PAT

People’s Action for Transformation

Annual Report 2016-2017

No. 4, A-Block, St. Paul’s Complex, Bharathiar Salai, Trichy – 620001 Phone and Fax: 0431 2413434 E-mail: [email protected] Web: www.pattrichy.org

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Vision

PAT aspires to be a sustainable organization, empowering the urban and rural poor, economically and socially irrespective of caste and creed Mission

To enable the urban and rural poor attain sustainability, by creating livelihood opportunities through delivery of microfinance and related support services, by fair and transparent systems

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CONTENTS

1. PAT- General Information 4 2. Organizational Milestones 6 3. The Leadership 7 4. Introduction 8 5. Digital Economy and Financial inclusion. 6. SHG Financial Inclusion 9 7. Women Empowerment for social transformation 9 8. Microfinance and Women Empowermet 10 9. PAT IN 2016-2017 11 10. PAT Profile 11 11. Portfolio Distribution 12 12. Utilization of Loans 12 13. Efficiency Analysis 13 14. Funding Partners 13 15. Development Programs 15 16. Child Development Error! Bookmark not defined. 17. Education Empowerment 16 18. Employability Skill Training 17 19. Healthcare Program 18 20. Eco-friendly Program 18 21. Marching On... 18

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PAT- General Information

NAME OF THE ENTITY PEOPLE’S ACTION FOR TRANSFORMATION (PAT)

REGISTERED OFFICE No. 4, A-Block, 1st Floor, St. Paul’s Complex, Bharathiar Salai, Trichy Corporation, Trichy District, – 620001

CONTACT DETAILS Phone/Fax : 0431 – 2413434 Email : [email protected] Web : www.pattrichy.org

REGISTRATION STATUS Legal Status : Registered under the Indian Trust Act Reg. No. & date : 107/97, 02/05/1997 Tax Exemption : Registered under 12A FCRA No & date : 076040280; 28.09.2001 Details of PAN : AAATP4968N

FUNDERS OF PAT Ananya Finance for Inclusive Growth Pvt. Ltd, . 1 101, Sakar I Building, Opp. Gandhigram Station, Ashram Road, Ahmedabad

Maanaveeya Development and Finance Pvt. Ltd. 2 AAhmadabad – 380009. Plot No. 197, Prasasan Nagar, Jubilee Hills, Road No.72, Hyderabad – 500 Indian033 Overseas Bank 3 Cantonment Branch, Trichy – 620 001 State Bank of India. 4 Kumbakonam Bazaar Branch, Tanjore District - 612001 NABKISAN Finance Limited. 5 Ground Floor, NABARD TNRO, Building. No.48, Mahatma Gandhi Road, Nungambakkam, – 600 034. Micrograam Social Development Foundation. 6 427, 5th Cross, J P Nagar III Phase, - 560078 ICICI Bank 7 (BC Model) IDBI Bank Limited. 8 (BC Model) Karur Vysya Bank, 9 Cantonment Branch, Trichy

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From the President, leading them to be resourceful micro entrepreneurs. In 2000 the Tamil Nadu Warm greetings from the People’s Action for Corporation for Development of Women Transformation. came alongside PAT to provide bank linkages Living and working in a momentous time in to SHGs formed by PAT, a great step forward the economic history of India, I consider it a in facilitating the door-step availability of great privilege to present this report to the credit to the marginalized besides breaking board, partners and well-wishers. We are the monopoly of informal financiers. proud to be part of a great movement that is th We undertook our 4 rating this year to underway in India. NABARD’s Status of evaluate our standing as a business house and Microfinance in India 2016 – 17 has noted M-Cril awarded us with β+ rating. Though this that India’s ‘SHG - Bank Linkage Programme is is appropriate for our stage of growth, it also the largest microfinance programme in the challenges to be vigilant in upgrading our MIS world because of its sheer size and population systems and processes. The MFINESSE for it touches’. It is ‘the most widely participated managing MIS is now integrated in the developmental programme in the country and organization. perhaps in the world for the large number of channel partners, their grass root workers, Commencing direct remittance of loans to the Govt agencies and banking outlets involved.’ individual beneficiary account through NEFT transfer became a reality this year. Besides The fiscal that we have just crossed has been reducing the footfalls in the branch, this has quite eventful for the microfinance sector in made funds transfer quicker, safer and India. Despite the demonetisation of Specified transparent. Similarly, we have streamlined Bank Notes adversely affecting the the technological essentials of the BC model institutional credit flow to SHGs across India that we have successfully been running for and slackening the microfinance business, PAT the past three years in a row. We have was able to do well by achieving its highest expanded our partnership base and have portfolio of ₹ 57.4 Crores - thanks to the added United India Insurance Ltd and LIC to unqualified support of the SHG members and further extend the insurance service to our diligence of the staff team. members. PAT has steadily progressed in the areas of PAT has also continued the environmental women and child development, and financial protection sensitisation, child development inclusion since 2 May 1997, the day of its efforts where we provide them with registration as a Trust. Various programs complementary education and the skill directed towards women empowerment, development projects for young people. I child development and youth career present this report with a deep sense of advancement enabled PAT to make positive gratitude to the almighty. contributions to the society. The next year the trust commenced organizing women around Thank you, SHGs for enhancing their leadership and administrative capacities through discussions, President decision-making and management of their own groups. PAT also facilitated training and development of their occupational skills

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Organizational Milestones: 2014 - Partner with Mahindra Old Mutual Life Insurance Limited for insurance 1998 - Towards women empowerment, starts coverage. forming Self Help Groups (SHGs) 2014 - Started its Clean Energy Initiatives 2000 - Starts SHGs Bank-Linkage Programme 2015 - Partners with United India Insurance in association with Tamilnadu Company Ltd for livestock coverage Corporation for Development of Women Limited. 2015 - Starts the information technology process for BC automation. 2003 - Commences direct lending through its Micro Finance Programme with the help 2016 - Adds LIC of India as another partner for of fund received from Ananya Finance insurance coverage. for Inclusive Growth Pvt. Ltd., 2016 - All the branches are equipped with Ahmedabad security alarm (online), as a measure of 2006 - Adds one more funding partner, M/s. increasing safety. Maanaveeya Development and Finance 2016 - 4th Rating was carried out by M-Cril Pvt. Ltd, Hyderabad with “Beta Plus” grading. 2008 - Agreement with Birla Sunlife Insurance 2016 - Achieved the highest portfolio of Co. Limited for insurance cover for SHG Rs:57.4 Crores despite de- members monetization impact. 2009 - 1st Rating done by M-Cril with “Beta” 2017 - Cashless transaction in disbursement grading of loan to members to their individual 2009 - Commercial banks like Indian Overseas account is achieved. Bank and State Bank of India start 2017 - Software has been upgraded for funding handling BC operations. The 2010 - Karur Vysya Bank extended their term entire portfolio is handled in a loan standardized single software enabling us to have the consolidated reports for 2010 - Installed a software called “mFinesse” smooth proceedings. supplied by Penta Software House to handle the Loan Processing and Loan Tracking 2010 - 2nd Rating was carried out by M-Cril with “Beta Plus” grading 2010 - Second Loan from Indian Overseas Bank 2012 - Indian Overseas Bank and State Bank of India gives further loans. 2012 - As a sub-aggregator of ESAF Micro Finance and Investments Pvt. Ltd, Kerala started distributing NPS- Swavalamban, the Government of India, Old age social security Scheme. 2012 - Partnering with Bajaj Allianz Life Insurance Company Limited for availing insurance by its clients 2013 - Becomes Business Correspondent for IDBI Bank Ltd. 2013 - 3rd Rating was carried out by Crisil who awarded “mfR5” grade 2014 - Micrograam Social Development Foundation, Bangalore based Agency started lending to SHGs for the purpose of consumer durables 2014 - NABKISAN Finance Limited sanctioning a term loan to Activity Based Groups

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The Leadership Mr. R. Stephen Francis Xavier: He is the president of the Trust as well as the Chief Functionary for the Microfinance operations. He has several years of experience working with NGOs and has training in MFI governance, Financial Management, Internal Audit and Controls, Microfinance Literacy, Micro enterprises development, Accounting and Auditing standards. Mr. H Regis: The secretary of PAT Trust, is a businessman keenly interested in the community development activities of the organization. He was instrumental in building relationships and raising support for the CDP programs. Dr. V.Iyappan Shankar: He is an executive board member of PAT and has been overseeing the Child Development Project of PAT. He has been especially instrumental in mobilizing funds from the commercial banks. Ms. A.X. Anne Jose Patricia: She manages the finances of the Microfinance operations. She is a resource person for PAT and has been trained through various

Microfinance related workshops. Mr. R. John Rajasekaran: A tax consultant by profession, Mr John provides advice in matters related to internal audit and controls.

Mr. S. Joel Mecir Roy, B Tech. Chief Operating Officer: The erstwhile Head of the Asset Optimisation team of Vedanta Ltd., he has qualified himself as an auditor for Asset Optimization. He has brought in his skills and experience to play in the operations of the organization.

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INTRODUCTION with well-oiled distribution channels as “She considers a field and buys it; out of her compared to the formal banking system ...’, earnings, she plants a vineyard. It is evident that the microfinance sector in She sets about her work vigorously; her arms India has shown unprecedented growth over are strong for her tasks. the past two decades. Despite its teething She sees that her trading is profitable, and troubles, regulatory hitches and incessant her lamp does not go out at night.” economic turbulences, the microfinance Hebrew proverb, c. 1000 B.C. scene continues to have a promising future in The vision of an enterprising and emancipated India. Though the lending operations of many woman has delighted people’s mind from MF institutions were adversely hit due to the time immemorial. In the recent times, demonetization of SBN( Specified Bank Notes) Muhammad Yunus, the Bangladeshi social declared on 8 November 2016 PAT was able entrepreneur, civil society leader and Nobel to serve its clients without let or hindrance in laureate, pioneered the microfinance this financial year. The twenty years of PAT’s intervention among the underprivileged involvement in nation building, through women in his country. He demonstrated that community transformation activities, has the hidden talents, capacities and been quite rewarding. entrepreneuring spirit of rural women could It is with confidence that PAT continued its be unleashed by placing in their hands the child development, women empowerment power of finance. Subsequently, Individuals, and skills development for youth. SHG- NGOs, Corporate and Governments, having Microfinancing based financial inclusion seen the immense possibilities of this new programme continued to be the centre of PAT social revolution, have taken this concept of programs this year as well. microcredit and microfinance forward in such a great way that now globally there has been a ‘no turning back’ from the practical women DIGITAL ECONOMY AND empowerment that he set in motion. FINANCIAL INCLUSION NABARD’s current Microfinance Status report Within a span of the past 20 years, notes that microfinance “...act as an telecommunication services underwent two important conduit for extending financial revolutions in quick succession – landlines services to ... individuals or members of gave way to mobile feature phones in the SHGs/JLGs”. The report further notes that, “... early 2000s and smart phones almost the quantum of credit made available to the replacing the feature phones. The universal poor and financially excluded clients has gone access to telecommunications and rapid past ₹. 60, 000 crore and number of clients advances in digital payment systems has benefitted is close to 40 million as of March created opportunities to connect poor 2017”. Concerning the partners engaged in households to affordable and reliable financial promoting SHGs there are more than 100 tools through mobile phones and other digital Scheduled Banks, 349 District Cooperative interfaces. Central Banks, 27 State Rural Livelihood The government of India is attempting to Missions and over 5000 NGOs. The report effect financial inclusion through the three- notes that ‘MFIs are more aggressive and pronged strategy using digital technologies innovative in reaching out to the rural poor called JAM (Jan Dhan (banking), Aadhar

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(biometric identity) and Mobile (transactions). awareness on health, hygiene and The, biometric based ‘Aadhar’ now facilitates environmental concerns. SHG groups are, KYC compliance as well as authenticate further, the appropriate platform for financial financial transactions. Technology now effects empowerment of the women by organizing quick payment infrastructure – like online them around credit and related activities. payments and mobile wallets. In addition to saving the cost and time of services and Across Tamil Nadu PAT has 2676 active SHG groups, which women organised themselves facilitating savings by bypassing liquid cash, digital services help to track fund flows, around these activities leading to sustainable reduce theft and corruption and through livelihoods through microcredit. This report has included some stories of people who have direct remittance places the cash exclusively been benefited from the financial inclusion in the hands of those who deserve it. Computer based automatic reminders activities of PAT. received digitally helps people to take appropriate action concerning their credits. WOMEN EMPOWERMENT FOR PAT has been quick to respond to these SOCIAL TRANSFORMATION developments by embracing digitalisation for Studies have shown that 70% of world’s financial inclusion. Besides implementing cost poorest people are women and just because effective MIS systems that has simplified and of gender inequality, they are underprivileged quickened loan transaction process, PAT as compared to men. Especially in the transfers the loans of all PAT beneficiaries to developing countries such as India, they are their accounts through NEFT. We are excluded from formal financial system as seen constantly seeking to upgrade the technology from the fact that only 37 percent have bank to facilitate the best and quickest possible of accounts as compared to 46 percent men. services to the clients. Women in India still do not have a say in household matters.

SHG FINANCIAL INCLUSION Woman has been suppressed under custom and law for which man was responsible and in the shaping of SHGs, being self-governed and peer- which she had no hand. ...women have as much right to shape her own destiny as man has to shape controlled informal fellowships of socio- his. ... It is up to men to see that they enable them economically homogenous families have a to realize their full status and play their part as equals of men. significant role in poverty alleviation. - Mahatma Gandhi Interacting with other women in the group Women empowerment involves creating a and resource persons members acquire social environment where women can take knowledge, awareness and motivation. SHGs decisions and make strategic choices in areas promote capacity building, build leadership that directly affect their lives either abilities, develop life skills, inspire individually or collectively. It is a social culture entrepreneurship and enhance governance where women gain better access to capabilities besides increasing co-operation intellectual (knowledge, information, ideas) among the members – all which are and financial resources, control over constituents of sustainable development. materials, personnel and processes – leading Other aspects of SHG activities are creating to social transformation. awareness of rights and privileges of women, value of the girl child and her education, Women empowerment programs of PAT that started in1998 has been progressive and

9 | P a g e steady. The development ‘She provides food for her female servants’. - Proverbs programs initiated by PAT proved Pushparani – a study in Sustainability to be immense success and the financial inclusion was a natural The busy fingers of 50 year old Pushparani deftly mesh the outcome. PAT continues its wetted leaflets of dried halves of coconut fronds, weaving community development and the mats that would soon become the roof of house or the women empowerment activities fence of a garden – a traditional practice is some parts of complementing it with capacity South India. Spaced conveniently in the long rectangular hut, building and credit plus services. roofed by the same material that they weave, sit with her PAT committed to self-reliance of equally dextrous colleagues, plaiting frond after frond and the women, extends skill and stacking the mats in neat arrays. To all appearances, an micro enterprises training to owner of the outfit might have employed Pushparani and her them. PAT has established colleagues to make the mats from coconut fronds, but this tailoring centre for women at time around, she is the employer and her colleagues are the Thirupanandal, Aduthurai in employees. Thanjavur District and Melapudur, Trichy covering both Weaving coconut fronds was the only skill that this mother of rural and urban areas where Vinoth,28, and Shalini, 16, knew and did ever since she was 100 women received training in 20 years of age, living in their own house with Samithurai, her the trade and started their own husband, who had looked after the business as well as the business activity. farming in the 2-acre land that they owned. Nevertheless, the sudden demise of her husband left Pushparani lonely and in a PAT has over 32000 women who great financial strait. have availed its credit facilities, most of which go for starting new Fortunately, PAT had started forming SHG groups through its enterprises of which job creation Aduthurai branch and was providing microcredit to is another outcome. This spiral of underprivileged women. She became one of the 18 members development ultimately leads to of the ‘JESUS’ SHG two years ago. PAT provided with loans rural poverty mitigation. sufficient to develop her traditional coconut frond mat business. Her current loan amount is ₹25000. As the business improved, she hired her own SHG members and provided MICROFINANCE AND them with weaving job on daily wages. WOMEN The case of Pushparani is a sparkling illustration of a EMPOWERMENT. sustainable credit. A micro loan in the hands of an industrious Traditionally the rural poor had entrepreneur has not only multiplied in her hands but also quick access to funds from the provided means of livelihood to others in the community, informal banking system to meet thus creating a progressive spiral of development. their financial emergencies that push the borrower to a debt trap. Microfinance emerged as a game changer for developing economies, facilitating women in obtaining financing with ease. Microfinance combined the flexibility and availability of funds

10 | P a g e from the village moneylender with the PAT PROFILE transparency of institutional credit. Doorstep PAT INFRASTRUCTURE availability of credit through SHG-JLGs has Branches 18 now become a breakthrough for women Districts covered 7 empowerment. Funds became available to Panchayaths reached 451 the unbanked, which was repayable in Groups 2,676 convenient instalments along with regulated Members in the groups 38,798 interest. Active Borrowers 32,202 Access to financial sources, besides helping Rural 28,660 the woman to gain respect in the society, has Urban 3,542 also created a social environment where Field staff 71 women became partners in making strategic Total staff 115 decisions on matters that decided the family’s The newly started 4 branches have increased destiny. By paying off a debt, meeting a the geographical spread to 2 more districts lifecycle need, making an investment or and 108 more Panchayaths thus bringing the starting an income generating activity many total extend to 7 districts and 451 women were able to lead their families out of Panchayaths. This year witnessed 25% their cycle of poverty. increase in PAT’s branches and coverage, 20% increase in SHGs, group membership and rural Experience around the world indicates that members in the groups and their average loan woman borrowers are responsible and outstanding and 42% increase in their average prudent investors. Women constitute 97% of loan size – evidence to the financial Indian microfinance clientele and 80 % of empowerment of the rural poor women their loans are used for income generation purposes. Among the thirty two thousand having taken priority. women clientele of PAT, a total credit of ₹. 57,40,33,880 has been distributed. They have PAT BORROWER GROWTH invested their loans on projects that gives IN THOUSANDS good returns, enabling them to make timely 70 repayments and use the profits for activities 60 related to poverty alleviation. 50 40 30 PAT IN 2016-2017 20  Cumulative disbursement of ₹ 284 crores 10 to 2 lakh 23 thousand loan accounts 0 2014-15 2015-16 2016-17  ₹ 57.4 Crores portfolio is the highest ever

- despite the impact of de-monetization.  90% or PAT’s ‘all women’ borrowers are 32,000 PAT borrowers together have availed ₹ rural. 50 crores in the year which is an 11% percent  “Beta Plus” grading awarded by M-Cril in increase from the last fiscal. The quantum of the 4th rating of PAT average loans availed by each member also  Direct online remittance of loans to has gone up to around ₹29000 per person – a members’ bank accounts. leap of 42% from the last year’s ₹14000. The

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Districts and SHG Members Loan % PAT FINANCIALS Branches and Portfolio Port- Loans disbursed during the year 17,263 Borrowers (Cr.) folio Loans disbursed during the year (₹ Cr.) 49.52

Ariyalur 5 14797 11571 21.69 37.79 Average loan size (₹) 28,686 Trichy 2 5057 4644 7.10 12.37 Average loan outstanding (₹) 17,826 Thanjavur 6 14938 12512 21.71 37.82 Loan portfolio outstanding (₹ Cr.) 57.40 Nagapattinam 1 1751 1540 2.84 4.95 Outstanding borrowings (₹ Cr.) 19.62 Thiruvarur 2 1129 967 1.88 3.27 Cumulative No. of loans disbursed 2,23,641 Thiruvallur 1 656 542 1.27 2.20 Cumulative loan disbursed (₹ Cr.) 284.42 Cuddalore 1 470 426 0.91 1.59 Net Profit (₹ Cr.) 0.468 Total 18 38798 32202 57.40 100 Net worth (₹ Cr.) 2.765 mean loan outstanding currently shows an UTILIZATION OF LOANS increase of 22% from the previous year and As an organization involved in grassroots level stands at ₹ 18000 per person. The higher financial inclusion it is quite rewarding to note loans indicate the consistency in the that 80% of the loans have gone into repayment of the loans by the members and agriculture. In the event of falling food the robustness of the PAT groups. production, the vegetables, cereals grains produced by the women cumulatively play a PAT LOAN DISBURSEMENT major role in ensuring food security, which IN CRORES incidentally is an important national agenda as well. The sector has shown a marginal 2016-17 increase of 3% over the past year.

2015-16 One fifth of the SECTORS % loans have gone for 2014-15 Agriculture 80 Small businesses Petty Trades 14 and service sector. 0 20 40 60 80 Many women have Service 6 started businesses or put up shops selling grocery, vegetable and PORTFOLIO DISTRIBUTION selling tea and refreshments. One remarkable story is Pushparani’s who employs other SHG PAT’s ‘all women’ borrowers are spread members to work with her in making and across 7 districts of Tamil Nadu viz. Ariyalur, selling matted roofing materials from coconut Trichy, Tanjore, Nagapattinam, Thiruvarur, fronts. Service sector loans have been taken Thruvallur and Cudallore. 71 field staff for various purposes ranging from operating from 18 branches oversee the photocopying to beauty parlours. Thus all the governance of the 2676 groups and provides loans are used to serve the public in their life the training to 39 thousand members 83% of cycle needs, whether it is food, clothing, whom are PAT borrowers. shelter or providing for the comforts of life.

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“She considers a field and buys it - Proverbs” Efficiency and productivity As on 31 Vijaya – the labourer-turned- March Operating Expenses / average gross loan 20176.80% landowner portfolio Cost per borrower (₹) 1477.6 The golden rays of the early sun streaming 17826 down their shoulders, Vijaya and her Average loan size per borrower (₹) husband are busy in their Jasmine garden Number of borrowers / Field staff 454 in the Thanjavur district of Tamil Nadu, Number of Borrowers/ Total staff 280 hand plucking the buds of the fragrant Portfolio per loan officer 8084984 jasmine flower that would adorn some Borrower per branch 1789 beautiful hair the next day. Just two years Portfolio per branch 31890771 back, this hard working 35-year-old Total cost to total income 91% mother of three was an unskilled labourer in the lush green patch of land in the Total Income to average portfolio 11% fertile Kolladam river basin that she owns Financial expense to average Portfolio 8.60% today. For 11 long years she had sweated Total expense to average portfolio 10% and toiled under the scorching sun to earn major funding partners, which reflects the the daily wages that would sustain their credit worthiness gained by PAT over the family, always longing for that day when years . NABKISAN Finance Ltd., a subsidiary of she, hand in hand with her husband NABARD Bank has extended lending to PAT Selvam, would toil in their own land. for agriculture allied purposes based on its formidable field presence in the rural parts of the state. Ahmedabad based NBFC Ananya Finance for Inclusive Growth Pvt. Ltd and Bangalore based Micrograam Social Development Foundation had also continued their financial lending to PAT.

Funding Institution (Bank/Lending Fund Vijaya’s journey from wage earner to job Organization) Outstanding creator started nine years back when PAT EFFICIENCY ANALYSIS Ananya Finance for Inclusive Growth 2,62,50,000 started providing affordable loans to SHG The borrowers are prompt in their Pvt. Ltd members through its Tiruppanandhal Indian Overseas Bank 6,77,87,000 repayments as reflected in the high 99.77% branch. With her first loan of ₹ 5000, she recovery rate. The Operational Efficiency(OER) State Bank Of India 9,64,38,000 started her own dairy business by of 6.80 is a positive indication for a micro loan NABKISAN Finance Limited 49,41,000 purchasing a milch cow. Using part of the institution, which used to be generally at a Micrograam Social Development 7,84,000 profit from the sale of milk, she added high proposition. There was a healthy Foundation more animals to her small farm, until the reduction in total expense to average family owned four animals four years back. Sum of Outstanding from Banks/FI 19,62,00,000 portfolio from last financial year and stands at A few days later, an opportunity arose to 10. help fulfil her long cherished dream. A BC OUTSTANDING 38,65,57,975 portion of the land she had worked in was FUNDINGavailable for PARTNERSHIPS purchase. She immediately sold three of her milch animals, took The two public sector banks State Bank of Indiaanother and Indianloan from Overseas PAT and Bank paid have the been three the lakhs towards purchasing the 23 cents of 13land. | P a g e

She may not be aware that the Persian word jasmine means ‘a gift from God’, but this is what a micro loan from PAT has “Out of her earnings, she plants a FINANCIAL STATEMENTS vineyard - Proverbs” Rajeswari – the planter The extract of the Auditor’s report reflects the robust financial stature of the organization. Thirty three year old homemaker and Facsimile of the auditor’s report in full, which farmer, Rajeswari, proudly guides the includes the schedules are given as annexure visitors to the prized banana farm that she at the end of the report. and her husband Shankar own in The first two tables pertain to the Kurangaduthurai in Thanjavur District. All microfinance operations of PAT, the third and fenced up with thorny bamboo branches, fourth are of its other programs. the one-acre farm, which is a little way off from their home in the village, is the INCOME AND EXPENDITURE means of livelihood for them and their (MICROCREDIT) children, 11 year old Mithun and 8 year Income (₹) MF old Anushka. Beyond the electric pump set Operating Income at the gate, there are rows upon rows of Interest on Loans 2,15,61,035 plants, their stems slightly bent under the Other Operating Income 2,80,13,697 weight of the dark green bunches of the Other Income bananas that they bear. Non-Operating Income 26,89,476 Total Income (a) 5,22,64,208 Expenditure Financial Cost 1,62,10,558 Administrative Cost 1,52,65,798 Employee Benefit Cost 1,45,33,863 Depreciation 15,72,801 Total Expenditure(b) 4,75,83,020 46,81,188 Income - Expenditure (a)-(b)

With 14 others, Rajeswari too is a member BALANCE SHEET (MICROCREDIT) of the TN SHG group managed by the SOURCES OF FUNDS (₹) MF Aduthurai branch of PAT. A client of PAT, Capital Fund

she had began with the first loan of ₹ 5000 General Fund 59,11,242 7 years ago but has progressed to the Capital Fund 2,17,37,658 Loan Funds current cycle, availing a loan of ₹20,000 Secured Loans 19,75,87,952 due to her credit worthiness of having Unsecured Loans 1,01,81,21235,475 promptly repaid all her previous loans. Current Liabilities 37,40,975 Over the years, through the cycles of loans Total Sources of Funds 23,91,59,041 made available to her, Rajeswari freed APPLICATION OF FUNDS (₹) herself from the clutches of informal Fixed Assets 66,07,110 lenders and by making investments on Current Assets

agriculture, increased the productivity of Loans & Advances 18,75,44,405 her farm. The comfortable instalments and Receivables 5,65,33 the affordable interest having given her Cash in Hand 1,53,742 Balance with Banks 3,12,119 aspired financial independence she is now Other Current Assets 4,39,76,331 able to comfortably meet the life cycle Total Application of Funds 23,91,59,041 needs of her family.

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INCOME AND EXPENDITURE (GENERAL) Income (₹) GEN APPLICATION OF FUNDS (₹) Voluntary Contributions Received Fixed Assets 1,06,79,897 Current Assets Children Development Programme 4,95,261.00 Cash in Hand 15,025 11,58,299.00 Educational Empowerment Programme Balance with Banks 98,125 Job Oriented Training Programmes Other Current Assets 3,50,500 - Computer Training 3,96,179.00 Loans & Advances Advance to MCP (Staff Security 11,33,000 - Tailoring 2,22,230.00 Savings)Staff Loan - Welfare Programme 9,84,800.00 Loan from Staff Security Savings 66,585 Other Income Total Application of Funds 23,88,453 Bank Interest 32,267.00 Miscellaneous Income 2,41,453.00 DEVELOPMENT PROGRAMS Total Income (a) 23,95,590.0 0 CHILD DEVELOPMENT Application (₹) The Census 2011 reveals that 37% of Indian Children Development Programme 10,00,548 population consist of children and 25% of 2,06,887 Educational Empowerment Programme them do not go to school and 9.9 crore

Job Oriented Training Programmes children are school dropouts. India has more - Computer Training 3,88,796 than 45 lakh under 15 wives who are mothers. - Tailoring 2,23,025 We live in a country where majority of the Welfare Programs 70,000 children never really know what childhood is like – they are neglected, hungry, poor, Health Care Programme 1,15,400 malnourished, illiterate or they work are Miscellaneous Expenses 16,910 labourers in the farms, factories, homes or 231 Bank Charges other places of work or , abused, abducted, Depreciation 96,250 trafficked and sold as a merchandise. Total Application (b) 21,18,047 PAT’s five Child Development Program (CDP) Income - Expenditure (a)-(b) 2,77,543.17 centres at MGR Nagar, Ramamurthy Nagar, BALANCE SHEET (GENERAL)

SOURCES OF FUNDS (₹) GEN

Capital Fund Corpus Find 55,00,919 Capital Fund 56,36,981 Current Liabilities MCP Advance 69,880 Staff Security Savings 11,35,352 Total Sources of Funds 1,23,43,132 Bell’s ground, Kemps Town and Kajapettai are a response to child rights issues in the slums in Trichy town. The centres attempt to

15 | P a g e provide opportunities for refined behaviour, the rural situations of the state observed the social interaction, cultural integration and startling number of school dropouts, mental development for the child. For the especially girls, just because they did not have past 18 years, PAT has taken in children from the proficiency in languages and Maths. these areas and prepared them for the school. Intervention in this issue was made through starting coaching centres in a few places in 1999. Having seen its efficacy, more “Train up a child in the way he should go, And when he is old he will not depart from Educational Empowerment Centres were it” – Proverbs added to the current 30.

Irudhayamary’s Triumph A total of 600 students at the level of It was in the middle of 2000 that secondary or higher secondary classes gather Irudhayamary was enrolled at the ……………. at these centres, for two hours a day, CDP centre run by PAT. Her father had died between 4-6 in the evening. Each centre has and her mother who worked as a an intake of 30 students and a qualified guide housemaid for their livelihood, wanting to supervises the daily revision of their lessons, have a good future for their daughter besides occasional tests to help them locate decided to enter her at the PAT day care the areas where they need improvement. centre. She was unkempt and undisciplined Practical Skills Dev elopement: typical of very many children from the Besides the daily coaching, the students get shantytowns of Trichy, but soon everything the opportunity for sharpening their personal, changed and she found her learning interpersonal and public relational skills interesting, became organized and by the

time she joined the regular school, she had Coaching Centers (with 30 children each) acquired the motivation and discipline to become a good student. Adhichanur, Suthamalli, Nayaganaipriyal, Kodali, Porpathinthanallur, Cholamadevi, Duly supported by her mother, she is now a Kodalikaruppur, T.K.P Natham, Edankanni, final year graduate student in Zoology. Chinthamani, Thathampettai, Sripuranthan, Admission to the college had not been Govindaputhur, Vikramangalam, Kadambur, difficult since she had secured 80% marks in Periathirukonam, Karaikurichi, Venmankondan,Nagamangalam, Sathambadi the 10th grade exam and 74% in the Higher

Secondary examinations. She has also through programs such as writing, recitation, undergone other vocational trainings like arts and fine arts and public speaking. The tailoring, accounting in Tally and has a annual day celebration at the centre is a day Diploma in computer applications. of festivity for the students to demonstrate their skills and receive awards.

EDUCATION EMPOWERMENT Coaching Centres: PAT has twenty coaching centres with intake of 30 students each. The organizations’ commitment to the holistic development of the community and the individual has necessitated various programs. The leadership, well accustomed to

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“ …those who diligently seek me will find me EMPLOYABILITY SKILL (wisdom)” - proverbs TRAINING Surya makes it to the college COMPUTER TRAINING It was an off-school day and Surya, a college In order to create a IT savvy generation from student, from Ariyalur district of Tamil Nadu rural parts of the country to compete and was helping his parents in the 1 acre fertile excel in the booming IT-enabled job sector, paddy field that the family owned in the Kotiyal PAT had started Computer Training centres in village near the Koladam river. They were Thirupanandal, Thanjavur District in the year working together; spraying nutrients to the 2008 and T.Palur, Ariyalur District in 2013. foot high rice saplings that would be bent with Both the centres cater to the needs of the bunches of golden rice in two months time. youngsters from the surrounding areas in an Surya had a problem as a school student – try affordable way. The service-minded as he may, he could not make his grades in professionals associated with the centre Tamil, English and Math. The 35% that he could provide hands-on training to the enrolled achieve was the bare minimum needed for a members in various computer applications, pass and higher education seemed a distant software packages and typing. In the year dream. 2016-17 around 206 personnel were benefited from the training , the training PAT, in the meanwhile, had an Education courses duration range from 45 Days to 1 Empowerment Program running in the village year. where a tutor was available to coach students weak in various subjects during the after school COURSES COURSE TRAINEE hours in the evening. The decision by Surya’s OFFERED DURATION S parents to enrol him in the program was a 1 & 1/2 JCP MONTHS 3 turning point in his academic life. His academic DCA 3 MONTHS 115 performance started changing for the better, C,C++ 3 MONTHS 2 so much so that when the result of the 10th TALLY 3 MONTHS 26 grade was declared, Surya had scored 91% PGDCA 1 YEAR 53 marks. 1 & 1/2 INTERNET MONTHS 6 Now pursuing his higher education Surya looks ENGLISH TYPE 1 MONTH 2 back at his school days and says, “I was so weak TAMIL TYPE 1 MONTH 1 in my studies that my parents feared for my Total Students 208 academic future. But the approach and method of coaching at the centre inspired and TAILORING CENTRES motivated me to excel. My capacity for understanding concepts and meanings Observing that many homes had adolescent increased and I ended up with a high first class school drop outs idling in their homes PAT - good enough to make it to the Higher decided to open vocational training programs. Secondary education”. A first step towards these was opening the Vikramangalam tailoring training centre which was later relocated to Aduthurai. Having seen he success of the program another centre was started at Thiruppaandhal, which also became

17 | P a g e very popular. Currently around 200 students Society of Thanjavur conducted eye camps at are trained in these centres. Neelathanallur, Kumbakonam Taluk and Anaikarai, Thiruvidaimaruthur Taluk of ‘She makes linen garments and sells them Thanjavur District. …” proverbs Kalaiselvi’s image makeover The villagers were mobilized by PAT staff to the camp by disbursing notices, displaying Joining the PAT run Tailoring centre at wall posters and public announcement, and Thirupanandal came handy to Kalaiselvi, a the staff were also involved in making widow struggling to provide food, clothing necessary arrangements for the smooth and education for her three impoverished conduct of the camp. children. When she received her certificate three months later, she had acquired the A total number of 600 villagers, 300 in each needed skills to both save money by camp were provided healthcare services. stitching her and children’s clothes as well Those, who are in the dire requirement of as earn additional income by making dress operation to prevent blindness were taken to for others. The unexpected added hospital at Madurai for surgery. To and fro achievement in her words was the, “build travel to Madurai, food and accommodation up of my image in the society” – a were arranged at free of cost. remarkable example of women empowerment. ECOFRIENDLY INITIATIVES Continuing its drive for environment friendly farming practices, PAT has been running demonstration and production of vermi- compost near Trichy. Vermicompost is an excellent substitute to chemical fertilizers for enriching the soil with nitrogen, which is essential for plant growth. The additional advantage is that bio-degradable organic waste that poses hazard to both hygiene and climate is very usefully recycled . PAT continues its efforts to educate farmers to turn to vermicomposting so that they can produce valuable manure from the organic Besides being able to save money by making refuse from their own premises. dresses for themselves and their family members quite a number of the trained girls take up tailoring as a profession to make their MARCHING ON ... own living. Sweeping economic changes are currently underway in India that will redefine the way people save, invest, spend and provide for HEALTHCARE PROGRAM their life cycle needs and they are looking for PAT in collaboration with the Lions Club T- answers and a sense of direction, travelling in Palur/Kumbakonam, Aravind Eye Hospital these unchartered waters. Standing for the Madurai and District Blindness Education people and committed to social

18 | P a g e transformation through its microfinance who guided us so far and shall also provide activities, PAT has the responsibility to guide the wisdom to plan strategically for future. its members to live confidently without compromising on its profitability as a financial Thank You, institution – we shall take on this challenge. President. In the meanwhile, I place this report before you with gratefulness to the Lord of us all,

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