How access to finance can reduce poverty

Finance Matters – A fortnightly column by IFMR Finance Foundation in The Hindu Business Line will explore ways in which the power of finance can be unlocked for improving the wellbeing of millions of households. Starting the series from today, Dr. Nachiket Mor and Bindu Ananth have penned the first article.

Excerpt:

Poverty can be seen in many ways. One aspect that is of specific interest to us is the poverty of income, characterised by the inability of the family to afford the bare necessities of life, and a sense of complete loss of control over its future. A vast majority of our fellow citizens live such lives; they spend most of their time struggling to cope with the present, with little or no strength to dream and plan for a better future for themselves and their children.

If we look closely at the life of a hardworking family, we will find that despite every member putting in enormous effort, if somebody falls ill or the rain fails, all of this hard work is brought to naught. What if a breadwinner dies unexpectedly at the prime of his or her life — where will the money to keep the children in school come from?

Read the full article here.