Evaluating Microsavings

Program: Green Bank of the

Phillippines
Submitted By- Umang Kumar
PGDM No.-19176
Overview:

• Incorporated on April 5,1975 in Nasipit to serve the locals as Rurual Bank.

• Started banking Service Masagana 99 to help poor farmers.
• Ismael Andaya became the President and the Chairman in the year 1988 followed by Ismael Andaya’s
son Omar.
• 85% of the loss suffered by them was guaranteed to be covered by the Government.
• The farmers who had availed the loan were unable to pay off the loan leading to high Non-
Performing Loan which led to detoriation of financial health.
Overview:

• Established first branch in Butuan City in 1995 and Bayugan City in 1996.
• Renamed to Green Bank in 1997 from the Rural Bank of Nasipit.
• Mission to expand and reach One Billion Pesos by 2002.
• First Microfinance venture was in 1998 by introducing Group Micro Loan Program & Consumer Loan
Program.
Micro Savings

Methods:
1. Money Keeper
2. Rotating Saving & Credit Association (ROSCA)

Challenges faced:
3. Timing- Farmers usually save after Harvest of their crops.
4. Psychological Factors- Disproportionate spending in short Run.
5. Social Factors- Family, Friends etc.
The SEED Savings Program

1. Innovated an Informal Commitment Saving Practise with the help of Ganinsiya Box.
2. Restricted withdraw of funds till the specified date or Amount is fulfilled.
Conclusion

• Lack of Evaluation Method to compare the success of products and services.

• A pilot program must be carried out before launching nay product directly to market.
• Flexibility in the products as per clients.
• Training the customers to understand the psychological need to save and undertake income
generating activities.
• Improving the collecting methods despite og getting covered by the Government to increase capital
of the bank and develop good faith.
Thank You