Micro-finance project floors London Mayor

microfinance london

NEW EXPERIENCE: Lord Mayor of London City Ian Luder and wife Lin interacting with micro-finance group members in Mominpet village in Ranga Reddy district on Monday.

Special Correspondent

Ian Luder listens to success stories; describes the development as ‘unique and fascinating’

Mayor walks the dusty village paths to see projects

Says microfinance can be an important facility in the UK

MOMINPET (Ranga Reddy dt.): Impressed by the improvement brought about by micro-finance project in the lives of residents of this village, about 100 km from Hyderabad, Lord Mayor of London City Ian Luder described it as ‘unique and fascinating’ which ‘helped people to help themselves’.

Mr. Luder interacted with a group of women borrowers and walked the dusty village paths to see some projects which benefited them.

“I am very impressed,” he said.

His wife Lin accompanied him.

Asked if such projects would be implemented in the UK, he said there would be some situations when it could be an important facility in the United Kingdom. It would be a real benefit, particularly in some poor areas.

At the Share Microfin centre, where women borrowers normally meet

to repay and take loans, the Lord Mayor heard their success stories, which were translated by CMD Udaia Kumar.

As the first woman described how she initially borrowed Rs.3,000 and purchased two goats, he sought to know how many goats she owned.

‘Very good!’, he quipped when told that she sold them and bought three acres in seven years.

He enquired with women if they were educating their children and whether they were learning English.

Explaining SM financing, Mr. Kumar said it was aimed at poverty reduction.

The institution identified below the poverty line families for lending.

Win-win situation

It was a win-win situation for both the lender and the borrower as the repayment rates were 100 per cent, while the returns on small businesses set up by them were 100-200 per cent.

Wife purchases bangles

Later Mr. Luder and his wife visited the bakery, a carpenter’s unit, steel, footwear and bangles shops.

Ms. Luder bought bangles and a pair of children’s footwear.

The women’s general refrain was that their lives improved after taking micro-finance loans.

They wanted more money to expand their petty businesses.

Source: www.thehindu.com

Category: Payday loans

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