1. Solving the problem of Financial Exclusion
Ramraj Pai
President
CRISIL Foundation

2. What we do MISSION VISION OUTREACH
8/27/2018
What we do
MISSION
Empower socially and economically disadvantaged communities to make informed financial choices
VISION
Build awareness and capacities of the
financially excluded in India
OUTREACH
(2015 till date)
Over 100,000 women in Assam; Over 36,000 women in Rajasthan
Add map that Sheetal sends
MISSION 2019: REACH OUT TO MORE THAN 1,000,000 COMMUNITY MEMBERS BY as a thought leader, knowledge partner and implementation agency

3. Summary : Insights into building financial capabilities
A practical approach to financial education (1/3)
Summary : Insights into building financial capabilities
Customise goal-based financial planning education 01
Simplify messages to enable informed financial choices
Engage extensively (rather than one-time)
Handhold to reinforce behavior change
Facilitate financial linkages
Human-centred programme design
Identify the needs of each target group:
Urban and rural poor
Persons with disabilities
Small & marginalized farmers
Project affected people
Youth 02 03
Anyone who is willing to be trained and has the capability to carry out tasks that meet outreach goals, can be a foot soldier.
Build capacities to create a network of skilled community resources 04
Establish an eco-system that can encourage and sustain good financial practices.
Engage all stakeholders

4. Project-affected people Persons with disabilities
A practical approach to financial education (2/3)
Customised programme design
Project-affected people
Persons with disabilities
Rural and urban poor
Farmers
Youth
for health, education, skill-building, marriage, old age, & money management for micro-enterprise
to manage cashflows during crop cycles
to manage lump sum received in lieu of land acquisition
for awareness of formal channels of investments to pursue ambitions, contribute to family wealth
to create awareness of, and access to, financial products and services
Desired outcomes
Set financial goals
Monitor cashflows
Increase awareness & facilitate linkages
Enable informed financial choices

5. 👆 A practical approach to financial education (3/3)
A multi-stakeholder approach
Train community-based workers
CRISIL Mitras, typically, young adults with minimum qualification of passing Class XII, are trained as front-line community-based workers 👆
Train Volunteers
Sakhis are enterprising women with little or no education who are trained to continue supporting and reinforcing good financial habits
Strengthen and engage block-level institutions
Existing community groups, such as SHGs, collectives for peer learning; Panchayat Raj Institutions for recognition & support.
Solution providers
Collaborate/engage with NGOs, corporates, post offices, bankers, insurers, micro-finance and credit institutions
to create an enabling environment
Collaborate with all stakeholders to establish an eco-system that can encourage and sustain good financial practices.

6. Visible outcomes of capacity building on community-based workers and beneficiaries
Increase in self-confidence with continual capacity building.
Impact on community cadre trained to train beneficiaries
Increase in confidence to jointly make family decisions with male heads of family (husband or father).
Impact on rural women, households and SHGs 👪👪
Ability to manage various situations, growing remarkably in how they interpret and respond to participants’ queries.
Husbands, fathers, brothers and sons treat the women in their families as credible managers of wealth.
SHGs have begun to thrive with the right guidance in money management. Dysfunctional collectives have regrouped with a renewed sense of purpose.
Played an integral role in curbing prevalent practices of illegitimate moneylending and local fraud
Source: Midline assessment of Mein Pragati, Assam by KPMG

7. 8/27/2018
The way forward
A framework of voluntary and/or fee-based services by Sakhis (volunteers/rural financial advisors) to sustain inclusion
Thought leadership, and proof of concept for a skilled cadre of community workers to sustain financial inclusion.
CRISIL
Community members trained as Sakhis, to address immediate financial needs.
Community-based workers
SERVICES:
Guidance to enable informed financial decisions
Information about relevant financial schemes
Handhold to complete documentation
Connect beneficiaries with financial service providers
Help SHGs optimise membership in village organisations
Strengthen SHGs’ compliance with registration requirements (bookkeeping, etc)
Fee-based services to handhold individuals and collectives
Leverage technology to scale certification of community members as rural financial advisors.
Entry Level Services
Reinforce key messages to enable informed financial decisions
Inform beneficiaries about locally relevant financial facilities and products for investment
Handhold participants with documentation to avail of formal financial products and services
Connect beneficiaries with financial service providers in case of specific product queries
Advanced
Help SHGs optimise membership in village organisations & community-based organisations
Provide services to strengthen SHGs’ compliance with registration requirements (bookkeeping, etc)
Tech-enabled training for scale

8. Thank you