Budget proposals support long-term growth of microfinance: Village Financial
KOLKATA, JULY 11:
Though the Budget has not made any direct impact on the microfinance industry, the overall proposals support the long-term growth of the industry, Kuldip Maity, MD & CEO, Village Financial Services Pvt Ltd, said.
Village Financial Services is a microfinance company registered as an NBFC. It started microfinance operations in the 2005-2006 and is headquartered in Kolkata (West Bengal).
The proposals focus on asset creation in the agricultural sector by providing long-term credit refinancing through cooperative credit structure and regional rural banks; enhancing Nabard’s Rural Infrastructure Development Funds (RIDF), linking MGNREGA employment with the agriculture sector and so on.
“The emerging producers’ cooperatives, expected to generate livelihood options, by blending various forms credit and other business development services. This is definitely good news for the microfinance Industry,” Maity said.
(This article was published on July 11, 2014)
FM has done a significant job’
10 Jul 2014
In a year of very strong challenges of near double digit Inflation, Economic policy paralysis and FISCAL DEFICIT, Union Finance Minister has done a significant job by touching almost every aspect of life in his maiden budget speech.
The Budget puts forward the financial inclusion initiatives by charting out enough room for inclusion of unbanked into formal financial sector with giving focus on small savings and credits, conceptualizing local area bank to address banking needs of poor in the region.
Though he budget has not made any direct impact on the micro finance industry, the overall budget proposal supports the long term growth for the industry. There is focus on asset creation in the agricultural sector by the providing of long term credit refinancing through cooperative credit structure and Regional rural Banks, enhancing NABARD’s Rural Infrastructure Development Funds (RIDF), enhancing PMGSY allocations, linking MNREGA employment with agricultural sector activities. There is provision for the small and marginal farmers for building 2000 producers organizations. The emerging producers’ cooperatives, expected to generate livelihood options, by blending various forms credit and other business development services. This is definitely a good news for the Micro Finance Industry. In my view the budget is pro-reforms, pro-business, pro-development and growth focused with a clear long-term strategy for getting back the growth momentum.
Kuldip Maity, MD & CEO, Village Financial Services Pvt. Ltd