Microfinance Focus, December 28, 2011: International Finance Corporation (IFC) is supporting Indian microfinance institution Utkarsh to grow its operations, primarily in the low-income states of Uttar Pradesh and Bihar, to increase access to finance and microfinance services in relatively under-served areas.

With IFC’s support, Utkarsh is working to diversify its products, develop sound internal systems and processes, and introduce a system of social audit. The company aims to reach an estimated 250,000 women borrowers by June 2013.

“We work intensively in the low-income states of Uttar Pradesh and Bihar, which are high priority areas for the government of India,” said Govind Singh, Managing Director and CEO, Utkarsh Micro Finance Private Limited. “With IFC’s support we expect to expand significantly into areas where the need for microfinance is highest.”

IFC supported Utkarsh in its start-up phase by providing both investment and advisory services. The MFI is headquartered in Varanasi, Uttar Pradesh.

“We are helping Utkarsh strengthen internal systems and develop operational tools that can help them reach more clients in a sustainable manner,” said Jennifer Isern, who leads IFC’s Access to Finance work in South Asia. “This project also aligns with our strategy of supporting growth and expansion to provide access to financial services among India’s low-income segment.”