Post on 23-Jan-2023
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PAT
People’s Action for
Transformation
Annual Report
2016-2017
No. 4, A-Block, St. Paul’s Complex, Bharathiar Salai, Trichy –
620001 Phone and Fax: 0431 2413434 E-mail: pattrust@patgroup.org
Web: www.pattrichy.org
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Vision
PAT aspires to be a sustainable
organization, empowering the urban
and rural poor, economically and
socially irrespective of caste and creed
Mission
To enable the urban and rural poor
attain sustainability, by creating
livelihood opportunities through
delivery of microfinance and related
support services, by fair and
transparent systems
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CONTENTS
1. PAT- General Information 4
2. Organizational Milestones 6
3. The Leadership 7
4. Introduction 8
5. Digital Economy and Financial inclusion.
6. SHG Financial Inclusion 9
7. Women Empowerment for social transformation 9
8. Microfinance and Women Empowermet 10
9. PAT IN 2016-2017 11
10. PAT Profile 11
11. Portfolio Distribution 12
12. Utilization of Loans 12
13. Efficiency Analysis 13
14. Funding Partners 13
15. Development Programs 15
16. Child Development Error! Bookmark not defined.
17. Education Empowerment 16
18. Employability Skill Training 17
19. Healthcare Program 18
20. Eco-friendly Program 18
21. Marching On... 18
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PAT- General Information
NAME OF THE ENTITY
PEOPLE’S ACTION FOR TRANSFORMATION (PAT)
REGISTERED OFFICE
No. 4, A-Block, 1st Floor, St. Paul’s Complex, Bharathiar Salai, Trichy Corporation, Trichy District, Tamil Nadu – 620001
CONTACT DETAILS
Phone/Fax : 0431 – 2413434 Email : pattrust@patgroup.org Web : www.pattrichy.org
REGISTRATION STATUS
Legal Status : Registered under the Indian Trust Act Reg. No. & date : 107/97, 02/05/1997 Tax Exemption : Registered under 12A FCRA No & date : 076040280; 28.09.2001 Details of PAN : AAATP4968N
FUNDERS OF PAT
1 Ananya Finance for Inclusive Growth Pvt. Ltd, India. 101, Sakar I Building, Opp. Gandhigram Station, Ashram Road, Ahmedabad
AAhmadabad – 380009.
2 Maanaveeya Development and Finance Pvt. Ltd.
Plot No. 197, Prasasan Nagar, Jubilee Hills, Road No.72, Hyderabad – 500
033
3 Indian Overseas Bank Cantonment Branch, Trichy – 620 001
4 State Bank of India. Kumbakonam Bazaar Branch, Tanjore District - 612001
5 NABKISAN Finance Limited. Ground Floor, NABARD TNRO, Building. No.48, Mahatma Gandhi Road,
Nungambakkam, Chennai – 600 034.
6 Micrograam Social Development Foundation. 427, 5th Cross, J P Nagar III Phase, Bangalore - 560078
7 ICICI Bank (BC Model)
8 IDBI Bank Limited. (BC Model)
9
Karur Vysya Bank, Cantonment Branch, Trichy
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From the President,
Warm greetings from the People’s Action for
Transformation.
Living and working in a momentous time in
the economic history of India, I consider it a
great privilege to present this report to the
board, partners and well-wishers. We are
proud to be part of a great movement that is
underway in India. NABARD’s Status of
Microfinance in India 2016 – 17 has noted
that India’s ‘SHG - Bank Linkage Programme is
the largest microfinance programme in the
world because of its sheer size and population
it touches’. It is ‘the most widely participated
developmental programme in the country and
perhaps in the world for the large number of
channel partners, their grass root workers,
Govt agencies and banking outlets involved.’
The fiscal that we have just crossed has been
quite eventful for the microfinance sector in
India. Despite the demonetisation of Specified
Bank Notes adversely affecting the
institutional credit flow to SHGs across India
and slackening the microfinance business, PAT
was able to do well by achieving its highest
portfolio of ₹ 57.4 Crores - thanks to the
unqualified support of the SHG members and
diligence of the staff team.
PAT has steadily progressed in the areas of
women and child development, and financial
inclusion since 2 May 1997, the day of its
registration as a Trust. Various programs
directed towards women empowerment,
child development and youth career
advancement enabled PAT to make positive
contributions to the society. The next year the
trust commenced organizing women around
SHGs for enhancing their leadership and
administrative capacities through discussions,
decision-making and management of their
own groups. PAT also facilitated training and
development of their occupational skills
leading them to be resourceful micro
entrepreneurs. In 2000 the Tamil Nadu
Corporation for Development of Women
came alongside PAT to provide bank linkages
to SHGs formed by PAT, a great step forward
in facilitating the door-step availability of
credit to the marginalized besides breaking
the monopoly of informal financiers.
We undertook our 4th rating this year to
evaluate our standing as a business house and
M-Cril awarded us with β+ rating. Though this
is appropriate for our stage of growth, it also
challenges to be vigilant in upgrading our MIS
systems and processes. The MFINESSE for
managing MIS is now integrated in the
organization.
Commencing direct remittance of loans to the
individual beneficiary account through NEFT
transfer became a reality this year. Besides
reducing the footfalls in the branch, this has
made funds transfer quicker, safer and
transparent. Similarly, we have streamlined
the technological essentials of the BC model
that we have successfully been running for
the past three years in a row. We have
expanded our partnership base and have
added United India Insurance Ltd and LIC to
further extend the insurance service to our
members.
PAT has also continued the environmental
protection sensitisation, child development
efforts where we provide them with
complementary education and the skill
development projects for young people. I
present this report with a deep sense of
gratitude to the almighty.
Thank you,
President
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Organizational Milestones:
1998 - Towards women empowerment, starts forming Self Help Groups (SHGs)
2000 - Starts SHGs Bank-Linkage Programme in association with Tamilnadu Corporation for Development of Women Limited.
2003 - Commences direct lending through its Micro Finance Programme with the help of fund received from Ananya Finance for Inclusive Growth Pvt. Ltd., Ahmedabad
2006 - Adds one more funding partner, M/s. Maanaveeya Development and Finance Pvt. Ltd, Hyderabad
2008 - Agreement with Birla Sunlife Insurance Co. Limited for insurance cover for SHG members
2009 - 1st Rating done by M-Cril with “Beta” grading
2009 - Commercial banks like Indian Overseas Bank and State Bank of India start funding
2010 - Karur Vysya Bank extended their term loan
2010 - Installed a software called “mFinesse” supplied by Penta Software House to handle the Loan Processing and Loan Tracking
2010 - 2nd Rating was carried out by M-Cril with “Beta Plus” grading
2010 - Second Loan from Indian Overseas Bank
2012 - Indian Overseas Bank and State Bank of India gives further loans.
2012 - As a sub-aggregator of ESAF Micro Finance and Investments Pvt. Ltd, Kerala started distributing NPS-Swavalamban, the Government of India, Old age social security Scheme.
2012 - Partnering with Bajaj Allianz Life Insurance Company Limited for availing insurance by its clients
2013 - Becomes Business Correspondent for IDBI Bank Ltd.
2013 - 3rd Rating was carried out by Crisil who awarded “mfR5” grade
2014 - Micrograam Social Development Foundation, Bangalore based Agency started lending to SHGs for the purpose of consumer durables
2014 - NABKISAN Finance Limited sanctioning a term loan to Activity Based Groups
2014 - Partner with Mahindra Old Mutual Life Insurance Limited for insurance coverage.
2014 - Started its Clean Energy Initiatives
2015 - Partners with United India Insurance Company Ltd for livestock coverage
2015 - Starts the information technology process for BC automation.
2016 - Adds LIC of India as another partner for insurance coverage.
2016 - All the branches are equipped with security alarm (online), as a measure of increasing safety.
2016 - 4th Rating was carried out by M-Cril with “Beta Plus” grading.
2016 - Achieved the highest portfolio of Rs:57.4 Crores despite de-monetization impact.
2017 - Cashless transaction in disbursement of loan to members to their individual account is achieved.
2017 - Software has been upgraded for handling BC operations. The entire portfolio is handled in a standardized single software enabling us to have the consolidated reports for smooth proceedings.
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The Leadership Mr. R. Stephen Francis Xavier: He is the president of the Trust as well as the Chief Functionary for the Microfinance operations. He has several years of experience working with NGOs and has
training in MFI governance, Financial Management, Internal Audit and Controls, Microfinance Literacy, Micro enterprises development, Accounting and Auditing standards.
Mr. H Regis: The secretary of PAT Trust, is a businessman keenly interested in the community development activities of the organization. He was instrumental in building relationships and raising support for the CDP programs.
Dr. V.Iyappan Shankar: He is an executive board member of PAT and has been overseeing the Child Development Project of PAT. He has been especially
instrumental in mobilizing funds from the commercial banks.
Ms. A.X. Anne Jose Patricia: She manages the finances of the Microfinance operations. She is a resource person for PAT and has been trained through various Microfinance related workshops.
Mr. R. John Rajasekaran: A tax consultant by profession, Mr John provides advice in matters related to internal audit and controls.
Mr. S. Joel Mecir Roy, B Tech. Chief Operating Officer: The erstwhile Head of the Asset Optimisation team of Vedanta Ltd., he has qualified himself as an auditor for Asset Optimization. He has brought in his skills and experience to play in the operations of the organization.
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INTRODUCTION “She considers a field and buys it; out of her
earnings, she plants a vineyard.
She sets about her work vigorously; her arms
are strong for her tasks.
She sees that her trading is profitable, and
her lamp does not go out at night.”
Hebrew proverb, c. 1000 B.C.
The vision of an enterprising and emancipated
woman has delighted people’s mind from
time immemorial. In the recent times,
Muhammad Yunus, the Bangladeshi social
entrepreneur, civil society leader and Nobel
laureate, pioneered the microfinance
intervention among the underprivileged
women in his country. He demonstrated that
the hidden talents, capacities and
entrepreneuring spirit of rural women could
be unleashed by placing in their hands the
power of finance. Subsequently, Individuals,
NGOs, Corporate and Governments, having
seen the immense possibilities of this new
social revolution, have taken this concept of
microcredit and microfinance forward in such
a great way that now globally there has been
a ‘no turning back’ from the practical women
empowerment that he set in motion.
NABARD’s current Microfinance Status report
notes that microfinance “...act as an
important conduit for extending financial
services to ... individuals or members of
SHGs/JLGs”. The report further notes that, “...
the quantum of credit made available to the
poor and financially excluded clients has gone
past ₹. 60, 000 crore and number of clients
benefitted is close to 40 million as of March
2017”. Concerning the partners engaged in
promoting SHGs there are more than 100
Scheduled Banks, 349 District Cooperative
Central Banks, 27 State Rural Livelihood
Missions and over 5000 NGOs. The report
notes that ‘MFIs are more aggressive and
innovative in reaching out to the rural poor
with well-oiled distribution channels as
compared to the formal banking system ...’,
It is evident that the microfinance sector in
India has shown unprecedented growth over
the past two decades. Despite its teething
troubles, regulatory hitches and incessant
economic turbulences, the microfinance
scene continues to have a promising future in
India. Though the lending operations of many
MF institutions were adversely hit due to the
demonetization of SBN( Specified Bank Notes)
declared on 8 November 2016 PAT was able
to serve its clients without let or hindrance in
this financial year. The twenty years of PAT’s
involvement in nation building, through
community transformation activities, has
been quite rewarding.
It is with confidence that PAT continued its
child development, women empowerment
and skills development for youth. SHG-
Microfinancing based financial inclusion
programme continued to be the centre of PAT
programs this year as well.
DIGITAL ECONOMY AND
FINANCIAL INCLUSION
Within a span of the past 20 years,
telecommunication services underwent two
revolutions in quick succession – landlines
gave way to mobile feature phones in the
early 2000s and smart phones almost
replacing the feature phones. The universal
access to telecommunications and rapid
advances in digital payment systems has
created opportunities to connect poor
households to affordable and reliable financial
tools through mobile phones and other digital
interfaces.
The government of India is attempting to
effect financial inclusion through the three-
pronged strategy using digital technologies
called JAM (Jan Dhan (banking), Aadhar
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(biometric identity) and Mobile (transactions).
The, biometric based ‘Aadhar’ now facilitates
KYC compliance as well as authenticate
financial transactions. Technology now effects
quick payment infrastructure – like online
payments and mobile wallets. In addition to
saving the cost and time of services and
facilitating savings by bypassing liquid cash,
digital services help to track fund flows,
reduce theft and corruption and through
direct remittance places the cash exclusively
in the hands of those who deserve it.
Computer based automatic reminders
received digitally helps people to take
appropriate action concerning their credits.
PAT has been quick to respond to these
developments by embracing digitalisation for
financial inclusion. Besides implementing cost
effective MIS systems that has simplified and
quickened loan transaction process, PAT
transfers the loans of all PAT beneficiaries to
their accounts through NEFT. We are
constantly seeking to upgrade the technology
to facilitate the best and quickest possible of
services to the clients.
SHG FINANCIAL INCLUSION SHGs, being self-governed and peer-
controlled informal fellowships of socio-
economically homogenous families have a
significant role in poverty alleviation.
Interacting with other women in the group
and resource persons members acquire
knowledge, awareness and motivation. SHGs
promote capacity building, build leadership
abilities, develop life skills, inspire
entrepreneurship and enhance governance
capabilities besides increasing co-operation
among the members – all which are
constituents of sustainable development.
Other aspects of SHG activities are creating
awareness of rights and privileges of women,
value of the girl child and her education,
awareness on health, hygiene and
environmental concerns. SHG groups are,
further, the appropriate platform for financial
empowerment of the women by organizing
them around credit and related activities.
Across Tamil Nadu PAT has 2676 active SHG
groups, which women organised themselves
around these activities leading to sustainable
livelihoods through microcredit. This report
has included some stories of people who have
been benefited from the financial inclusion
activities of PAT.
WOMEN EMPOWERMENT FOR
SOCIAL TRANSFORMATION Studies have shown that 70% of world’s
poorest people are women and just because
of gender inequality, they are underprivileged
as compared to men. Especially in the
developing countries such as India, they are
excluded from formal financial system as seen
from the fact that only 37 percent have bank
accounts as compared to 46 percent men.
Women in India still do not have a say in
household matters.
Woman has been suppressed under custom and law
for which man was responsible and in the shaping of
which she had no hand. ...women have as much
right to shape her own destiny as man has to shape
his. ... It is up to men to see that they enable them
to realize their full status and play their part as
equals of men. - Mahatma Gandhi
Women empowerment involves creating a
social environment where women can take
decisions and make strategic choices in areas
that directly affect their lives either
individually or collectively. It is a social culture
where women gain better access to
intellectual (knowledge, information, ideas)
and financial resources, control over
materials, personnel and processes – leading
to social transformation.
Women empowerment programs of PAT that
started in1998 has been progressive and
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steady. The development
programs initiated by PAT proved
to be immense success and the
financial inclusion was a natural
outcome. PAT continues its
community development and
women empowerment activities
complementing it with capacity
building and credit plus services.
PAT committed to self-reliance of
the women, extends skill and
micro enterprises training to
them. PAT has established
tailoring centre for women at
Thirupanandal, Aduthurai in
Thanjavur District and
Melapudur, Trichy covering both
rural and urban areas where
100 women received training in
the trade and started their own
business activity.
PAT has over 32000 women who
have availed its credit facilities,
most of which go for starting new
enterprises of which job creation
is another outcome. This spiral of
development ultimately leads to
rural poverty mitigation.
MICROFINANCE AND
WOMEN
EMPOWERMENT. Traditionally the rural poor had
quick access to funds from the
informal banking system to meet
their financial emergencies that
push the borrower to a debt trap.
Microfinance emerged as a game
changer for developing
economies, facilitating women in
obtaining financing with ease.
Microfinance combined the
flexibility and availability of funds
‘She provides food for her female servants’. - Proverbs
Pushparani – a study in Sustainability
The busy fingers of 50 year old Pushparani deftly mesh the
wetted leaflets of dried halves of coconut fronds, weaving
the mats that would soon become the roof of house or the
fence of a garden – a traditional practice is some parts of
South India. Spaced conveniently in the long rectangular hut,
roofed by the same material that they weave, sit with her
equally dextrous colleagues, plaiting frond after frond and
stacking the mats in neat arrays. To all appearances, an
owner of the outfit might have employed Pushparani and her
colleagues to make the mats from coconut fronds, but this
time around, she is the employer and her colleagues are the
employees.
Weaving coconut fronds was the only skill that this mother of
Vinoth,28, and Shalini, 16, knew and did ever since she was
20 years of age, living in their own house with Samithurai, her
husband, who had looked after the business as well as the
farming in the 2-acre land that they owned. Nevertheless, the
sudden demise of her husband left Pushparani lonely and in a
great financial strait.
Fortunately, PAT had started forming SHG groups through its
Aduthurai branch and was providing microcredit to
underprivileged women. She became one of the 18 members
of the ‘JESUS’ SHG two years ago. PAT provided with loans
sufficient to develop her traditional coconut frond mat
business. Her current loan amount is ₹25000. As the business
improved, she hired her own SHG members and provided
them with weaving job on daily wages.
The case of Pushparani is a sparkling illustration of a
sustainable credit. A micro loan in the hands of an industrious
entrepreneur has not only multiplied in her hands but also
provided means of livelihood to others in the community,
thus creating a progressive spiral of development.
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from the village moneylender with the
transparency of institutional credit. Doorstep
availability of credit through SHG-JLGs has
now become a breakthrough for women
empowerment. Funds became available to
the unbanked, which was repayable in
convenient instalments along with regulated
interest.
Access to financial sources, besides helping
the woman to gain respect in the society, has
also created a social environment where
women became partners in making strategic
decisions on matters that decided the family’s
destiny. By paying off a debt, meeting a
lifecycle need, making an investment or
starting an income generating activity many
women were able to lead their families out of
their cycle of poverty.
Experience around the world indicates that
woman borrowers are responsible and
prudent investors. Women constitute 97% of
Indian microfinance clientele and 80 % of
their loans are used for income generation
purposes. Among the thirty two thousand
women clientele of PAT, a total credit of ₹.
57,40,33,880 has been distributed. They have
invested their loans on projects that gives
good returns, enabling them to make timely
repayments and use the profits for activities
related to poverty alleviation.
PAT IN 2016-2017 Cumulative disbursement of ₹ 284 crores
to 2 lakh 23 thousand loan accounts
₹ 57.4 Crores portfolio is the highest ever
- despite the impact of de-monetization.
90% or PAT’s ‘all women’ borrowers are
rural.
“Beta Plus” grading awarded by M-Cril in
the 4th rating of PAT
Direct online remittance of loans to
members’ bank accounts.
PAT PROFILE PAT INFRASTRUCTURE
Branches 18
Districts covered 7
Panchayaths reached 451
Groups 2,676
Members in the groups 38,798
Active Borrowers 32,202
Rural 28,660
Urban 3,542
Field staff 71
Total staff 115
The newly started 4 branches have increased
the geographical spread to 2 more districts
and 108 more Panchayaths thus bringing the
total extend to 7 districts and 451
Panchayaths. This year witnessed 25%
increase in PAT’s branches and coverage, 20%
increase in SHGs, group membership and rural
members in the groups and their average loan
outstanding and 42% increase in their average
loan size – evidence to the financial
empowerment of the rural poor women
having taken priority.
32,000 PAT borrowers together have availed ₹
50 crores in the year which is an 11% percent
increase from the last fiscal. The quantum of
average loans availed by each member also
has gone up to around ₹29000 per person – a
leap of 42% from the last year’s ₹14000. The
0
10
20
30
40
50
60
70
2014-15 2015-16 2016-17
PAT BORROWER GROWTH IN THOUSANDS
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mean loan outstanding currently shows an
increase of 22% from the previous year and
stands at ₹ 18000 per person. The higher
loans indicate the consistency in the
repayment of the loans by the members and
the robustness of the PAT groups.
PORTFOLIO DISTRIBUTION
PAT’s ‘all women’ borrowers are spread
across 7 districts of Tamil Nadu viz. Ariyalur,
Trichy, Tanjore, Nagapattinam, Thiruvarur,
Thruvallur and Cudallore. 71 field staff
operating from 18 branches oversee the
governance of the 2676 groups and provides
the training to 39 thousand members 83% of
whom are PAT borrowers.
UTILIZATION OF LOANS
As an organization involved in grassroots level
financial inclusion it is quite rewarding to note
that 80% of the loans have gone into
agriculture. In the event of falling food
production, the vegetables, cereals grains
produced by the women cumulatively play a
major role in ensuring food security, which
incidentally is an important national agenda
as well. The sector has shown a marginal
increase of 3% over the past year.
One fifth of the
loans have gone for
Small businesses
and service sector.
Many women have
started businesses
or put up shops selling grocery, vegetable and
selling tea and refreshments. One remarkable
story is Pushparani’s who employs other SHG
members to work with her in making and
selling matted roofing materials from coconut
fronts. Service sector loans have been taken
for various purposes ranging from
photocopying to beauty parlours. Thus all the
loans are used to serve the public in their life
cycle needs, whether it is food, clothing,
shelter or providing for the comforts of life.
Districts and Branches
SHG Members and
Borrowers
Loan Portfolio
(Cr.)
%
Port-
folio
Ariyalur 5 14797 11571 21.69 37.79
Trichy 2 5057 4644 7.10 12.37
Thanjavur 6 14938 12512 21.71 37.82
Nagapattinam 1 1751 1540 2.84 4.95
Thiruvarur 2 1129 967 1.88 3.27
Thiruvallur 1 656 542 1.27 2.20
Cuddalore 1 470 426 0.91 1.59
Total 18 38798 32202 57.40 100
PAT FINANCIALS
Loans disbursed during the year 17,263
Loans disbursed during the year (₹ Cr.) 49.52
Average loan size (₹) 28,686
Average loan outstanding (₹) 17,826
Loan portfolio outstanding (₹ Cr.) 57.40
Outstanding borrowings (₹ Cr.) 19.62
Cumulative No. of loans disbursed 2,23,641
Cumulative loan disbursed (₹ Cr.) 284.42
Net Profit (₹ Cr.) 0.468
Net worth (₹ Cr.) 2.765
SECTORS %
Agriculture 80
Petty Trades 14
Service 6
2014-15
2015-16
2016-17
0 20 40 60 80
PAT LOAN DISBURSEMENT IN CRORES
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EFFICIENCY ANALYSIS The borrowers are prompt in their
repayments as reflected in the high 99.77%
recovery rate. The Operational Efficiency(OER)
of 6.80 is a positive indication for a micro loan
institution, which used to be generally at a
high proposition. There was a healthy
reduction in total expense to average
portfolio from last financial year and stands at
10.
FUNDING PARTNERSHIPS The two public sector banks State Bank of
India and Indian Overseas Bank have been the
major funding partners, which reflects the
credit worthiness gained by PAT over the
years . NABKISAN Finance Ltd., a subsidiary of
NABARD Bank has extended lending to PAT
for agriculture allied purposes based on its
formidable field presence in the rural parts of
the state. Ahmedabad based NBFC Ananya
Finance for Inclusive Growth Pvt. Ltd and
Bangalore based Micrograam Social
Development Foundation had also continued
their financial lending to PAT.
Funding Institution (Bank/Lending
Organization)
Fund
Outstanding
Ananya Finance for Inclusive Growth
Pvt. Ltd
2,62,50,000
Indian Overseas Bank 6,77,87,000
State Bank Of India 9,64,38,000
NABKISAN Finance Limited 49,41,000
Micrograam Social Development
Foundation
7,84,000
Sum of Outstanding from Banks/FI 19,62,00,000
BC OUTSTANDING 38,65,57,975
Efficiency and productivity As on 31
March
2017 Operating Expenses / average gross loan
portfolio
6.80%
Cost per borrower (₹) 1477.6
Average loan size per borrower (₹) 17826
Number of borrowers / Field staff 454
Number of Borrowers/ Total staff 280
Portfolio per loan officer 8084984
Borrower per branch 1789
Portfolio per branch 31890771
Total cost to total income 91%
Total Income to average portfolio 11%
Financial expense to average Portfolio 8.60%
Total expense to average portfolio 10%
“She considers a field and buys it - Proverbs”
Vijaya – the labourer-turned-
landowner
The golden rays of the early sun streaming
down their shoulders, Vijaya and her
husband are busy in their Jasmine garden
in the Thanjavur district of Tamil Nadu,
hand plucking the buds of the fragrant
jasmine flower that would adorn some
beautiful hair the next day. Just two years
back, this hard working 35-year-old
mother of three was an unskilled labourer
in the lush green patch of land in the
fertile Kolladam river basin that she owns
today. For 11 long years she had sweated
and toiled under the scorching sun to earn
the daily wages that would sustain their
family, always longing for that day when
she, hand in hand with her husband
Selvam, would toil in their own land.
Vijaya’s journey from wage earner to job
creator started nine years back when PAT
started providing affordable loans to SHG
members through its Tiruppanandhal
branch. With her first loan of ₹ 5000, she
started her own dairy business by
purchasing a milch cow. Using part of the
profit from the sale of milk, she added
more animals to her small farm, until the
family owned four animals four years back.
A few days later, an opportunity arose to
help fulfil her long cherished dream. A
portion of the land she had worked in was
available for purchase. She immediately
sold three of her milch animals, took
another loan from PAT and paid the three
lakhs towards purchasing the 23 cents of
land.
She may not be aware that the Persian
word jasmine means ‘a gift from God’, but
this is what a micro loan from PAT has
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FINANCIAL STATEMENTS The extract of the Auditor’s report reflects the
robust financial stature of the organization.
Facsimile of the auditor’s report in full, which
includes the schedules are given as annexure
at the end of the report.
The first two tables pertain to the
microfinance operations of PAT, the third and
fourth are of its other programs.
INCOME AND EXPENDITURE (MICROCREDIT)
Income (₹) MF
Operating Income
Interest on Loans 2,15,61,035
Other Operating Income 2,80,13,697
Other Income
Non-Operating Income 26,89,476
Total Income (a) 5,22,64,208
Expenditure
Financial Cost 1,62,10,558
Administrative Cost 1,52,65,798
Employee Benefit Cost 1,45,33,863
Depreciation 15,72,801
Total Expenditure(b) 4,75,83,020
Income - Expenditure (a)-(b) 46,81,188
BALANCE SHEET (MICROCREDIT)
SOURCES OF FUNDS (₹) MF
Capital Fund
General Fund 59,11,242
Capital Fund 2,17,37,658
Loan Funds
Secured Loans 19,75,87,952 35,475 Unsecured Loans 1,01,81,212
Current Liabilities 37,40,975
Total Sources of Funds 23,91,59,041
APPLICATION OF FUNDS (₹)
Fixed Assets 66,07,110
Current Assets
Loans & Advances 18,75,44,405
Receivables 5,65,33
Cash in Hand 1,53,742
Balance with Banks 3,12,119
Other Current Assets 4,39,76,331
Total Application of Funds 23,91,59,041
“Out of her earnings, she plants a vineyard - Proverbs”
Rajeswari – the planter
Thirty three year old homemaker and
farmer, Rajeswari, proudly guides the
visitors to the prized banana farm that she
and her husband Shankar own in
Kurangaduthurai in Thanjavur District. All
fenced up with thorny bamboo branches,
the one-acre farm, which is a little way off
from their home in the village, is the
means of livelihood for them and their
children, 11 year old Mithun and 8 year
old Anushka. Beyond the electric pump set
at the gate, there are rows upon rows of
plants, their stems slightly bent under the
weight of the dark green bunches of the
bananas that they bear.
With 14 others, Rajeswari too is a member
of the TN SHG group managed by the
Aduthurai branch of PAT. A client of PAT,
she had began with the first loan of ₹ 5000
7 years ago but has progressed to the
current cycle, availing a loan of ₹20,000
due to her credit worthiness of having
promptly repaid all her previous loans.
Over the years, through the cycles of loans
made available to her, Rajeswari freed
herself from the clutches of informal
lenders and by making investments on
agriculture, increased the productivity of
her farm. The comfortable instalments and
the affordable interest having given her
aspired financial independence she is now
able to comfortably meet the life cycle
needs of her family.
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INCOME AND EXPENDITURE (GENERAL)
Income (₹) GEN
Voluntary Contributions Received
Children Development Programme 4,95,261.00
Educational Empowerment Programme 11,58,299.00
Job Oriented Training Programmes
- Computer Training 3,96,179.00
- Tailoring 2,22,230.00
Welfare Programme 9,84,800.00
Other Income
Bank Interest 32,267.00
Miscellaneous Income 2,41,453.00
Total Income (a) 23,95,590.00
Application (₹)
Children Development Programme 10,00,548
Educational Empowerment Programme 2,06,887
Job Oriented Training Programmes
- Computer Training 3,88,796
- Tailoring 2,23,025
Welfare Programs 70,000
Health Care Programme 1,15,400
Miscellaneous Expenses 16,910
Bank Charges 231
Depreciation 96,250
Total Application (b) 21,18,047
Income - Expenditure (a)-(b) 2,77,543.17
BALANCE SHEET (GENERAL)
SOURCES OF FUNDS (₹) GEN
Capital Fund
Corpus Find 55,00,919
Capital Fund 56,36,981
Current Liabilities
MCP Advance 69,880
Staff Security Savings 11,35,352
Total Sources of Funds 1,23,43,132
DEVELOPMENT PROGRAMS
CHILD DEVELOPMENT The Census 2011 reveals that 37% of Indian
population consist of children and 25% of
them do not go to school and 9.9 crore
children are school dropouts. India has more
than 45 lakh under 15 wives who are mothers.
We live in a country where majority of the
children never really know what childhood is
like – they are neglected, hungry, poor,
malnourished, illiterate or they work are
labourers in the farms, factories, homes or
other places of work or , abused, abducted,
trafficked and sold as a merchandise.
PAT’s five Child Development Program (CDP)
centres at MGR Nagar, Ramamurthy Nagar,
Bell’s ground, Kemps Town and Kajapettai are
a response to child rights issues in the slums
in Trichy town. The centres attempt to
APPLICATION OF FUNDS (₹) Fixed Assets 1,06,79,897 Current Assets Cash in Hand 15,025 Balance with Banks 98,125 Other Current Assets 3,50,500 Loans & Advances Advance to MCP (Staff Security
Savings)
11,33,000 Staff Loan - Loan from Staff Security Savings 66,585
Total Application of Funds 23,88,453
16 | P a g e
provide opportunities for refined behaviour,
social interaction, cultural integration and
mental development for the child. For the
past 18 years, PAT has taken in children from
these areas and prepared them for the school.
EDUCATION EMPOWERMENT
Coaching Centres: PAT has twenty
coaching centres with intake of 30 students
each. The organizations’ commitment to the
holistic development of the community and
the individual has necessitated various
programs. The leadership, well accustomed to
the rural situations of the state observed the
startling number of school dropouts,
especially girls, just because they did not have
the proficiency in languages and Maths.
Intervention in this issue was made through
starting coaching centres in a few places in
1999. Having seen its efficacy, more
Educational Empowerment Centres were
added to the current 30.
A total of 600 students at the level of
secondary or higher secondary classes gather
at these centres, for two hours a day,
between 4-6 in the evening. Each centre has
an intake of 30 students and a qualified guide
supervises the daily revision of their lessons,
besides occasional tests to help them locate
the areas where they need improvement.
Practical Skills Dev elopement: Besides the daily coaching, the students get
the opportunity for sharpening their personal,
interpersonal and public relational skills
through programs such as writing, recitation,
arts and fine arts and public speaking. The
annual day celebration at the centre is a day
of festivity for the students to demonstrate
their skills and receive awards.
Coaching Centers (with 30 children each)
Adhichanur, Suthamalli, Nayaganaipriyal,
Kodali, Porpathinthanallur, Cholamadevi,
Kodalikaruppur, T.K.P Natham, Edankanni,
Chinthamani, Thathampettai, Sripuranthan,
Govindaputhur, Vikramangalam, Kadambur,
Periathirukonam, Karaikurichi,
Venmankondan,Nagamangalam, Sathambadi
“Train up a child in the way he should go, And when he is old he will not depart from
it” – Proverbs
Irudhayamary’s Triumph
It was in the middle of 2000 that
Irudhayamary was enrolled at the …………….
CDP centre run by PAT. Her father had died
and her mother who worked as a
housemaid for their livelihood, wanting to
have a good future for their daughter
decided to enter her at the PAT day care
centre. She was unkempt and undisciplined
typical of very many children from the
shantytowns of Trichy, but soon everything
changed and she found her learning
interesting, became organized and by the
time she joined the regular school, she had
acquired the motivation and discipline to
become a good student.
Duly supported by her mother, she is now a
final year graduate student in Zoology.
Admission to the college had not been
difficult since she had secured 80% marks in
the 10th grade exam and 74% in the Higher
Secondary examinations. She has also
undergone other vocational trainings like
tailoring, accounting in Tally and has a
Diploma in computer applications.
17 | P a g e
EMPLOYABILITY SKILL
TRAINING
COMPUTER TRAINING
In order to create a IT savvy generation from
rural parts of the country to compete and
excel in the booming IT-enabled job sector,
PAT had started Computer Training centres in
Thirupanandal, Thanjavur District in the year
2008 and T.Palur, Ariyalur District in 2013.
Both the centres cater to the needs of the
youngsters from the surrounding areas in an
affordable way. The service-minded
professionals associated with the centre
provide hands-on training to the enrolled
members in various computer applications,
software packages and typing. In the year
2016-17 around 206 personnel were
benefited from the training , the training
courses duration range from 45 Days to 1
year.
TAILORING CENTRES
Observing that many homes had adolescent
school drop outs idling in their homes PAT
decided to open vocational training programs.
A first step towards these was opening the
Vikramangalam tailoring training centre which
was later relocated to Aduthurai. Having seen
he success of the program another centre was
started at Thiruppaandhal, which also became
COURSES OFFERED
COURSE DURATION
TRAINEES
JCP 1 & 1/2 MONTHS 3
DCA 3 MONTHS 115
C,C++ 3 MONTHS 2
TALLY 3 MONTHS 26
PGDCA 1 YEAR 53
INTERNET 1 & 1/2 MONTHS 6
ENGLISH TYPE 1 MONTH 2
TAMIL TYPE 1 MONTH 1
Total Students 208
“ …those who diligently seek me will find me (wisdom)” - proverbs
Surya makes it to the college
It was an off-school day and Surya, a college
student, from Ariyalur district of Tamil Nadu
was helping his parents in the 1 acre fertile
paddy field that the family owned in the Kotiyal
village near the Koladam river. They were
working together; spraying nutrients to the
foot high rice saplings that would be bent with
bunches of golden rice in two months time.
Surya had a problem as a school student – try
as he may, he could not make his grades in
Tamil, English and Math. The 35% that he could
achieve was the bare minimum needed for a
pass and higher education seemed a distant
dream.
PAT, in the meanwhile, had an Education
Empowerment Program running in the village
where a tutor was available to coach students
weak in various subjects during the after school
hours in the evening. The decision by Surya’s
parents to enrol him in the program was a
turning point in his academic life. His academic
performance started changing for the better,
so much so that when the result of the 10th
grade was declared, Surya had scored 91%
marks.
Now pursuing his higher education Surya looks
back at his school days and says, “I was so weak
in my studies that my parents feared for my
academic future. But the approach and method
of coaching at the centre inspired and
motivated me to excel. My capacity for
understanding concepts and meanings
increased and I ended up with a high first class
- good enough to make it to the Higher
Secondary education”.
18 | P a g e
very popular. Currently around 200 students
are trained in these centres.
Besides being able to save money by making
dresses for themselves and their family
members quite a number of the trained girls
take up tailoring as a profession to make their
own living.
HEALTHCARE PROGRAM PAT in collaboration with the Lions Club T-
Palur/Kumbakonam, Aravind Eye Hospital
Madurai and District Blindness Education
Society of Thanjavur conducted eye camps at
Neelathanallur, Kumbakonam Taluk and
Anaikarai, Thiruvidaimaruthur Taluk of
Thanjavur District.
The villagers were mobilized by PAT staff to
the camp by disbursing notices, displaying
wall posters and public announcement, and
the staff were also involved in making
necessary arrangements for the smooth
conduct of the camp.
A total number of 600 villagers, 300 in each
camp were provided healthcare services.
Those, who are in the dire requirement of
operation to prevent blindness were taken to
hospital at Madurai for surgery. To and fro
travel to Madurai, food and accommodation
were arranged at free of cost.
ECOFRIENDLY INITIATIVES Continuing its drive for environment friendly
farming practices, PAT has been running
demonstration and production of vermi-
compost near Trichy. Vermicompost is an
excellent substitute to chemical fertilizers for
enriching the soil with nitrogen, which is
essential for plant growth. The additional
advantage is that bio-degradable organic
waste that poses hazard to both hygiene and
climate is very usefully recycled . PAT
continues its efforts to educate farmers to
turn to vermicomposting so that they can
produce valuable manure from the organic
refuse from their own premises.
MARCHING ON ... Sweeping economic changes are currently
underway in India that will redefine the way
people save, invest, spend and provide for
their life cycle needs and they are looking for
answers and a sense of direction, travelling in
these unchartered waters. Standing for the
people and committed to social
‘She makes linen garments and sells them …” proverbs
Kalaiselvi’s image makeover
Joining the PAT run Tailoring centre at
Thirupanandal came handy to Kalaiselvi, a
widow struggling to provide food, clothing
and education for her three impoverished
children. When she received her certificate
three months later, she had acquired the
needed skills to both save money by
stitching her and children’s clothes as well
as earn additional income by making dress
for others. The unexpected added
achievement in her words was the, “build
up of my image in the society” – a
remarkable example of women
empowerment.
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transformation through its microfinance
activities, PAT has the responsibility to guide
its members to live confidently without
compromising on its profitability as a financial
institution – we shall take on this challenge.
In the meanwhile, I place this report before
you with gratefulness to the Lord of us all,
who guided us so far and shall also provide
the wisdom to plan strategically for future.
Thank You,
President.