ibnlive » India

Jan 06, 2010 at 10:32am IST

Made in Bihar: Bank of the kids, by the kids

Patna: An unique bank run by children and for the children in Bihar allows poor children to save money and gives them soft loans to start small enterprises.

Ashna become a saviour of her family after her father suffered from spinal cord disease and his shop was on verge of closure after the children's bank, Bal Vikas Khajana, came to her help

The 16-year-old Ashna managed to get a soft loan of Rs 2,500 on her own credential and her father's shop is now up and running.

Ashna got the loan from the children's bank being run in Muzzafarpur district of Bihar.

"Our shop had shut down and I could do noting to save it. I decided to reopen the shop by taking a loan from Bal Vikas Khajana. My father can now make tazias," says Ashna.

Bal Vikas Khajana is a small cooperative bank, which is run by children for children.

The bank lends soft loans for starting small enterprise to child labourers, rag pickers or those working in factories

"We give loan and advance loan. We give two types of loans. One is for welfare and the other is for development," says Bal Vikas Khajana Branch Manager Mohammad Karim.

"Whatever money I earn a part of it goes to my mother and the rest is deposited in the bank," says rag picker Mushkan.

The smile and confidence on the faces of the children assures that the tribe of kid depositors would surely grow by leaps and bounds.