Inspired by the pioneering work done by Noble Laureate Muhammad Yunus & Elaben Bhatt, several Banks of Gujarat have taken lead in micro finance segment empowering women through formation of Self-Help Groups CSHG / Joint Liability Groups.

The Co-operative Sector of Gujarat has developed several micro finance models with variation working successfully reaching out to the lowest sections of society. The micro finance activity in Gujarat is distinct from various other States as it is being operated by the Co-operative Sector vis-à-vis the Private Sector Model. These models operate on the co-operative principles of concern for Community & provide lending support on fair & reasonable terms to such groups.

The Federation has been actively promoting, facilitating & encouraging all these Micro Finance initiatives so as give boost to the RBI objective of Financial Inclusion.

“our work is little in office and more in the field, in borrowers’ residences, market places and work places.This gives knowledge to banker & trust to the borrower.Inspired by the pioneering work done by Noble Laureate Muhammad Yunus & Elaben Bhatt, several Banks of Gujarat have taken lead in micro finance segment empowering women through formation of Self-Help Groups CSHG / Joint Liability Groups.

The relationship between the bank and borrower is not confined to one transaction. It is continued relationship of mutual trust.Development through micro banking can be slow. But it is a sure way to development for the poor.

Organizing effective and successful banking with the poor requires barefoot bankers with sense of commitment. :

Elaben Bhatt

Founder SEWA

Padmashri & Padma Bhusan

Magsaysay Award Winner

Ex. Director Reserve Bank of India

~ Financial Inclusion ~

“UCBs in many Ways represent the common man’s bank. They extend affordable banking services in a customer friendly manner to local communities. Not being profit driven, they seek to maximize depositor and borrower satisfaction and provide low cost information. Thus, they play a very important role in financial inclusion”.

“I at the outset assure that Reserve Bank is deeply interested in the urban co-operative banking sector. It is interested because they are a very heterogeneous sector. It is like our Country. There is so much of diversity and yet we all function together. Most of them are small, meeting the needs of the local communities. They deal with the common people, speak the local language, they have flexible processes, they have accessibility, they have a friendliness and therefore they are best suited for the objectives of financial inclusion”.

-Mrs. Usha Thorat(Ex. Deputy Governor. R.B.I)

Ensuring access to credit & financial services by the underprivileged, unorganized sections of society, women & children is a top priority agenda for the government.

While several initiatives are being taken by various agencies to brand base financial inclusion of all such sections of society it has been realized that the Co-operative Banking & Credit Sector with its deep reach in semi-urban & rural areas is most ideally placed to cater to this objective.

The first step to achieving this objective is to spread financial literacy.

During this International Year celebration, the Federation, through its member banks proposes to reach out to 5000000+ school / college students imparting basic financial education.

On a similar scale project on women’s empowerment through financial literacy & concepts of micro finance are scheduled to cover the length & breadth of Gujarat.