Smart Finance For A Financially
To create financially literate, inclusive, and self-dependent rural India, and generate waves of economic and social development among low-income and marginalized communities.
To spread financial literacy among rural Indians, make easy and affordable credit available to them, and equip them with the knowledge they need to become financially smart individuals.
Rural India is ripe for evolution
India is home to 1.3 billion population and 66% of this population lives in rural areas. That’s 180 million rural households, who primarily depend on the agriculture-driven economy for their subsistence.
Yet, unreliable monsoons, poor agricultural infrastructure, bad policies and implementation, poverty, and low literacy rates, among many other factors, have pulverized the agricultural sector. As the farmers reel with cash crunch, other sections of the rural economy that depend on them – agricultural laborers, tailors, grocery shop owners, drivers, and so on – are facing alarming levels of economic distress.
The impact of economic problems is most severe among the low-income groups. They are beleaguered by higher risks of health issues, poor quality education, limited opportunities, and lack of resources to uplift themselves. Even state institutions like banks do not lend them loans.
Without an alternative, they are forced to obtain credit at from informal sources like loan sharks, extended family, and neighbors, which often go as high as 50%. A bulk of this population is stuck in vicious cycles of debt and poverty.
A ray of hope comes from the microfinance initiatives. Traditional microfinance initiatives are witnessing varying degrees of success across India.
However, they have shown resistance to change and adoption of technology-driven processes, making them inefficient and ineffective. A disruptive change is required to elevate the rural population from the cycles of debt and poverty.
Founder - Aadhar India
Aadhar India is founded by Anish Gupta in 2018. After studying from the University of Toronto, Anish launched Fantom Agro, a social initiative that offers technical, financial, and market support to small and marginalized farmers in Punjab, Haryana and Rajasthan. The initiative’s efforts have directly increased the annual incomes of farmers by over 60%. At present, Fantom Agro supports over 1500 farmers and 800 acres of agricultural land.
His experiences with the initiative brought him in close touch with the massive challenges facing the rural population who subsist on the agriculture-driven economy. A bulk of the financial products, benefits, and reforms designed for rural citizens never reach them. Be it systemic inefficiencies, low awareness, or the absence of innovative ideas targeting rural population, much of this populace is yet to be integrated into the national financial system
Anish realized that by leveraging existing digital technologies and innovative business practices, things can be changed on the ground level. And, Aadhar India was born.