GRAMEEN KOOTA

  • Location:  Bangalore, Karnataka, India
  • Started microfinance operations:  May 1999
  • Unitus Partnership Start Date:  April 2005
  • Clients when partnership began:  20,700
  • Current clients served:  281,853


Website: www.grameenkoota.org

Background: Grameen Koota was founded in 1999 by the T. Muniswamappa Trust as a Grameen Bank replicator. Their mission is to empower the poorest families and provide financial services to entrepreneurial women in the south Indian state of Karnataka. Grameen Koota is poised to make a significant social impact in Karnataka state, as less than 1 percent of the 5.2 million potential borrowers are currently served by microfinance institutions.

Grameen Koota - Vinatha ReddyLeadership: Grameen Koota is led by its founder and CEO, Ms. Vinatha Reddy.

Our estimates show that if they had access, almost 3.5 million poor in Karnataka could leverage microfinance services to enhance their income and help feed their families, send their children to school, and obtain proper healthcare. With Unitus’s involvement, we plan to address that demand.

Product offerings and clientele: Grameen Koota offers a variety of financial services, including microcredit loans and insurance products. Grameen Koota focuses on the poorest of the poor; most of their clients earn less than $133 annually. A high percentage of Grameen Koota clients use their loans for animal husbandry, trading or agriculturally-based businesses, and some also use loans to increase their access to hygienic water and sanitation. Grameen Koota also offers locally-based Credit Plus workshops which include training in health, literacy, and business development.

Highlights and growth strategy: Disciplined credit processes, impressive growth, and near-perfect repayment rates make Grameen Koota a strong partner for Unitus. During their first 4 years of operation, Grameen Koota grew an average of 233 percent per year. Through their partnership with Unitus, Grameen Koota believes they will grow to 500,000 clients by FY 2009.

Grameen Koota - NazimunisaMeet a Grameen Koota Client: Nazimunisa Nazimunisa came from a family of daily-wage laborers. In the last 6 years, she has taken out five loans (averaging about $150 each) and started three successful businesses. With profits from these businesses, she hopes to buy a new home and send her daughter (left) to college.

> Read Nazimunisa’s full story

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