Trixi.com
03-04-2005, 22:52
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Changing lives: 'Rickshaw Bank' creates jobs for youth
http://www.ndtv.com/images/features/rickshawbank.jpgBano Haralu
Friday, March 25, 2005 (Guwahati):
Guwahati's rickshaw pullers have benefited from the 'Rickshaw Bank', a scheme started in November last year by non-government organization Centre for Rural Development.
The idea behind Rickshaw Bank is to purchase rickshaws and lease them to unemployed youth.
Helping hand
Each day a small fraction of the revenue earned by these men is returned to the bank. Over a period of a year, the daily payments meet the cost of the rickshaw.
"I had taken 200 sample random surveys around Guwahati and came to know that 95 per cent of the rickshaw pullers always hire the rickshaw. They don't own it," said Pradip Sarmah, Executive Director, Centre for Rural Development.
Sarmah explained the idea that inspired the scheme to transfer ownership to individuals plying the rickshaws.
Under the scheme, rickshaw pullers make a daily payment that is not considered as rent but as repayment.
"After four months this rickshaw will be mine. Now I can earn in half a day what took me a full day to earn," said Pradip Kalita, a rickshaw puller.
Corporate role
With banks hesitant to extend credit to the poor, the NGO approached the corporate sector.
ONGC, IOC and Hindustan Lever agreed to fund 200 rickshaws at Rs 7,000 each in return for getting advertisement space on the rear of the rickshaws. These companies also got a 100 per cent tax exemption for donations to the project.
This fund raising concept was adjudged one of the best concepts during Ashoka's Base Investment 2003. It has further developed to include insurance cover for the rickshaw, the driver and two pillion riders.
"A rickshaw puller is insured for Rs 50,000, the rickshaw for Rs 7,000 and two pillion riders for Rs 25,000," said Sarmah.
The new look and unique credit delivery system of the Rickshaw Bank is proving to be a winning combination. It has even created employment in ancillary units such as tailoring, garages, welding and fittings.
There are now requests from other parts of the state for the Rickshaw Bank to be set up.
Changing lives: 'Rickshaw Bank' creates jobs for youth
http://www.ndtv.com/images/features/rickshawbank.jpgBano Haralu
Friday, March 25, 2005 (Guwahati):
Guwahati's rickshaw pullers have benefited from the 'Rickshaw Bank', a scheme started in November last year by non-government organization Centre for Rural Development.
The idea behind Rickshaw Bank is to purchase rickshaws and lease them to unemployed youth.
Helping hand
Each day a small fraction of the revenue earned by these men is returned to the bank. Over a period of a year, the daily payments meet the cost of the rickshaw.
"I had taken 200 sample random surveys around Guwahati and came to know that 95 per cent of the rickshaw pullers always hire the rickshaw. They don't own it," said Pradip Sarmah, Executive Director, Centre for Rural Development.
Sarmah explained the idea that inspired the scheme to transfer ownership to individuals plying the rickshaws.
Under the scheme, rickshaw pullers make a daily payment that is not considered as rent but as repayment.
"After four months this rickshaw will be mine. Now I can earn in half a day what took me a full day to earn," said Pradip Kalita, a rickshaw puller.
Corporate role
With banks hesitant to extend credit to the poor, the NGO approached the corporate sector.
ONGC, IOC and Hindustan Lever agreed to fund 200 rickshaws at Rs 7,000 each in return for getting advertisement space on the rear of the rickshaws. These companies also got a 100 per cent tax exemption for donations to the project.
This fund raising concept was adjudged one of the best concepts during Ashoka's Base Investment 2003. It has further developed to include insurance cover for the rickshaw, the driver and two pillion riders.
"A rickshaw puller is insured for Rs 50,000, the rickshaw for Rs 7,000 and two pillion riders for Rs 25,000," said Sarmah.
The new look and unique credit delivery system of the Rickshaw Bank is proving to be a winning combination. It has even created employment in ancillary units such as tailoring, garages, welding and fittings.
There are now requests from other parts of the state for the Rickshaw Bank to be set up.