Lakhimi, the Managing Director and the Founder of KMUCB, says,
“Many women in rural parts of Assam are economically not self-reliant yet. Even if they have money, they still lag in proper utilisation of that money. One of the prime reasons is lack of saving opportunities in rural areas. Even if there are saving mechanisms, many rural womenfolk are not aware of them. Financial institutions do not reach out to them. Lack of education might have contributed to the lack of awareness of the importance of saving their hard-earned money.”
With all these thoughts in her mind, Lakhimi thought of an all-women bank to address their problems.
Lakhimi Baruah started the Konoklota Mahila Urban Cooperative Bank in 1998 in Jorhat, Assam, to make women from underprivileged backgrounds financially independent and secure.
Lakhimi Baruah started the Konoklota Mahila Urban Cooperative Bank in 1998 in Jorhat, Assam, to make women from underprivileged backgrounds financially independent and secure.
Almost seven years ago, Babila Bora, a 55-year-old woman, lost her husband. She was left with three daughters to look after, no money, and no source of income. It was during that time that a neighbour told her about Konoklota Mahila Urban Cooperative Bank. The very next day, Babila went to Jorhat, to the bank’s head office, and met Lakhimi Baruah. Babila explained her situation to Lakhimi and requested a loan to tide over the situation. Without too much paperwork and formalities – a necessity in commercial banks – her application was approved and her loan of Rs 25,000 was disbursed. Babila used the money to start a small grocery shop and helped her daughters complete their education.
Babila and many other women like her have been helped out of the dire straits they were in by Konoklota Mahila Urban Cooperative Bank (KMUCB). The bank was started in 1998 in Jorhat, Assam, by Lakhimi Baruah with only one vision: to make women from underprivileged backgrounds financially independent. KMUCB was the first all-women bank in Assam.
How did it all start?
Lakhimi was born in the small village of Jorhat, Assam. She had to drop out from college in 1969 due to financial constraints in her family. She got married in 1973 and went on to complete her graduation in 1980 after she started working in a bank.
“It was during my work at the bank that I realised how deprived and illiterate women cannot reap the benefits of banking services,” she says.
In 1983, Lakhimi started a Mahila Samiti in Dakshin Sarbaibandha area of Jorhat district. She worked closely with economically backward women. “Even though the women were generating income, they did not have any saving habits mostly because they were illiterate and did not want the hassle s of paperwork,” she says.
