BASIX-Bhartiya Samruddhi Finance Limited: A New Generation Livelihoods Promotion Agenda

Bhartiya Samruddhi Finance Limited (BSFL) is a flagship company of Hyderabad-based BASIX Group of institutions established in 1996. BSFL, founded as a Non-Banking Finance Company (NBFC), facilitates financial inclusion of low-income and poor groups by offering reasonable lines of credit along with savings facilities based on the principles of operational efficiency, financial viability and sustainable social value. Although begun on a credit-based approach to financial inclusion, BSFL shifted its operational paradigm to that of livelihood facilitator to meet more effectively the needs of its customers. In its current strategy, operational since 2003, BSFL offers livelihood related products and services through the strategic concept of ‘Livelihood Triad’ that comprises livelihood financial services (credit, savings, and insurance), agricultural and business development services and institutional development services for low-income and poor groups in rural and urban areas across multiple sectors of the economy.

In its service verticals, BSFL lays stress upon leveraging new technologies and uses innovative risk mitigation products, such as insurance products, catering to the vulnerabilities of its customers and their economic budgets. One of its key areas of expertise, acquired from a portfolio of innovations built over 14 years, lies in its practice of strategic interventions to enhance the economic productivity and to reduce costs for its customers engaged in various subsectors of the economy. Its future strategy and growth lies in expanding its presence across rural and urban spaces. At present, BSFL has a customer base of approximately one million with 90% concentrated in rural areas and it plans to expand its base to 10 million by 2014 covering both urban and rural
areas.