National Micro Finance Conference 2010 “FINANCIAL INCLUSION AND RESPONSIBLE MICRO FINANCE” Translating Financial Inclusion into Sustainable Livelihood 18 March 2010 Mythili Ravi IL&FS Cluster Development Initiative Ltd. OR…. Translating Sustainable Livelihood into Financial Inclusion ??.
National Micro Finance Conference 2010
“FINANCIAL INCLUSION AND RESPONSIBLE MICRO FINANCE”
Translating Financial Inclusion into Sustainable Livelihood
18 March 2010
IL&FS Cluster Development Initiative Ltd.
Translating Sustainable Livelihood into Financial Inclusion ??
Key Questions for the Session
Answer to all – A resounding “YES”
Macro – Economic Framework
( Skill , Opportunity & Assets )
Political Framework & Government
Financial System Formal/Informal
Social System, Values , Beliefs etc
Two-way relationship which is mutually reinforcing, but more fundamental are…..
Services and Manufacturing sector to expand – increasing share of the economy
Agriculture to grow at negative rate
HOWEVER, POVERTY STILL PREVAILS – As per World Bank statistics, India’s poor are at 400 million
By 2026, majority of Indian population will be in younger age bracket, but at present only 2% of them are vocationally trained
Opportunities in the Environment
Source: General Engineering and Logistics: IL&FS Analysis, NSDC Report
Findings of NMCC
With Liberalization, Indian industry deployed more capital, but ….
during 1990-2004, there has been continuous reduction in capital productivity across all major sectors
This implied substitution of capital for labor without technological upgradation
Because of scarcity of skilled workforce to work on new installed capital
2008, A study on Labour Intensity & Employment potential of Indian Manufacturing, ICRIER
Market-relevant skill development converges industry need with poverty eradication goal
IL&FS Response & Experience
as a Practitioner
Into self-sustaining synergies
Training Holistic (Technical & Soft, Life skills)
Technical Partners & Certifying Agency
(SGSY, MES, NACO, state govt. resources,)
IMPLEMENT MANAGEMENT AND SUPPORT AGENCY
3-Year pilot project to train 30,000 BPL Youth completed 1 year ahead of schedule in August, 2009 with 93% placement rate.
Industry & Placement partners over 487.
85% women placed
Over 80% - SC/ST/ OBC
Trained more than 195 trainers
Enhanced use of underutilised or unutilised infrastructure with government, institutions, etc.
Established 101 training centers in 14 states.
Training module available for 8 trades in 9 languages.
Skill Development Programs -Key Highlights
Study conducted by MIDS
States covered-Tamil Nadu, Andhra Pradesh & Karnataka.
Total 1,087 respondents surveyed.
Livelihood Programs – Artisan Clusters
Tripura Rubber Park
Tripura Bamboo Mission – a case study in Livelihoods promotion
Government of Tripura initiative for Integrated Development of Bamboo Sector
Objective: Scale up the turnover from Rs 28 cr to Rs 76 cr in 4 years and Double livelihoods
Address entire value chain - “Farm to Market”
Provide infrastructure, skill training, design support, market linkages, O&M support
Resource mobilization of Rs 48 crores
Progress Achieved 2007-2009
Community Production Infrastructure
Utility items for Hotel & Restaurants
Lamps and Lampshade
Candle and Lighting Stands
Product Development: Home Utility
Product Development: Hand Bags
Product Development: Lighting
Product Development: Table Ware
Product Development: Furniture
Product Development: Yoga Kit, Mats & Cushions
K-Yan (projector and Computer) loaded with multimedia content
A glimpse from the Training of Trainer programme for SELF
Thanks once again !