ICICI Bank - Innovations in Microfinance

FSCs were also managed by an extension service organization which provided inputs, credit and technology or by an NGO that provided all the services that farmers needed for their agricultural needs. Working in close association with farmers, FSCs provided them with services like advice on seeds, sowing techniques, pest control, weed control, usage and dosage of herbicides, pesticides and fertilizers and other services associated with agriculture. The FSCs also provided crop-related information and services to farmers, apart from facilitating the sale of agricultural produce. The FSCs arranged to procure the produce through agents and sold it in organized agricultural markets thus getting better realization...

These agents contact several borrowers, thus expanding the reach of ICICI Bank at a low cost. Taking the FSC initiative further, ICICI Bank plans to provide farmers credit from sugar companies, seed companies, dairy companies, NGOs, micro-credit institutions and food processing industries.

SIG has been involved in a project in the southern state of Tamil Nadu to find out how wireless technology can be applied in the development of low cost models of banking. Another plan to increase the reach in rural areas is to launch mobile ATM services. ICICI Bank branded trucks have started carrying ATMs through a number of villages...