‘Youth involvement important’

Sanjeevi Jayasuriya

It is important for the youth to be involved in the process of development. The skills and professional entrepreneur development will fuel the country’s rapid economic growth by producing employable youth.

This is critical and needs to build capacity towards end goals, Hatton National Bank Marketing and Retail Banking Deputy General Manager and Banking with the Poor Network Chairman, Chandula P. Abeywickrama told Daily News Business.

Micro finance is not lending to poor people. It is extending finance for micro finance opportunities. The skillful knowledge is the first capital asset and financial capital needs to be combined for better results, he said.

The entrepreneurship skill development and micro finance is two sides of the same coin. It should go hand in hand. The country has not given due attention to skill capital. The micro finance industry during its four decades has not been developed enough and a holistic approach is needed for the industry to move forward.

The micro finance industry is built upon three pillars, namely, availability of financial service, accessibility and affordability. Micro finance has been used as a major tool to empower poor people economically and thereby alleviate poverty.

Micro finance has come to forefront as a critical solution for this. Several measures have been taken to provide financial education to the poor people thereby making them more responsible and accountable, he said.

The financial discipline is vital for banks and financial institutions and knowledge given is essential to achieve financial discipline. There are many tried and tested micro financial models in Asia.

Micro finance has now become the broader concept of financial inclusion. This is wider access to financial services for poor people and it is not only finance but other services such as savings and insurance.