An RBI regulated NBFC P2P platform, Rang De provides credit access at the lowest rate to unbanked farmers, artisans, and more, to end the cycle of poverty and hardship

Between 2018 and 2022, I was the project editor for three coffee table books on Corporate Social Responsibility (CSR). I covered close to 30 domestic companies involved in CSR and travelled the length and breadth of India. I saw projects across verticals such as health, education, infrastructure for schools/toilets, skilling for agriculture and vocation, sports, environment. This woke me up to the density of population in the country and to the dire need of bigger networks that support the people and communities needing a boost in shaping their lives.

Then through Blogchatter, I discovered Rang De and browsed through their site. It has a comprehensible roadmap. The FAQs page answers all the common questions that arise in the mind regarding social change and investment in projects in off-beat and rural areas.

From my experience, I have seen that the needs of the natives residing in these regions is different and their skills, most of the times untapped, are different. Most of them have seasonal earnings and those too are meagre. For instance, a weaver might be able to sell shawls in one season to a middleman and then unable to get any earnings the rest of the year. A farmer might be growing seasonal crops and once those are harvested, there is nothing left to do. I was surprised to know that the income of a farmer in Rajasthan was approximately Rs 6,000 at times. It was a jolt for me, as we pay large amounts in cities for our fresh vegetables and dairy products. Agriculture is a labour-intensive field and dependent on Nature.

In Numaligarh, which is a small town in Assam famous for its refinery, villages did not have street lights and toilets. The refinery helped them with solar lights, gas and toilets. As it was close to the forest, they even needed an elephant watch tower, infrastructure for school, looms for the weavers, and more. However, a corporate only allots a certain budget per annum for CSR.

From what I gathered, Rang De has created a network of on-ground partners who are in touch with natives struggling to generate livelihood the year through, whatever the means and skills available. To help them in this endeavour, citizens can give financial aid, as per their means. Unlike NGOs, this is not charity. IT IS A LOAN, for which the investor gets a full report, and also earns credit. For the native, this is the financial investment that helps him generate income that aids him or her to break the vicious cycle of poverty and alleviate the quality of their life. There is transparency on the financials and the investors are regularly informed on the progress and financial aspect of their investment. Even something seemingly as small as Rs 100 goes a long way, as this is a collective pool.

Looking at the recent data, only 12.8% of the individual population has access to credit facilities.

You can read the story behind Rang De on the About Us section. The founders, Ram and Smita, were inspired by Prof. Yunus of Bangladesh, who started a Grameen Bank with $27. He won the Nobel Peace Prize in 2006 for addressing economic access to the people living below poverty line. In 2000, after a stint at Oxford, they wanted to come back to India and do something meaningful in the social spaces. Banks don’t consider the small-time farmers/artisans/students viable investments, but a collective group of citizens can make the change and also get returns on their investment.

To understand this in a personal interaction, Rang De’s website has the option of registering for a one-on-one with the founder. I did that and was introduced to Ram. “This is a loan. It’s not a charity, it’s not a donation. So, you’re investing in someone who is engaged, that means it’s full of livelihood activity. And this person is working hard at repaying your loan,” he explains on the chat.

 As the loan payment comes every month, the investor gets links to see the financials. “We’ve completely organized on-ground partners, who target the well-being of communities. They invest in creating or sustaining the livelihoods for the country. We implement our partners’ efforts to aid the change in their livelihoods. There is regular monitoring to ensure that the money is used for enhancing or creating a livelihood.”

I browsed through the website to find that impact partners across the country. There is a separate section of individuals, success stories and what’s coming. There is a page where you can see the social investors as well. Rang De is also open to referrals for onboarding impact partners and they have an online form for that.

My suggestion: open the website, study all the pages, read the FAQs and register for the interaction with the founders. It is worth your time and effort.

This post is part of Blogchatter’s CauseAChatter.

This post is a part of Blogchatter Half Marathon 2023.