 Bangalore, April.01, 2025 |
|
Mega plan to promote safe investment and savings, MSIL Micro Chits Fund is coming; What is it? The state government is going to implement a chit scheme under the name 'Safe Investment - Immediate Help' through MSIL. Through this, the government's plan is to encourage investment and savings of rural women. It is intended to be implemented through Aadhaar OTP authentication, e-KYC, mobile app, and this scheme has a target of Rs. 10 thousand crore in business in 2 years. |
|
Highlights
|
The state government has formulated a major scheme through Mysore Sales International Limited (MSIL) to encourage people to invest and save safely, focusing on rural women who are active in economic activities, including milk producers, 'Griha Lakshmi' women, and about 6 lakh women in self-help groups. CM Siddaramaiah will launch a large-scale chit business scheme in the 2nd week of April under the slogan 'Safe Investment - Immediate Help' .
Following the example of neighboring Kerala, which has a micro chit turnover of around Rs 40,000 to 50,000 crore annually, preparations are underway to revitalize the rural economy across the state. Software developed by Processware Systems for transparency in financial management is being used for this purpose. MSIL is fully equipped to manage chit funds with e-KYC based customer registration with Aadhaar OTP authentication.
In recent years, the flow of money among rural people, especially women, has been good, and the government's aim is to convert this into savings. Although MSIL has been doing chit fund business for many years, it is concentrated in urban areas. It is limited to an annual business of Rs 500 crore. Therefore, the main objective of this effort is to create a safe investment and savings opportunity for the people of rural areas who are being cheated by private businessmen. Since it is a government organization, it will be a safe investment, and through this chit business, MSIL aims to do a business of Rs 10 thousand crore in the next 2 years.
Emphasis on safety
Every transaction, including collecting money and returning chits, will be handled app-based, and the software has been developed for this purpose by Core Banking Solutions Company Processware. Due to web-based management, subscribers can pay monthly installments through the mobile app and get chits whenever they need money. MSIL officials say that there is no room for even the slightest lapse due to e-KYC-based customer registration and Aadhaar authentication.
SHG Target
In addition to opening a branch in the taluk and appointing representatives of the organization, representatives of women's self-help groups (SHGs) will be used for this chit fund business. Mainly, it is intended to use HHG 'sakhis' to motivate the beneficiaries of the 'Grihalakshmi' guarantee scheme to save money and then use it for planned self-reliance projects. It is estimated that this will also help bring people from rural areas under the purview of the institutional financial system so that they do not fall into the clutches of microfinance and moneylenders.
Government employees are also targeted.
State government employees are also being targeted through this scheme. Chits schemes ranging from Rs 50,000 to Rs 25 lakh are being introduced for state government employees, public sector undertakings, corporation-board officers and employees, and HRMS-based digital registration and salary deductions are also being provided.
After days of preparation to facilitate safe savings, MSIL is starting a large-scale chits business across the state, and a web-based centralized system is being prepared for effective management. Chief Minister Siddaramaiah has been asked for time for the inauguration, and it will start from April itself, said Minister for Large and Medium Industries MB Patil.