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Archive for Cashpor Micro Credit

CASHPOR – Annual Performance – Very Impressive !!

Just flipped through CASHPOR’s Annual Report, considering they are a successful “not for profit” model of microfinance, some pertinent takeaways:

– A decade of experience with a GLP of INR 1810 Million with over 300,000 clients in 15 districts of East UP and Bihar.
– PAR>30 has halved to 0.69% ( against 1.77% in the previous fiscal) in a year where, without exception PAR>30 may have grown across MFIs. Really impressive.
– 66% of Cashpor’s matured clients have moved above the poverty line – Impact Assessment Study
– CASHPOR was ranked 4th in the Mix Global Composite Ranking of Profitable MFIs (For perspective, SKS was No.2)
– Capital Adequacy of 10.5% as on Mar-09 (Calculated by MCRIL) and plans to increase it to 12% by Mar-10 and continually meet the RBI CAR norms stipulated for NBFC’s. This would be achieved solely through a mix of retained earnings + subordinated debt. CASHPOR has no plans to attract commercial equity.
– MCRIL rating of Alpha(-) with a Positive Outlook
– Received Subordinated debt from Opportunity International and CORDAID
– Banking/FI relationships with 21 entities
– A Microfinance Business Manager of a leading Bank has joined CASHPOR as a Vice Chairman. This would add tremendously to their second line of leadership.


Cashpor Micro Credit – India’s Finest Microfinance Institution

Cashpor Micro Credit – India’s finest Microfinance Institution, Amongst the world’s best.

Cutting the clutter:

  • Cashpor Micro Credit is a profitable Microfinance Institution, headquartered in India.
  • Cashpor Micro Credit was India’s first MFI to receive an Equity Investment, from a pedigree investor i.e. Vinod Khosla (co founder  of Sun Microsystems and venture capitalist, ex KPCB). Read here
  • Cashpor works in India’s poorest ‘n most neglected areas (Read: Bihar and Uttar Pradesh) in a truly very focused manner.
  • Cashpor genuinely and only targets the poorest of the poor clients through its unique Cashpor Housing Index.
  • Cashpor voluntarily charges amongst the lowest rates of interest from its clients in India. No hidden charges, whatsoever.
  • Cashpor has a brilliantly talented management team comprising of senior bankers led the almost legendary Prof David Gibbons
  • Cashpor has never defaulted on any financial institution credit facility till date
  • Cashpor employees are extremely motivated and believe in the vision of the company, which has resulted in low attrition.
  • Above all, Cashpor is sincere, fair, transparent and ethical with all its stakeholders – Employees, Clients, Investor, Bank, Regulator and the Indian Microfinance Sector

Other Interesting Facts:

  • Cashpor is headquartered in Varanasi, One of the oldest and holiest cities of India. Varanasi was voted as amongst the top ten places to visit before something by Lonely Planet.
  • Varanasi or Banaras is the oldest living city in the world. Established in 7th century B.C., Varanasi is the holiest of the holy cities to Hindus. The sacred river Ganga (Ganges) flows towards the north here which is considered very auspicious by the Hindus. The most famous of all temples of Lord Shiva is situated here(Temple of Lord Viswanath). Varanasi is full of temples, probably thousands of temples are here. There are about 365 GHATs or places of bathing on the river Ganga.

  • These GHATs are always crowded with devotees & pilgrims, & there are hundreds of priests to help them in their sacred rights. At evening, priests perform AARTI (worship with lighted lamps) at some of the more famous GHATs, & the scene is just beyond descriptions. Thousands of people attend this AARTI ceremony, including hundreds of foreigners. With its narrow streets teeming with people as well as (sacred) bulls, Varanasi is a must for all the foreign visitors to India who want to have a glimpse of the eternal India & Indian culture.
  • Every fifth shop in Varanasi either sells Paan (Betel Leaf with a dozen filings of Indian herbs) or Milk/Milk Products
  • Certain days of the year, Thandai (Thick shake made from milk, pistachios, almonds and cashew nuts) laced with marijuana cream is consumed by devotees of Shiva (Who George Clooney refers to The God of Death, in the superb Michael Clayton)
  • Varanasi is home to the Banaras Hindu University, housed in some 1250 acres.