Grameen bank


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Grameen bank

  1. 1. leading the poor out ofpoverty towards anempowered and dignifiedlife
  2. 2. OUTLINE History Micro-credit: Grameen Credit Business Model Innovation Product Design Improvement Business Process Improvement Where is it now?
  3. 3. HISTORY 1976 – the Grameen Bank Project Low income Low Low saving investment
  4. 4. NEW CYCLE
  5. 5. GRAMEEN CREDIT PTM-The Poor Credit Solidarity trust Savings vs. Credit group rating Progressive Financial HR capital Monitoring attitude standing investment
  6. 6. 16-POINT DECISION1. 4 principles – discipline, unity, courage and hard work2. Prosperity to the family3. Repair/construct own shelter4. Plant vegetables5. Plant many seedlings during planting season6. Responsible parenthood7. Self-support – child education
  7. 7. 8. Clean environment9. Pit latrines10. Potable drinking water11. No to dowry and child marriage12. No to violence and abuse13. Collective business undertakings14. Helping one another15. Restore discipline16. Collective social activities
  8. 8. BUSINESS MODEL INNOVATION Reversed conventional banking practice Social collateral approach Banking system based on mutual trust, accountability, participation and creativity Loan and life insurance and pension fund Loan provisioning Loans paid off at death Flexi-loan
  9. 9. CREDIT DELIVERY SYSTEM Exclusive focus on the poorest of the poor Borrowers organised into small homogeneous groups Special loan conditionalities suited for the poor Simultaneous undertaking of social development agenda Design and development of organization and management systems Expansion of loan portfolio to meet the needs of the poor
  10. 10. BUSINESS PROCESS IMPROVEMENT Custom-made credit service Repayment scheme and exit options Assistance programs Capacity building Computerization
  11. 11. FIVE-STARS OF ACHIEVEMENT - 100% repayment record - earns profit - self-sufficient (more deposits than loans) - 100% Grameen borrowers’ children in-school or completed primary school - GB borrowers cross-over poverty line
  12. 12. 10-POINT INDICATOR1. Food2. Clothing3. Shelter4. Drinking potable water5. Sanitary latrine6. Adequate healthcare7. Basic education to children8. Minimum weekly loan installment ≥ 200 Tk.9. Other sources of income10. Annual savings of Tk. 5,000
  13. 13. CURRENT STATUS 68% of GB borrowers have crossed the poverty line March 2011  8.36 million borrowers = 97% women  2,565 branches = 22,289 staff  servicing 81,379 villages = 97% villages  over Tk 622.26 B (US$10.52B) disbursed  88.74% repaid; 97.26% loan recovery rate  100% loans financed from GB deposits
  14. 14. GRAMEEN BANK-CREATED COMPANIES Grameen Fund Grameen Krishi Foundation Grameen Motsho (Fisheries) Foundation Grameen Kalyan (well-being) Social Advancement Fund
  15. 15. GRAMEEN FAMILY OF ENTERPRISES Grameen Trust Grameen Communications Grameen Shakti (Energy) Grameen Telecom Grameen Shikka (Education)
  16. 16. GRAMEEN FAMILY OF ENTERPRISES Grameen Baybosa Bikash (Business Promotion and Services) Grameen Phone Grameen Solutions Grameen CyberNet Limited Grameen Knitwear Limited
  17. 17. AWARDS AND RECOGNITION 1989 Aga Khan Award for Architecture 1993 King Baudouin International Development Prize 1994 Bangladesh Independence Day Award 1994 Tun Abdul Razak Award 1997 World Habitat Award 2000 Gandhi Peace Prize 2004 Petersberg Prize 2006 Nobel Peace Prize
  18. 18. LEARNINGS Giving the poor alms rob them of their dignity. Let them work for every penny and you have given them life and light and have them recover their dignity as human beings. All we are, are poor. All we need, are opportunities and trust, a new lifeline, that’s what loving in the eyes and image of Christ is all about.
  19. 19. pamisaupanuling maulaga at paulaga ya ing tau
  20. 20. REFERENCES Based on the articles, information, data and images provided for in its website, Photos and images were sourced from google and Youtube images, ure_gallery/05/south_asia_bangladesh_sur vey/html/7.stm,
  21. 21. THANK YOU! Atty. Vivian T. Dabu Entrepreneurship July 8, 2011 Ateneo-Regis, AGSB Clark