MFIs in Andhra Pradesh are paying for the sins of their past. Market for new loans has dried up, banks have turned off their spigots while the AP government is content to sit back and watch. It has been eleven months since the Andhra Pradesh government issued an ordinance—later converted into the Andhra Pradesh Micro-Finance Institutions (Regulation of Money Lending) Act—which, the microfinance industry hoped, would be the magic remedy that...

CGNet Swara in Chhattisgarh is a mobile radio platform that has helped bring tribal issues to national attention. MAHADEV SINGH, a Baiga tribal person, hails from a village situated atop a forested hill near Bilaspur, Chhattisgarh. While most of the neighbouring villages are electrified and welfare schemes from the government reach them to an extent, Mahadev's village has lost out in this regard owing to its inaccessibility. Mahadev and his...

-The Economic Times   The government has amended its landmark Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) to ensure that beneficiaries receive wage entitlements under the Act within 15 days through institutionalised channels, like banks and post offices. The amendment to Schedule II of the MGNREGA now makes it mandatory under the law for state governments to ensure that every beneficiary has a bank or post office account and the disbursements...

The Centre is likely to ask states to devote 2% of the funds allocated to them under its flagship rural employment guarantee scheme for providing easy banking services to the rural poor. A funding crisis had hit the government's earlier effort to leverage the banking correspondent, or BC, model for the beneficiaries of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) after banks refused to bear the cost of...

Experts at a discussion on "Two decades of economic reforms: The way forward", organized by CII, Bihar state centre, said the economic reforms had not lessened the urban-rural divide; hence rural people could not generate substantial demand in the economy, though the savings rate enhanced in the last two decades. Director, Asian Development Research Institute, P P Ghosh, said the savings rate had increased from 12% in 1951 to 35%...