New sources of funds for microfinance institution in India: Ujjivan microfinance

Abstract

Home to more than a billion people, India is the world’s largest democracy and a key emerging market alongside China and Brazil. The GDP of India was 1.16 trillion dollars (in 2008) and growing at more than 6% even during the economic downturn. This is an environment where, though there has been an increase in wealth, it has not accrued to all citizens. Poverty is rampant in the country. About a quarter of the nation lie below the poverty line. There are substantial differences within the country and the gap between the poor and the rich seems to be widening. Thus, Microfinance in India has one major goal which is Poverty Reduction.