Presentation to the Members of the Roundtable on State of the Sector Report 2009 at

1. Presentation to the Members of the Roundtable on State of the Sector Report 2009 at Bankers Institute of Rural Development (BIRD), Lucknow Date : 29th August, 2009

2. WELCOME TOCENTRE FOR RURAL DEVELOPMENT (CRD)

3. CRD IS AN NGO • Registered under the Societies Registration Act of 1860 (Section XXI) in 1994-95 • Registered under the Income Tax Act - Section 12AA & 80 G • Registered under the Foreign Contribution Regulation Act of 1976

4. ACTIVITIES • Rickshaw Bank • VET-AID-CENTRE (VACs) • District Nodal Agency, ARIASP • SHGs Management • Rural Marketing • Networking & Strengthening The Voluntary Sector • Imparting Training • Food Processing Centre • Backyard Poultry Farming • Information Documentation Centre

5. MISSION To ensure sustainable livelihood for the poor families by using local resources and skill up gradation with community participation

6. Identified Problem Rickshaw Drivers - vulnerable and socially disadvantaged community (harassed, HIV-AIDS, exploited) No access to formal finance: 95 % hire rickshaw on high daily rental fee Below poverty line and without any social security 46% are illiterate 8 million such rickshaw drivers in India 5 dependence as an average Solutions • The Rickshaw Bank provides : • a newly designed rickshaw payable through a minimal daily installment • eventual ownership of the rickshaw, • insurance, uniform, licenses, a photo ID • training, health care, cooking gas etc.

7. Solution: Design Innovation • Rickshaw originally designed by IIT, Guwahati • Aero-dynamically designed thus lighter • More spacious • More attractive to clients • Comfortable for all age groups • Longer functioning life

8. An Asset: A Rickshaw • Income • Potential savings • Social security • Access to financial institutions Provide for families: • Insurance • Licenses • Photo IDs • Children’s schooling • Clothing • Cooking gas • Food cart • Eye/ Healthcare • Family planning • Uniform • Training • Maintenance • Meetings One Window Solution Provide for Drivers:

9. New initiatives Food cart for women entrepreneurship Door to Door garbage collection • HEALTH SUPPORT CELL • MICRO FINANCE CELL

10. Corporate Donors Financial Institutes (ONGC,IOC,HLL) (Care-India, AIF,MF) (SBI,ICICI,HDFC & PNB) Benefits: SPONSORS • Avenue for CSR • ‘Mobile’ advertisement facility at 96% cheaper rate for corporates • Flexible term options on advertising (1 month to 3 yrs) • Donors get 100% tax exemption • Donors can participate in the programme monitoring process • Support in a sustainable model • Create a Visible impact • Working towards millennium development goal (MDG) to bring people 2 USD income per day • Leveraging of funds to reach larger numbers • Participate with purely commercial terms • Getting the commercial return as per the prevailing terms • 100% repayment

11. Benefits: RICKSHAW DRIVERS • Bonafide membership of the Rickshaw Bank • Receive ownership of an income generating asset • Inculcates the habit of savings • Social security such as insurance coverage for both the rickshaw, the puller, the passenger (s) and the mediclaim facility. • Provided platform to work with dignity- norms, uniforms, photo I-cards • Getting health and eye care support • Subsequent loan

12. Operational Model • 5 Drivers constitute a group & 5 groups under one garage/ meeting point • Under each garage/meeting point cover 25 rickshaws and also provides repair facilities • Each garage/meeting point serves as the collection centre for the Drivers’ daily payment • Garage/meeting point are the creation of new entrepreneurship • Opening of new branches on a Franchise Model

13. Sustainable Community Development + Social Impact + Environmental Impact + Economic Impact The Results: Triple Bottom Line • Provides Better Health Services to the Rickshaw drivers and their Families • Brings Better Law and Order to the Community • Creates a Positive Work Environment • Enables Rickshaw drivers to Own Their Rickshaws • Increases Rickshaw Driver’s Income Levels and Standard of Living • Provides a Financial Resource for Rickshaw pullers • Creates Jobs for Youths • Improves Sales for Local Businesses and Corporations • Decreases Fossil Fuel Emissions from Auto Travel • Increases the Use of Environmentally Friendly Cooking Fuel

14. The Results: Impact on Stakeholders • Increases standard of living • Healthcare benefits • Clothing • Proper cooking fuel • Improves law and order • Less corruption • Better documentation through availability of licenses • Safer roads • Additional revenues • Rickshaw ownership and higher income • Safer work environment through well engineered rickshaws and insurance • Health care benefits and education • Support network through discussion forums and peer groups • Pride and confidence within the rickshaw driving business • Larger consumer market • Job creation • Builds goodwill in the community • Larger consumer market • Effective and less expensive advertising • Tax incentives and 100% donor efficiency • Better investment opportunity • Less polluted environment • passenger insurance • Jobs for youths

15. Cost Breakup of the Unit Amount recovered from each Rickshaw Puller Rs. 13,000/- @ Rs. 25/- EDI for 520 days for a maximum period of 18-24 months Average receivable Rs. 5000/- per rickshaw per year from the corporate advertisements till Rickshaw is owned by the RB and than 35% of the amount per year once Rickshaw is owned by the Pullers

17. Inauguration of Rickshaw Bank NOVEMBER 20, 2004 AT GUWAHATI, ASSAM Corporate representatives flag off the Rickshaw Bank

18. Partnership with AIF Phase - I Scaling up of the Rickshaw Bank project is supported by AIF for Guwahati as well as Noida. The capacity building support for the expansion and bank linkage support is sponsored by AIF. Phase – II For further scaling up AIF supported in expansion of more three new cities in partnership model. The operational cost of the new partners, hand holding cost of RB and FLDG is provided in this new phase of expansion.

19. Rickshaw Bank at Agartala The Rickshaw Bank at Agartala was inaugurated by the Chief Minister of Tripura, Mr. Manik Sarkar in presence of Rural Development Minister and CGM, State of India on 26th July, 2006

20. PARTNERSHIP WITH CARE-INDIA Replication of the Rickshaw Bank has been initiated at Chennai in partnership with CARE- India to support 200 rickshaws for the Tsunami victims

21. Rickshaw Bank at Chennai Rickshaws are released on Chennai Road on August 24, 2006

22. A new initiatives is initiated at Surat by providing Hath Lorry (Hand Cart) with all other components of the Rickshaw Bank. The formal launching was organized on June 3, 2007 at Surat. New initiatives at Surat

23. Partnership with PNB & AIF A tripartite partnership model is agreed upon to replicate the Rickshaw Bank model in 100 cities with 1000 rickshaws in each city. A CBO/ VO/ entrepreneur be identified and engaged as a partner to implement the project. Each Rickshaw Driver open their No Frill Account in the respective branches. FLDG provided by the AIF.

24. Launching at Varanasi, Allahabad & Lucknow The national launching of the programme was launched by its Former CMD Dr. K. C. Chakrabarty in presence of the Executive Director, AIF Mr. Pradeep Kashyap

25. Research and Development • Initially IIT Guwahati assisted in R&D of Rickshaw Bank Project. • Existing full-fledged workshop at Guwahati for R&D process under the supervision of Mechanical Engineer with the support from DST, GOI. • Signing of MOU between IIT Kharagpur & CMERI.

26. Glimpses of workshop

27. Different carts

28. Different carts

29. Collaboration with the Department of Science & Technology, GOI To replicate the Rickshaw Bank idea in 80 districts through promotion of new entrepreneurs in 16 states Collaboration with MIT, Boston Design Innovation for Slow moving vehicle for India Other Collaboration

30. Recognition The Rickshaw Bank won The Citizen Base Investment Award 2003 for its concept at National Stock Exchange Building, Mumbai in November, 2003. IIM, Bangalore selected Rickshaw Bank project under their Microfinance Incubation Programme, during November – December, 2005. The Change makers Innovation Award Competition: Market-Based Strategies that Benefit Low-Income Communities at National Press Club, Washington on April 5, 2006. The Micro Finance Process Excellency Award, 2006 at New Delhi on April 7, 2006 given by the Planet Finance and the ABN Amro Bank. The Rickshaw Bank has got its recognition in the Limca Book of Records as First Rickshaw Bank under the business section in 2006.

31. Srijan 2007 Microfinance Business Plan Competition 3rd Prize at Hyderabad on April 25, 2007.One of the finalist of the Micro Insurance Awards, 2007 at Hyderabad on July 27, 2007Asian Innovation Awards, 2007 at Singapore on 13th November, 2007.The Assam Chief Minister’s Best Community Action Development Award, 2008 on August 15, 2008India NGO Award, 2008 for the medium category from the Eastern RegionRickshaw bank also awarded as Best Innovative Project of the year, 2008

32. SOLECKSHAW A SOLUTION FOR ECO-FRIENDLY TRANSPORT • Motorised assistance Rickshaw • - motor to run on battery, • - battery to be charged with “solar energy” The former Union Minister of Science & Technology and Earth Sciences, Shri Kapil Sibal and the Chief Minister of Delhi, Smt. Sheila Dikshit launched the “Soleckshaw” solar operated cycle rickshaw, at Chandni Chowk on October 2nd, 2008

33. CONTACT US Dr. Pradip Kumar Sarmah (Ashoka Fellow, India) Executive Director, CENTRE FOR RURAL DEVELOPMENT (CRD) Dewan House, Zoo Narengi Road, Guwahati- 781 021, Assam, Phone : +91-361-2228281 (O) Skype: PRADIP1963 E-mail:crd4ev@yahoo.com/ pradipsarmah@hotmail.com Website: www.crdev.org REGIONAL OFFICE : D-41 (First Floor) Sector- 27, Noida- 201301, UP, India Phone : 0120-2591436 / 4320703 Mobile: +91 9818863727