CONTEXT/INSIGHT

India is largely still a patriarchal society. The education, financial growth, and decision-making power of men is many times prioritised over that of women. Indian women, especially in under-developed rural areas, are raised to be homemakers. Many lack formal education, lack empowerment, and take over a daily routine of chores at home.

Therefore, when it comes to their family’s finances, they have almost no say. 25% of Indian women in economically backward areas, still do not have a bank account. A lack of education, complex paperwork, and less accessibility to banks are key barriers. 

But they do know the value of saving. In the hopes of saving whatever they can, they try to keep loose cash in a ‘Dabba’ (a steel rice canister) in their kitchens. They believe this act is auspicious. That rice brings prosperity. 

However, it remains vulnerable to the men in the family – who take it away. 

ESAF Bank, catering to marginalised households, wanted to help change this situation. We wanted to make these marginalised women a part of the formal banking system. 

Our aim was to get these savings to the safety of a bank and give them an opportunity to grow their money.

IDEA/EXECUTION

We began by enhancing their existing saving tradition. We re-created the steel rice dabba to have a partition hidden in plain sight. While the top section continues to store rice, the hidden bottom section could safely store the women’s cash. 

Our female bank employees began attending the women’s monthly gatherings that happen in the village itself. We demonstrated how the new Dabba works and where they could hide their cash. We distributed these Dabbas to them while opening ESAF Savings Accounts in their names. 

The women continued their habit of saving, now with safety. They brought these savings to the subsequent meetings, which we collected and deposited in their accounts.

We also created an easy withdrawal system for the women - at the rice shops they frequent in the neighbourhood. We equipped the rice shopkeepers with micro-ATMs having India’s unique biometric technology - Aadhaar. The women could authenticate with a fingerprint, and the shopkeepers handed them the cash. 

This way, we created an entire banking system for them in the village. So they don’t have to forego their household chores, while spending a day traveling to the town, just to go to the bank. 

We launched this project in eight of the under-served districts in Southern India as the first phase. However, we did not to do any advertising or publicity – so the women could keep it a secret amongst themselves. 

RESULTS/CONVERSION

Within the first few months, we managed to get 121,670 women to open accounts, secretly.

They started doing bank transactions for the first time, no longer fearing banking formalities. 

The feedback we got was very encouraging. Thanks to their new Dabba, they felt their savings reached the bank safely. They felt content in knowing that the money they saved for their children is now growing. All without visiting a bank. They felt empowered, no longer depending too much on their husbands.

ESAF Small Finance Bank is now enjoying an image of a very understanding and trusted partner to these rural women.