Sustainable Livelihoods and Financial Inclusion
Pilot program started from 2008 in a southern block leveraged Financial Inclusion to enhance
livelihood security of the rural poor. The pilot project was multi stakeholder and is now on a
sustainable mode, up-scaled to many blocks across Karnataka state as a holistic approach with
financial inclusion, skilling of farming community in sustainable agriculture and building peoples
institutions-Farmer Producers Companies (FPC).
IDF has initiated up scaling of financial inclusion of small and marginal farmers through JLG
approach by introducing technology and Rupay cards with Public Sector Banks. In this
approach, farmers are opened individual KCC accounts with group guarantee and issued Rupay
card. Farmers operate the account individually with OD facility enabling better cash flow to the
account holders through business correspondence agents (BCA) points and micro ATMs.
GramServ Pvt. Ltd., a company floated by IDF undertakes Financial Inclusion Projects and
activities with various clients-PSBs, Regional Rural Banks, Private Banks and other organizations
that hitherto looked after by IDF. The FI activities undertaken are (i) BC/BF services; (ii) Business
Plan and execution; (iii) Linking client needs and Bank products; (iv) Processing for bank
products; (v) Appointing and managing BCAs; (vi) Follow-up – repayment (vii) Supporting and
collaborating with FPC for supervised Credit portfolio
The program has covered over 60,000 farm families across Karnataka state under KCC and SHG
credit through public sector banks with credit absorption of over Rs. 800 crore.