008, cosponsored by Hivos, SBI along with other financial institutions. The outcome of this workshop was Sujeevan, partly funded by Hivos and banking services from SBI.
The field studies of IDF indicated the need for providing a basket of services to the financially excluded for developing their capacities in
- Sustainable livelihoods (farm and nonfarm based)
- Financial literacy and prudent financial practices
IDF provides these services through 'Sujeevan' being implemented in Kunigal taluk of Tumkur district. This taluk has been considered the most backward taluk by the Government of Karnataka.
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| Facts and Plans of Sujeevan |
- Project Area: Started in 12 villages of Kunigal Taluk, Tumkur district, Karnataka State in 2009, currently 60 village clusters and planned to reach 184 villages by 2011
- Fin. Excluded population: 41% households
- Covers farming households mostly financially excluded
- Coverage: 3000 financially excluded households in 2009-10. Expected to reach 12000 families in 2010-11.
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| Sustainable agriculture for risk mitigation |
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Small, marginal and lessee farmers are highly vulnerable to production and market risks. Sustainable agriculture is promoted among them for increased financial returns and risk mitigation. Agriculture Man Ecology Foundation (AMEF) - an NGO has provided services to train and mentor our project functionaries. The technology is delivered through participatory technology development approaches such as Farmer Field School (FFS).
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| Organizing the farmers groups and extension of adoptions |
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 Farm SHGs and FFS groups : Focusing on the financially excluded sections, the village community is organized on SHG mode with regular savings, labor sharing and meetings. Those who take up agriculture are organized into Farm SHGs, each constituting about 10 to 15 members. Each such Farm SHG is a Joint Liability Group (JLG) for the purpose of transacting with banks. Representatives from Farm SHGs constitute FFS group in each village. Representatives from Farm SHGs and women SHGs constitute the village level forums called Krushikara Koota. Farmers' Federation constituting the representatives from all the villages has been established to give institutional structure to the social mobilization.
Experiential learning through FFS : Koota is a learning group called Farmer Field School (FFS). They regularly meet in collaborator farmer's field at weekly interval to learn sustainable technologies by experiential learning. The FFS members in turn will disseminate their leanings to other group members in the village. The forum of FFS and the Farm SHG meetings are utilized for education and action on sustainable agriculture, income generation, financial literacy, developing thrift culture, health and gender issues, insurance, collective marketing, etc.
Farmers' monthly meeting : A voluntary initiative of the farmers constituting the FFS (now known as Krushikara Koota), this monthly meeting is about socialization, networking and experience sharing and action planning in the village. The SHGs of the farmers and women of the village host the meeting, including all logistics and boarding expenses. They invite the members of other village SHGs to the meet. Innovative farmers, specialists on themes of immediate use to farmers are also invited to have interactions. This meeting holds lot of potential for co-opting the larger village community for collective actions and is serving to evolve and institutionalize producers' collectives.
Role of IDF in Sujeevan IDF : has put in a trained project team from the rural community to work in the villages as Farmer Facilitators. This team has been organizing and managing Farm SHGs, motivating the farmers to learn and adopt sustainable practices, training on value addition, financial counseling, developing farm/business development plan of each member and linkage to SBI for banking services (savings, credit) through suitable processes including services as Business Facilitator and Correspondent; promotion and mentoring producers collectives to aggregate, value add their produce and gain competitive negotiating strengths in the local economy, act as bulwark in local political economy and natural resource conservator. IDF envisions development of replicable standard processes for decentralized and sustainable rural development owned and managed by the deprived community. Micro extension of farming technology and financial inclusion are not an end but key strategies to mobilize the community. |
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