114 EMPOWERING WOMEN STREET VENDORS THROUGH MICRO- FINANCING: A STUDY IN SIVASAGAR TOWN OF ASSAM ABSTRACT DR. KUMUD CHANDRA GOSWAMI* *Professor and Head, Department of Commerce, Dibrugarh University, Dibrugarh 786004, Assam, India. The micro-finance is provided for two basic purposes namely-productive purpose and consumption purpose to individuals or to some institutions who are very needy and under/un privilege class.. The big financial institutions are not very much interested to finance such parties on various economic and some non-economic considerations. This gap of formal financial institutions has been fulfilled to a great extent by the micro finance institutions. The microfinancing programme has targeted to the most unprivileged section like tribal, women, BPL family members etc. The street vendors are not financially self sufficient to meet their financial needs for the business; this is more prominent in the case of women street vendors. The study has examined the financing pattern of the women street vendors based on primary data and secondary data. Few women street vendors operating in the Sivasagar Town are selected purposively and data have been collected from them by interview method. All the sample women street vendors get finance from their own source. No other sources are opened for the women street vendors. Bank and other financial institutions hesitated to provide finance to the women street vendors on the ground that they are unable to provide security against credit. The women street vendors have eagerness to save in various schemes of banks and other financial institutions. The banks/mfi/ngo etc should come forward with various financial services to the women street vendors. The Government should take initiative to include women street vendors through its various schemes for financial and non financial needs. There is no doubt that women street vendors are integral part of our society. INTRODUCTION The socio-economic development of the poorest is largely depended on the timely and hassle free financing provided to them. The micro-financing has been recognized as a potential tool for eradicating financial needs of the poorest. The micro-finance is provided for two basic purposes namely-production purpose and consumption purpose. Though production purpose is more desirable, the consumption purpose cannot be denied on simple ground because improvement of health and safety of the poorest cannot be denied. The formal institutions have been targeting the rich section of the society leaving the poorest of the poor. This gap of formal institutions has been fulfilled by micro-finance. In many developing countries the programme of micro financing has already initiated. In Bangladesh the Grameen Bank started its operation since1976 to provide micro credit for women. In India, The self employed women association (SEWA), a trade union registered in the year 1972, has taken initiatives to protect the right of the poor particularly self
115 employed women in urban and rural areas by providing various types of services like microcredit, insurance, social security measures through its organisations. The micro-financing programme has targeted to the most unprivileged section like tribal, women etc. The role of a country to develop women capabilities cannot be denied. Empowerment of women capabilities and identity in all aspects in their life have regarded as social responsibility for a nation. They can be empowered socially and economically through micro-finance which includes many types of services like savings, micro-credit, micro insurance, training in relevant areas to increase skills and ability in business. The women street vendors are not financially sound. They are the most neglected part of urban society. They are those women who have no permanent space from where they have been conducting their business. They generally do their business from footpath, parking place, or other places which have other purposes for use. OBJECTIVE The objective of the study is- 1. To study the nature of finance used by the women street vendors and problems faced by them in procuring financial resources. METHODOLOGY The study is based on both primary data and secondary data. Primary data collected with the help of interview schedule and personal interview methods. Secondary data collected from books, journals etc. As the population is undefined, the non-probabilistic method of sampling i.e. Snowball Sampling Method was used to collect data for the study. In Sivasagar town of Assam, data were collected from various roads, in front of parks, temples, hospitals, markets etc. In the study area only a few women street vendors were seen and data have been collected from 50 nos. of women street vendors operating in the Sivasagar Town. For the purpose of analysis of collected data, simple tools like percentage, tabulation etc has been used. DATA ANALYSIS AND INTERPRETATION STATUS OF WOMEN STREET VENDORS: - Status is a significant aspect to understand the mobility of the workforces. Table 1 indicates that the majority of sample women street vendors i.e. 40 (Represent 80%) are from local area while 10 (Represent 20%) are migrated from other states.
116 TABLE 1. STATUS OF SAMPLE WOMEN STREET VENDORS Status No. of women street vendors Percentage to total Local 40 80 % Migrated 10 20 % TABLE 2. AGE OF SAMPLE WOMEN STREET VENDORS Age No. of women street vendors Percentage to total 20-30 10 20 % 31-40 30 60 % 41-50 10 20 % AGE OF WOMEN STREET VENDORS: - Age of sample women street vendors indicates the working capability for street trading. Street trading is a hard work that requires physical and mental strength to handle the profession. The study revealed that majority of sample included in the age group of 31 to 40 is 30 representing 60% of the sample while there are 10 vendors each in the age group of 20 to 30 and 41 to 50 which is only 20% of the sample. TABLE 3. MARITAL STATUS OF SAMPLE WOMEN STREET VENDORS Situation No. of women street vendors Percentage to total Married 50 100 % Unmarried 0 0 % MARITAL STATUS OF WOMEN STREET VENDORS: The table indicates that all the sample street vendors are married and earning members of the family. The Table 3 reveals that all the sample women vendors are married.
117 TABLE-4. LITERACY LEVEL OF SAMPLE WOMEN STREET VENDORS Literacy level No. of women street vendors Percentage to total Illiterate 30 60 % Literate 20 40 % LITERACY LEVEL OF WOMEN STREET VENDORS: Educational qualification is an important aspect for overall development of the people. In the study area majority of vendors are illiterate i.e. 30 nos. (Represent 60 %) of the total sample while 20 of the sample vendors representing 40% read upto class x. This revealed low level of education among the sample women vendors. TABLE 5. INVESTMENT IN BUSINESS OF SAMPLE WOMEN STREET VENDORS Investment (in Rs.) No. of women street vendors Percentage to total < 3000 10 20 % 3001-5000 20 40 % >5000 20 40 % INVESTMENT IN BUSINESS OF SAMPLE WOMEN STREET VENDORS: Investment in their business indicates that the cost of purchasing of push cart, pull cart, box for displaying of their goods. The table 5 indicates that 10 no (Represent 20 %) sample women vendor invested less than Rs. 3000 while 20 nos. (Represent 40 %) in each group of vendors i.e. 3001 to 5000 and >5000. TABLE 6. SALES PATTERN OF SAMPLE WOMEN STREET VENDORS Sales per day (in Rs.) No. of women street vendors Percentage to total < 500 40 80 % 501-1000 10 20 %
118 SALES PATTERN SAMPLE WOMEN STREET VENDORS: The table 6 reveals that the majority of sample vendors sale is less than Rs. 500 i.e. 40 nos. (Represent 80 %) while only 10 vendors (Represent 20 %) sale above Rs. 500. This revealed their low earning from their profession. TABLE 7. SOURCES OF FINANCING OF SAMPLE WOMEN STREET VENDORS Situation No. of women street vendors Percentage to total Own source 50 100 % Private money lender Nil 0 % Borrowed from friends and relatives Nil 0 % Fund from bank/mfi/ngo Nil 0 % NATURE OF FINANCING: Financial need of the street women vendors to start their business and to conduct day to day activities is vital aspect. The table 7 indicates that all sample women street vendors i.e. 50 nos. representing 100 % get finance from the own source. No other sources are opened for the sample women street vendors. The private money lenders charge high rate of interest while funds from friends and relatives are not easily accessible like bank finance. Bank and other financial institutions heisted to provide micro finance to the women street vendors on the ground that they unable to provide security against credit. The initiatives of self employed women association (SEWA) in this regard is an significant consideration though is has not cover all regions of the country. TABLE 8. SAVING OF SAMPLE WOMEN STREET VENDORS Situation No. of women street vendors Percentage to total No saving 20 40 % Saving 30 60 %
119 SAVING OF SAMPLE WOMEN STREET VENDORS: The women street vendors have eagerness to save in various schemes of banks and other financial institutions. The table 8 revealed that 30 nos. (60 %) samples have deposited in various schemes while 20 nos. (40 %) samples have no account in banks and other financial institutions. This revealed the saving propensity among the women street vendors. CONCLUSION The banks/mfi/ngo etc should come forward with various financial services to the women street vendors. The inclusive growth in all regions and in all sectors cannot be achieved without financing to women. The Government should take initiative to include women street vendors through its various schemes for financial and non financial needs. The setting up of Grameen Bank Branch of Bangladesh in Assam is the indicator of Government s initiatives in this regard. Financial problems can also be eliminated when women street vendors form SHG (Self Help Group) among them and lend funds as and when necessary to its member. The women street vendors are integral part of our society. They have to skilfully manage by the authority to survive in a competitive environment not to be eradicated them. So, the need for financing to this sector cannot be over emphasised. REFERENCES Dharmaraj, D, Informal Sector in India, Abhijeet Publication, Delhi (2007) Goswami, Kumud Ch. and Borgohain Kauranga, A Study of the Street Vendors (Entrepreneurs) with special reference to Dibrugarh Town, Collection of seminar papers of UGC SPONSORED SEMINAR ON ENTREPRENEURSHIP DEVELOPMENT-A KEY ISSUE FOR SOCIO-ECONOMIC GROWTH organised by Gauhati Commerce College, Guwahati on 10 th March,2008. Lazar Danial and Palanichamy P, Micro Finance and Poverty Eradication, Indian & Global Experiences, New Century Publications, New Delhi, (2008) Mali, D.D., Promoting Entrepreneurship Lessons from India s North East, Speed Publications, Assam, (2005) Jeffrey D. Mason, Street Fairs: Social Space, Social Performance. Theatre Journal, Vol.48, No.3, Enacting America(n)s (Oct.,1996), pp.301-319. http://www.jstor.org/stable/3209041. Accessed: 01/09/2011 05:00 Yvonne V. Jones: Street Peddlers As Entrepreneurs: Economic Adaptation To An Urban Area. Ban Anthropology and Studies of Cultural Systems and World Economic Development, Vol.17, No.2/3, Black Folks In Cities Here and There: Changing Patterns of Domonation and Response (Summer-Fall, 1988), pp. 143-170. http:// www.jstor.org/stable/40553115. Accessed: 01/09/2011 05:16