V.K.PadmavathiChief Executive

DHAN Kalanjiam Foundation

SustainabilityLong term continuation of an institution.Owned, controlled and managed by People.Appropriate systems and processes.Scaling up for sustenance Established partnership with MainstreamMultiple products and services responding to

needsMeeting its own costs.Fulfilling the developmental needs of the members.Identity

Dimensions of SustainabilityInstitutional

- Shared purpose, structure, strategy, staff, systems, style and shared values……

Financial - Deepening and scaling up financial services (saving, credit and insurance)- Ability to mobilise resources for self growth

Developmental -Achieving poverty reduction-Enhancing quality of life

Institutional SustainabilityTransformation of Group to Institution.Building an Institutional value framework.Capacity Building in response to growing

needs. Dynamic systems and processesEndo system for building sustainable

ownership

ChallengesSocial mobilisation: Does poverty matter?Drift from social cause to commercializationAre the members clientele or owners ?

Multiple membership, clarity of promotersDoes ‘Win-Win’ equilibrium between banks and

SHGs exist?SHGs grow. Does the capacity of governance grow

accordingly?Political Mileage without considering sustainability.Growth without systems.Legal framework – Is regulation external or internal?

Financial sustainabiltySavings: Safety vs. liquiditySavings vs. loan ratioCredit vs. package of productsHow Efficient are the SHGs in leveraging

external loan funds?Effective interest rate: Are loans from SHGs

really affordable? Gestation period for financial self sufficiencyIncreasing costs Vs ServicesPromotional costs vs. contextsAre subsidies boon or bane?Inadequacy in Financial literacy

Developmental SustainabilityReducing risks and vulnerabilitiesDeepening LivelihoodsDeepening Civic interventions.Forward and Backward linkages.Reaching the left out poor.Ensuring poor getting entitlements.Nurturing Democratic practicesTransforming into civil society.

Thanks