Recent events in south Asia have led to an unexpected reversal in the narrative of microfinance, long presented as a development success. Despite charges of poor treatment of clients, exaggeration of the impact on the poorest as well as the risks of credit bubbles, the sector can play a non-negligible role in reaching financial services to low-income households. In regulating the sector, there is need for caution in setting interest...

At BANCON (annual bankers' conference) 2011 in Chennai, financial institutions explored avenues for greater participation in agriculture and rural development. There are a few areas in need of additional attention and investment. Green Revolution technologies are scale-neutral but not resource-neutral. Inputs are needed for output; therefore market-purchased inputs become important in providing soil and plant healthcare for higher yields. Social scientists point out that small and marginal farmers will be excluded...

-The Hindu Business Line   The Rural Development Minister, Mr Jairam Ramesh's proposal to amend the law on minimum wages to permit a lower wage for employment under the rural jobs scheme (Mahatma Gandhi National Rural Employment Guarantee Act or MGNREGA) makes practical sense. The Karnataka High Court ruled recently that wages set under MGNREGA cannot be independent of the MWA. Effectively, it means there can be no such thing as an...

The members of Bhartiya Kisan Union on Tuesday threatened to take a six-month holiday every year for 10 years from framing if the government fails to take note of the hardship faced by farmers over rising prices and acquisition of farm land for commercial activity. Rakesh Tikait of Uttar Pradesh said with increasing input costs, farmers were finding it difficult to cultivate round the year. “If the government does not pay...

The National Food Security Bill, 2011, designed to make access to food a legal right, is the last chance to convert Gandhiji's vision of a hunger-free India into reality. What Mahatma Gandhi said of the role of food in a human being's life in a 1946 speech at Noakhali, now in Bangladesh, remains the most powerful expression of the importance of making access to food a basic human right. Gandhiji also...