Microfinance Focus, January 2, 2012: Gramalaya, a Tiruchirapalli based rural development organization ushers in the New Year with the creation of a new not-for-profit microfinance institution for livelihood promotion. At a function organized at Gramalaya Training Centre, S.Damodaran, Founder Director of Gramalaya NGO, kicked off the first loan disbursement of Rs.25 lakhs for the 253 clients of Gramalaya Microfin Foundation (GMF).

Creation of this new MFI fulfilled one of Gramalaya objectives of economic empowerment next to health and social empowerment, Damodaran said on the occasion. He expressed hope that like the achievement and success stories of Guardian MFI (Gramalaya Urban And Rural Development Initiatives And Network) in providing basic amenities of safe water and sanitation, GMF will also serve the women for better economic development.

Mr.Paul Sathianathan, Chief Executive Officer of Guardian MFI said that on seeing the social cause of Guardian in meeting the basic facilities to the poor in the rural and urban areas in Tiruchirappalli District, financial investors like Acumen Fund supported Guardian with a loan amount of $ 1 million through External Commercial Borrowing route.

Guardian currently reaches 24,392 clients and is providing safe drinking water and sanitation facilities to a population of 114,352.

Mrs. J. Geetha, Chief Executive Officer of GMF told that it was amazing to see women with visions to enrich their business knowledge and expand their existing small businesses with micro-loans.  A visit to the women business establishments have showed that these women are in need of working capital support or additional investment funds in the form of microloans which could be repayable in easy instalments, she said.

GMF will provide loans to the women after providing capacity building and skills training through GREAT – Gramalaya Entrepreneurs Associates, Tamil Nadu and focus its attention for engaging income generation activities by using locally available materials.  GMF plans to reach 50,000 clients in the next three years period in Tiruchirappalli region of Tamil Nadu.