Financial Relationships between Community Based Organisations and the Formal Banking Sector
YCO's Perspective


This paper focuses on the work of a local NGO, Youth Charitable Organisation (YCO), in Andhra Pradesh, India. Their title is deceiving for their work does not involve charity or welfare. Instead, their focus is on developing self-sufficiency and autonomy among the rural poor, particularly women, using a participatory approach. The paper starts at the beginning with the gradual development and evolution of a micro finance programme. The reader is shown the elation and many pitfalls YCO experienced with their target communities, the formal banking sector. YCO staff has just celebrated their 21st birthday and are looking to their future role as an NGO with great experience in development in Andhra Pradesh. Slowly they have come to realise that self-sufficiency and autonomy are necessary for themselves as well as the communities they advocate. The absence of dictation and conditions demanded by outside agencies will allow YCO the freedom to implement their development programmes according to their unique understanding of the issues facing the poor people in Andhra Pradesh. The decisions made in the next five years will determine how successful YCO is at becoming self- sufficient.

Full paper - andhra.doc [Microsoft Word]

Hari Srinivas -
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