Telugu Desam Party (TDP) leaders give away Rs.10,000 to the family of a person who committed suicide due to harassment by MFIs in Warangal. The MFIs have been directed to desist from 'coercive' practices while recovering the loans. Nor should they indulge in multiple lending, giving loans to those who are customers of other MFIs. File Photo: M. Murali
TDP chief N. Chandrababu Naidu and activists protest against MFI practices in Kurnool. An ordinance issued by the A.P. Government provides for mandatory registration and bans coercive recovery practices and multiple lending. File Photo: U. Subramanyam
Protesters participate in a dharna in front of the DRDA office in Khammam against microfinance. The MFIs have not been successful in staying the operation of the ordinance but the A.P. High Court has allowed them to continue with their business after registering themselves. File Photo: G.N. Rao
For the MFIs it is unlikely that conditions that existed before the ordinance will ever prevail. With other States likely to emulate the A.P. model, MFIs will have to reckon with the new regulation. File Photo: The Hindu
Victims of MFIs display their daily payment cards in Visakhapatnam. The Reserve Bank of India has appointed a sub-committee to look at governance issues. File Photo: C.V. Subrahmanyam
Members of All India Democratic Womens Association protests against MFIs in front of the Reserve Bank of India office in Hyderabad. At present, only MFIs registered as non-banking finance companies with the RBI come under the central bank's regulatory control. File Photo: G.Krishnaswamy
The Andhra Pradesh Director General of Police, K. Aravinda Rao, after attending a video-conference with district officials convened to discuss measures to check the usurious interest rates and strong arm tactics by MFIs to recover loans from the rural poor. File Photo: Mohammed Yousuf
There are success stories from elsewhere, however. N. Jeyaseelan, a microfinance consultant in Tamil Nadu recently received the UN Solution Exchange Award for developing an assessment tool for MFIs. File Photo: G. Moorthy