What We Do

Mobilization of poor to form their ‘own institutions’ is the most important prerequisite and the core investment for large scale poverty reduction. NRLM would organize all poor households (women) into aggregate ..

TRLM organizes all poor households (women) into aggregate institutions of the poor that provide them with voice, space and resources. These platforms ‘of the poor’ and ‘for the poor’ would partner with local self-governments, public service providers, banks, private sector and other mainstream institutions to facilitate delivery of social and economic services to the poor.

        At least one member from each poor household would be brought under the Self-help group network. Poor families shall be identified through the process of Participatory Identification of Poor. The women from poor households are mobilized into Self-help Groups (SHGs) and federated at Village/ Cluster/ Block/ District level. Existing SHGs shall be strengthened and integrated into the new institutional architecture of the poor. The members of SHG ad federations are trained to manage their institutions, linking up with markets, managing their existing livelihoods, enhancing their credit absorption capacity and credit worthiness, etc. TRLM shall also promotes livelihoods collectives that may help poor to enhance their livelihoods through deriving economies of scale, backward and forward linkages, and access to information, credit, technology, markets etc.

        Quality social capital is foundation for sustainable community Institutions. Gradually, in line with the principles of Self Sustained Institution a large scale social capital shall be developed from the mature Community Institutions. TRLM are building the capacities of the Community Resource Persons/ Community Service/ Book Keeper and Providers for horizontal scaling up of the Mission and deepening the process.

TRLM ensures the poor are provided with the requisite skills for managing their institutions, linking up with markets, managing their existing livelihoods, enhancing their credit absorption capacity and credit worthiness. A multi-pronged approach is adopted for providing continuous capacity building of the targeted families, SHGs, their federations, PRI representative’s, government functionaries, bankers and other stakeholders. Focus is to develop and engage community Service Providers (CSPs) for capacity building of SHGs and their federations and other livelihood collectives. For effective communication and knowledge dissemination different ICT tools are used by field functionaries of TRLM.

The core of the TRLM financial inclusion and investment strategy is making poor the preferred clients of the banking system and mobilizing bank credit. TRLM shall facilitate poor households for access to reliable financial services to the poor. These include financial literacy, bank account, savings, credit, insurance, remittance, pension and counseling on financial services. The Mission assumes that over a period of five-seven years, each SHG would be able to leverage cumulative bank credit of Rs. 10,00,000/- in repeat doses, such that on the average each member household accesses a cumulative amount of Rs. 100000/-. In order to facilitate bank linkages an exclusive sub-committees of State Level Bankers’ Committees (SLBC) for SHG bank linkages and financial inclusion in NRLM activities is constituted. Similarly, District Level Coordination Committees and Block Level Coordination Committees would review SHG-Bank linkages under TRLM.

        SHGs go through Micro Credit Plan (MCP) process periodically. MCP is a participatory process of planning and appraisal at household and SHG levels. The flow of the funds to members/SHGs is against the MCP. NRLM has provided interest subvention for all eligible SHGs to get loans at 7% per annum from mainstream financial institutions.

Capital support to Community Intuitions

• TRLM provides Revolving Fund and Community Investment Fund (CIF) as Resources in Perpetuity to the institutions of the poor, to strengthen their institutional and financial management capacity and build their track record to attract mainstream bank finance.TRLM provides Revolving Fund (RF) to SHGs of Rs.10,000-15,000 as corpus to meet the members’ credit needs directly and as catalytic capital for leveraging repeat bank finance. RF is given to SHGs that have been practicing ‘Panchasutra’ (Weekly meetings; Weekly savings; Weekly inter-loaning; Timely repayment; and Weekly Up-to-date books of accounts).
• TRLM provides Community Investment Fund as Seed Capital to SHG Federations at Cluster level to meet the credit needs of the members through the SHGs/Village Organizations and to meet the working capital needs of the collective activities at various levels.
• TRLM provides Vulnerability Reduction Fund (VRF) to SHG Federations at Village level to address vulnerabilities like food security, health security etc., and to meet the needs of the vulnerable persons in the village.

TRLM focuses on stabilizing and promoting existing livelihoods portfolio in farm and non-farm sectors of the poor through its three pillars –

• Livelihoods enhancement through enhancing and expanding existing livelihoods options and tapping new opportunities in farm and non-farm sectors.
• Development of micro enterprises in rural areas. Providing skills self employment to the members of SHGs or their family members through different partner organizations such as RUDSETI/RSETI, Swabalamban etc.
• Skill Development and Placement in jobs for unemployed rural poor youths under DDU-GKY