Fusion Microfinance is a microfinance company in India, with a network of more than 520 branches across 18 states, serving approximately 1.6 million customers. The company provides small-ticket loans (average $400) to women in rural and semi-rural India to finance microbusinesses. Since these borrowers typically lack the credit histories or collateral required of traditional bank loans, microfinance loans are offered through a group lending model, through which women form groups and guarantee each other’s loans, allowing borrowers to leverage their social and community networks. This allows the women to borrow at interest rates that are much lower than the other informal sources. Fusion has a social vision and business orientation that aims to provide underprivileged women with economic opportunities to transform the quality of their lives. The company has organized financial literacy programs designed to educate clients on topics such as household budgeting, saving, debt management, and investment. Supporting the Digital India Initiative, Fusion conducted a digital literacy program to introduce cashless payments, including digital payments, linking the Aadhar card (Indian citizen ID card) to phone and bank accounts, and debit and credit card use.
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