E-Bulletin: Research - September 2011

MicroSave conducted a study on the relative risk to the savings of poor to understand client perception of the risks faced by low-income households when they choose their savings options. It was conducted in three states in India, Uttar Pradesh, Rajasthan and Tamil Nadu.

The research shows that low-income households use a variety of different savings avenues:

- Formal means, such as bank accounts, post office, and deposit-taking NBFCs

- Semi-formal avenues such as self-help groups; and

- Informal avenues such as savings in jewellery, agriculture, business, chit funds and livestock.

All avenues associated with the government such as banks, post office and LIC policies are highly trusted. However, respondents seem to have personally experienced or are aware of many frauds done by agents. Thus, avenues which are largely dependent on agents for service delivery are perceived with suspicion and considered least trustworthy.

Can Bank-led Models Really Deliver on the Promise of Mobile Money?  

(BN # 100) by Graham A.N. Wright, Shivshankar V.

Branchless Banking Update: Should We Bank on Phones or the Post? 

(BN # 98) by Ann-byrd Platt

The Business Case for Branchless Banking: What's Missing?  

(BN # 97) by Ann-byrd Platt

Measuring Willingness to Pay  

(BN # 96) by Akhand Tiwari and Minakshi Ramji

Relevance of Customer Service Post the Andhra Crisis

(IFN # 74) by Soumya Harsh Pandey and Aanchal Piplani

Clients' Willingness to Pay "Reasonable Fee" for BC Services

(IFN # 67) by Akhand Tiwari, Sachin Bansal and Vartika Shukla

Revival: Responding to High Dormancy Levels in No Frills Accounts 

(IFN # 62) by Anjaneyulu Ballem and Sachin Bansal

Tapping the Underserved: Formal and Semi-Formal Financial Institution Partnerships 

(IFN # 53) by Jitendra Balani and Anup Singh

Characteristics of Mumbai Microfinance Market 

(IFN # 50) by Sunil Bhat, Anant Jayant Natu, Ravi Kant and T.V.S. Ravikumar

Potential for E-/M-Banking Enabled Migrant Remittances 

(IFN # 29) by Nitin Garg, Krishna Thacker, Venkata N.A., Sachin Bansal and Graham A. N. Wright

Exploring Domestic Remittances as a New Line of Business for Indian MFIs 

(IFN # 28) by Soumya Harsh Pandey and Vartika Shukla

Migrant Remittances - An Untapped Market 

(IFN # 27) by Krishna Thacker, Graham A.N. Wright, Nitin Garg, Venkata N.A. and Sachin Bansal

MicroSave conducted a study on "Optimising Agent Network" an objective to explore possible service channels preferred by clients, and understand the suitability of these channels/networks for the delivery of financial services (through the Business Correspondent model). This research was conducted in two states, Gujarat and Uttar Pradesh with potential clients and agents for a holistic perspective.

The research shows most respondents value long-term residency, property ownership, and honesty of BC agents than their type of shop or occupation. A majority of the retailers interviewed believe that BC services can provide additional income and potentially more business. But, they worry about the time and expertise required for bank transactions mainly with regard to sensitivity of certain transactions in a shop with minimal privacy, and the additional customer support necessary for troubleshooting. They also expressed ambitious targets for opening new accounts will be difficult in areas where financial inclusion efforts have already proved successful. Distributors seem generally positive about the proposed service, but are also concerned about their retailer's ability to manage the normal demands of business, plus complex financial transactions and possible disputes.

MFP 119. Stuart Rutherford: Listening to Clients: a Market-led Approach

Stuart Rutherford is the founder of SafeSave, a microfinance institution in Bangladesh and author of the books The Poor and their Money and Portfolios of the Poor. Rutherford talks about the importance of listening to clients.

MFP 110. Daryl Collins: "Portfolios of the Poor". Part 2

MFP 109. Daryl Collins: "Portfolios of the Poor". Part 1

MFP 104. Yaw Nyarko: Portfolios of the Poor

MFP 100. Stuart Rutherford: "Portfolios of the Poor". A conversation with Graham A.N. Wright. Part 4

MFP 099. Stuart Rutherford: "Portfolios of the Poor". A conversation with Graham A.N. Wright. Part 3

MFP 098. Stuart Rutherford: "Portfolios of the Poor". A conversation with Graham A.N. Wright. Part 2

MFP 097. Stuart Rutherford: "Portfolios of the Poor". A conversation with Graham A.N. Wright. Part 1