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Speeches :

Eradicating Poverty is Rotary’s Concern 
Presidential Conference on Microcredit

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12th December, 2007, Chennai 

Putting poverty out of business is our concern.  Problems arise when poverty exists.  Problems arise when inequality between people exists. Problems arise when poor people seem to lose hope. 

India is probably a blessed country. Bound by the philosophy of ‘Dharma’ there has been no civil war in this country because of poverty and inequality in the distribution of wealth.  But we cannot push our luck too much too often. 

Everyone is affected by the problems of the poor.  The State has to spend more on healthcare and law and order.  The ordinary citizen has to encounter numerous problems with the have-nots.  All this can change if the poor are at least made to earn Rs.100 per day.  And this is not a dream.  If the Nobel Peace Prize Laureate Muhammad Yunus could establish a system of micro credit and run it efficiently in Bangladesh and help the beggars, it is time we replicated the system here.   

 This is exactly why RI President Wilf Wilkinson has identified micro credit as a thrust area of Rotary in alleviating poverty in many countries.  He has specially chosen India to conduct a Presidential Conference on micro credit and this is being held here at the Chennai Convention Centre at Chennai.  The host district is 3230.microcredit conference ashok mahajan

Ever since Md Yunus won the award, it has become flavour of season. Md. Yunus said “Previously no one used to listen when we used to shout. Now, the whole world hears us even when we whisper” 

Eradicating poverty is not the sole responsibility of the Government.  Rotarians have to fulfill it in their own way.  Poverty was not created by the poor.  They are the victims of a system.  Banks did not help a vast majority of the population and created a financial apartheid.  It is not the fault of the poor that they are not credit worthy.  Banks were not people worthy. 

Micro credit and the role of Rotarians has never been touched upon in a concrete manner and this Presidential Conference aims to bring together the people in the business of lending and those who want money and resolve the issue of poverty. 

Rotary International for the last ten years or so has started concentrating on Microcredit as an independent activity of social work. Previously though Rotary International used to grant funds under the 3H schemes, still these grants or aids have, by default and not by design, been a part of Microcredit activity. 

Some individual Rotary Clubs from Canada, South America and some parts of Africa have individually ventured into Microcredit but that too without it being an experiment rather than being a planned thought about Microcredit event.

Thus till 1990s , though funds for Microcredit were sanctioned and Microcredit  projects implemented, still there did not prevailed a structured uniform programme  and guidelines for venturing into such projects .  

However, in mid 1990s Rotary International recognized the power and effectiveness of Microcredit in alleviation of poverty and providing vocational training to under-privileged poor. Mainly Rotary International also realized the value of Microcredit in Empowerment of women, one of the thrust areas of Rotary. 

In December 2006, a few Rotarians from USA and Canada came together to start an Action group for Microcredit: Rotarian Action Group for Microcredit (RAGM) was formed and got approval from Rotary International in February, 2007.  

The aim of the group is to help Rotary Clubs around the world launch more Microcredit projects , in easier and faster way., with measurable results, and in a way that capitalizes on Rotary’s unique strengths .  

In the Rotary International Convention held at Salt Lake City in June, 2007, the Rotarian Action Group for Microcredit had held stalls, exhibitions and project booths, which received very positive response and attention towards the Group’s focus.

There has been a noticeable development in the micro finance sector in India of late ,  The credit should go to many NGOs and self-help groups who have taken the first step, If Vocational Service is the prime service area of Rotary, then it is time that Rotarians joined the movement to help in aiding the needy get the required finance from institutions and help them in identifying areas where they can put their skills to use, earn and also repay the debt. 

Keeping the poor out of the growing economy is not a humane idea.  In Bangladesh 80 percent of the poor have access to micro credit.  The social fabric in the country is being changed.  Erstwhile beggars are now owners of mini enterprises, leading a life of dignity.  With this change social problems are on the decline. 

Empowerment of the poor is the need of the hour and the vocational service projects of Rotary Clubs can be designed around this concept.  Rotary clubs can develop home-based workers who can do a variety of jobs.  Clubs can help in marketing these products, conduct local fairs and encourage artisans. 

The other day, I saw a heading in The Times of India, “ Bangladesh will be poverty free by 2030  ” Md. Yunus says “ By 2030, there will not be a single poor person in Bangladesh. And then, we wil build a museum , depicting poverty to show our next generation , how we were a few generations ago  ”

Rotary will always be known only for the good it does to the society and what better way can there be if we are able to reduce or eliminate  poverty in India. If it can happen in Bangladesh – why not in India ? 

I wish you all the best.

ASHOK MAHAJAN

DIRECTOR – ROTARY INTERNATIONAL

    


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