CONTENTS 1-Introduction 1 2-Role Of Refinancing Institutions And Banks 20 2.1 Banking Financial Institutions 20 2.1.1 Banking financial institutions (SIDBI & NABARD) 20 2.1.2 Non-Banking Financial Companies - Ananya Finance for Inclusive Growth 2.2 Equity Investment By Banks In Microfinance 21 2.3 Regional Outreach Of MFI's 22 2.4 Microfinance Penetration & Poverty Penetration Indexes 23 2.5 Bank lending to MFI's 24 2.6 Banks and Priority Sector Lending 24 2.7 Micro Level Study-Assessment Of Outreach Of Microfinance & Its Impact On Poverty Alleviation 29 2.7.1 Procedure For Microfinance Delivery As Observed In The Field 29 2.7.2 Products And Interest Rates Offered By Arman Financial Services 31 2.7.3 Process Of Group Formation And Loan Disbursement 31 2.7.4 Exclusion Of The Poorest, Marginalised And Vulnerable- Findings From The Field 32 2.7.5 Opinion Of Borrowers On Local Money Lenders 34 3.0 Policy Regulations In The Sector 35 3.1 The Changing Face Of Contemporary Microfinance 35 3.2 The Andhra Pradesh Crisis 37 3.3 Key Recommendations Of The Malegam Committee 39 3.4 Highlights Of The Microfinance Institutions (Development And Regulation) Bill 2011 43 4.0 Way Forward-An Improved Model of Microfinance delivery 44 4.1 Defining Poverty - A Crucial Aspect For Microfinance Service Delivery 44 4.1.1 The Participatory Rural Assessment (PRA) and Participatory Wealth Ranking (PWR) 47 4.1.2 Geographical Distribution of Poverty 47 4.1.3 Vocation 48 4.1.4 CASHPOR Housing Index 48 4.1.5 Challenges 49 4.2 MFI's and their Lending Pattern 50 4.3 Securitization of MFI's 53 4.3.1 Benefits for MFI's due to securitization 56 4.3.2 Major Securitization deals in 2011 57 4.4 Linking Uid With Microfinance 58 5.0 Summary and Conclusion 60 Appendix - I 62 Bibliography 70