SHRI M.H.

KADAKIA INSTITUTE OF MANAGEMENT AND COMPUTER STUDIES Comprehensive Project-2830004 PRESENTATION ON : Critical Analysis Of Microfinance Facility In BHARUCH Region GUIDED BY: NAZNEEN SHAIKH PRESENTED BY RAKHDA RIZWAN

ENROLLMENT NUMBER: 10771059202

I NTRODUCTION ABOUT
MICROFINANCE

What is Microfinance? Where This Concept Come From?

Which Factor Bring Microfinance Policy in India? Type of Microfinance Facilities.

O VERVIEW

SHG as Borrowing Unit The Role of NGO In Microfinance Banking Sector & Microfinance Players of Microfinance Providers

L ITERATURE R EVIEW
1. Effects of Financial Access on Savings by Low-Income People: Fernando Aportelo, Bank of Mexico December 1999 2. Expanding Microenterprise Credit Access: Using Randomized Supply Decisions to Estimate the Impacts in Manila: Dean Karlan, Jonathan Zinman July 2009 3. Savings Constraints and Microenterprise Development: Evidence from a Field Experiment in Kenya: Pascaline Dupas and Jonathan Robinson (March 2009) 4. Financing Microfinance Institutions: Impacts on organizational Strategy and Performance: Knar Khachatryan (July 2010)

O BJECTIVE

Primary Objective
To do critical analysis of Micro Finance facility in BHARUCH
Region

Secondary Objective

To examine the sources of loans in the BHARUCH Region, particularly the underprivileged. To find out the awareness of microfinance facilities & its product. To examine the purpose of loans. To find out the modes for repayments of Loans.

R ESEARCH M ETHODOLOGY
Benefits of the study
This project is helpful for find out the sources for fulfill the short term fund requirements.
It is also helpful to know about awareness of microfinance facilities and its products. This project helpful to know about the purpose of loan and modes for repayments of loans.

Research Design
Descriptive

R ESEARCH M ETHODOLOGY
Data Collection Tools
Questionnaire

Sample Design Sample Size (200)

Limitation of the study

I NTERPRETATION

Awareness about micro finance facility in BHARUCH region 100 80

Axis Title

60
40 20 0 Series1 Ignore 57 Not clear 48 clear 95

I NTERPRETATION

To know awareness about microfinance product

150

100
50 0
Series1

loan 119

insurance 20

Saving 4

I NTERPRETATION

To know how many percentage people take Microfinance loan

140 120 100 80 60 40 20 0

Series1

Yes 115

No 28

I NTERPRETATION

30

To examine the purpose of loans.

25
20 15 10 5 0

Agricultural education Series1 25 20

marriage 14

Housing 11

Medical 22

Business 23

I NTERPRETATION

Source of Microfinance loan in BHARUCH region

80 60

40
20 0
Series1 ujjivan 70 Asmita 22 Bandhan 13 Swadhar 10

I NTERPRETATION

Variables

Variables that influence microfinance loan

Most Important Important Neutral Not Important Least important

E-banking

Suitable mode of payment

Easy procedures New credit on regular payment Interest rate Multiple schemes Customer care Recovery facilities Easy accessibility No. of branches Regular updated information Multiple products

0 0 10 14 81 12 18 4 6 6 2 2

10 43 77 56 30 43 59 42 78 53 64 21

49 64 28 41 4 58 36 65 29 54 45 88

46 8 0 4 0 2 2 4 2 2 4 4

10 0 0 0 0 0 0 0 0 0 0 0

F INDING

Majority are come under the option of undergraduate 50%, and then after Graduate36% in Bharuch region Majority of the people are doing a Business and then followed by services Generally the people who are having the annual income less than 100000 (48%) and 100001 to 200000 (39%) prefer more for microfinance facility. Out of 200 respondents, 48% of the total respondents are ignoring about the microfinance facilities and remaining 24% have not clear idea about the microfinance facilities. Out of 200 respondents, Friends (80) and Relative and bank agent (29) and (20) are the major sources through respondents were come to know about microfinance facilities.

F INDING

Out of 200 respondents are more aware about loan and very few respondents know about other product like insurance and saving. Out of 200 respondents, 81.8% and 15.4% respondents currently available of loans and insurance plan as microfinance products respectively. Out of 200 respondents, agriculture, business and medical are average the main purposes of respondents for taking loan and housing and marriage follow by. Out of 200 respondents, majority of the respondents are taking loans from Ujjivan (70) ashmita 22, bandhan 13 and swadhar 10.

F INDING

Majority respondents (53.9%) are availing the microfinance facilities from one to three year and remaining is 46.1% are availing the microfinance facilities from zero to one year.

Majority respondents (82) are preferred monthly for repayment of the loan and 33 are preferred for repayment quarterly.
In this study that majority respondents in BHARUCH region favors for microfinance facilities are useful. In this research Most of respondents are agree to share about institute with others because of most of respondents are satisfied with institute.

S UGGESTION
We recommended that in BHARUCH region the most of the lower level people are not aware about the Microfinance facility so MFI has to take care about that public awareness of the microfinance facility to lower group. People are taking the regular loan rather than Micro finance loan so MFI has to change their norms so that people are takes the facility of the micro credit loan Advertising are necessary to inform the public Government and Microfinance institutes must make ethical guidelines for the Recovery purposes of the loans as it is one the important variable which should be taken in consideration. As the targeted segment is not so much educated, terms and condition should be in regional language so they can understand the agreements, obligations and rights. helpful to them for expanding current activities.

C ONCLUSION
Purpose of loan is dependent on the income of the people. The lower level people are not aware about the micro finance loan and SHGs. Microfinance activities can give them a means to climb out of poverty. Microfinance aims at developing habits of financial vision in rural and urban area. Improving financial position and living standards
.

B IBLIOGRAPHY
REFERENCES: Microfinance magazine publish by NABARD WEBSITE:
[1] http://globalenvision.org/library/4/1051/- history of microfinance-access on 17-09-2011 [2] http://www.microfinancefocus.com- access on 20-09-2011 [3]http://indiamicrofinance.com/top-50-microfinance-institutions-india.htmlaccess on 20-09-2011 [4] http:// www.ujjivan.com- access on 5-10-2-11 [5]http://www.swadhaar.com- access on 7-10-2011 [6] http://www.asmithamicrofin.com- access on 7-10-2011 [7] http://www.bandhanmf.com- access on 16-10-2011 [8]http://www.microfinance.com- access on 20-10-2011