Bandhan Axis Bank Foundation & Bandhan Team up to Cater to The

Bandhan Hope for the Poor Baruipur, West Bengal, August 13, 2011 Axis Bank Foundation & Bandhan team up to cater to the most impoverished Bandhan Konnagar, the not-for-profit arm of Bandhan and Axis Bank Foundation, CSR arm of Axis Bank announced the launch of a financial inclusion program called 'Axis Bank Bandhan Holistic Assistance' (ABHA) which is targeted at the poorest-of-the- poor community of two districts of West Bengal. The program was inaugurated by Dr. K. C. Chakrabarty, Deputy Governor, Reserve Bank of India in the presence of Ms. Shikha Sharma, Managing Director & CEO, Axis Bank, Mr. C Babu Joseph, Executive Trustee & CEO, Axis Bank Foundation and Mr. Chandra Shekhar Ghosh, Founder & Mentor, Bandhan The distinguished guests at the lamp-lighting ceremony A ` 100 crore fund will be set-up for this grant-based initiative aimed at graduating 50,000 ultra-poor families from the districts of Murshidabad and South 24 Parganas, thereby linking them to the larger economic ecosystem over the next 5 years. Axis Bank Foundation and Bandhan has teamed up for contribution and implementation of this financial inclusion initiative. Bandhan, the microfinance major first forayed into development services in 2006 with its introductory program, christened as Chartering into Unventured Frontiers Targeting the Hard core Poor (THP) Program. While delivering microfinance services Bandhan realized that certain section of poor that we call poorest of the poor were being bypassed by microfinance. Even if credit facilities were extended to them, they were reluctant to accept it since they lacked the mere confidence. Hence, the cardinal objective was to create pathways for the poorest-of-the-poor section to find their rightful place in the socio-economic mainstream through a 24-month grant-based intervention encapsulating crucial elements like livelihood, skill development, education, health, social awareness etc. The program earned accolades from a wide cross section of audience-policymakers, opinion leaders, development critics and beneficiaries. Presently, the program is reaching out to 5,000 poorest of the poor families in 4 states, out of which 96.88% of the eligible families (who have completed 2 years) have graduated to mainstream finance. However, a scale- up was essential to replicate and amplify the impact amidst a greater number of such families. Bandhan Hope for the Poor Speaking on the occasion, Dr. K. C. Chakrabarty, Deputy Governor, RBI said, “We always profess that the credit- worthy should receive loans. But what about the population which is not credit-worthy? Do we sit idle and watch their plight? They were born poor; poverty wasn't the fallout of any crime! Axis Bank by contributing its 1% profit and Bandhan with 25% contribution in the coffers has pledged to revive the lives of that segment.” This was followed by a direct address to the beneficiaries present where he emphasized on their individual responsibilities and the need for self-sufficiency to ascend up the economic ladder. He forbade that without social, educational and health inclusion, financial inclusion would remain a pipedream. He congratulated Bandhan for completion of its 10 years of operation and wished success to the collaboration of Axis Bank Foundation and Bandhan.” Dr. K. C. Chakrabarty, Deputy Governor, Reserve Bank of India addressing the gathering Mr. C. Babu Joseph, Executive Trustee & CEO, Axis Bank Foundation reflected on their commitment to bring about “at least a 50% increase in the incomes of poor people living in the community.” “Then we came about meeting Bandhan and knowing about their Targeting the Hard Core Poor program. We found that this program has got a huge impact. It helps the absolutely downtrodden to find pathways out of poverty. So we have decided to step it up significantly. We thank Bandhan for having partnered with us in this initiative. Together, we want this to become a path-breaking program.” He also expressed the hope that this program would emerge out as the “model for development programs of the most underprivileged.” Words of encouragement came from Ms. Shikha Sharma, Managing Director & CEO, Axis Bank. She said, “We contribute 1% of our total profits as part of our CSR initiative to the Axis Bank Foundation. The focus is on the creation of sustainable livelihood. Likewise, we were on the look-out for a suitable partner in this part of the country. Bandhan was the obvious choice for its experience and efficiency.” The gathering during the launch of the ABHA program Bandhan Hope for the Poor Ten beneficiaries were handed over farm and non- farm assets for enterprises like goat-rearing, meat, fish, poultry, cosmetics businesses. Asset Transfer to beneficiries in progress Emotions were running high as Noorjehan Bibi, an erstwhile beneficiary who has started taking microloans, burst into tears while narrating her story of despair. When she had reached the rock-bottom after the death of her seven sons and diagnosis of a severe ailment in her husband, Bandhan, through its THP program had handheld her to a respectable socio-economic position. Similarly a newly-inducted beneficiary, Monibala Pal broke down as she recollected the treatment that was being meted out to her by society at large. With assistance coming in the form of ABHA, her eyes were glistening with hope of making her poverty history very soon. A teary-eyed beneficiary recounting her story Chandra Shekhar Ghosh, Founder & Mentor, Bandhan thanked the spirited 1,200-odd crowd for their spontaneous participation in the program. Present were microfinance borrowers, poorest of the poor beneficiaries, lenders, board members, fellow MFIs, researchers, media friends and Bandhan staff. He reminisced about the origin of the THP program and its evolution in the avatar of ABHA. “By partnering with Axis Bank Foundation, we are looking at making a difference to 25,000 families in each of the two districts in the next 5 years”. The gathering dispersed with the hope that the ABHA program would emerge as the ray of hope for plenty of lives living in the edge of existence. .

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