 From the Editor..The Rotary Foundation Leader of the Pack Over the Top A Proposal to establish a "thrift bank"Foundation Alumni Resource Group Rotarians also LaughClub Service - RC Diliman's Twin Jewels |
Proposal: Thrift Bank for the Hardworking Poor
by PDG Oscar "Oca" Inocentes, trustee, Foundation for the Rotary Soup Kitchen, Food Bank & Training Center, Inc.
For over 10 years, we have been involved in the program to help the needy of Quezon City, particularly the disadvantaged children of Payatas. We helped set up the Foundation, which established the Rotary Soup Kitchen, Food Bank, Skills Training, Health Care Clinic & Functional Literacy Center at the National Government Center Housing Project in Brgy. Commonwealth, Quezon City. The center is a four-story concrete building made possible by marshalling volunteerism among Rotarians, Rotary clubs and districts of the world, particularly those in Japan, Australia, New Zealand, USA, Canada, Hong kong, Korea and Taipei. Here, we teach the poor to help themselves...and the rich to help the poor, implementing the adage that "if you give a man a fish, he eats for one day, but if you teach him how to fish, he will be able to eat for the rest of his life."
We realize that we should do more to really empower the disadvantage children and their families to be productive so they can live with dignity, confidence and self-respect.
It is our VISION to establish a "thrift bank" for the "hardworking poor" where the borrowers have nothing more than industry and "palabra de honor" (word of honor) as credentials. The proposed bank shall specialize in micro finance, to be able to help those whom other banks are unwilling to lend money to for lack of collateral. The proposed bank shall help only the poor who are hardworking.
What are the capital requirements to establish a micro finance-oriented bank in the Philippines?
For thrift bank within Metro Manila - P 325 million or US$6 million.
For thrift bank outside Metro Manila - P 52 million or US$1 million.
For rural bank outside Metro Manila - P 5 million or US$100,000
How do we propose to fund this proposed bank?
An NGO or generous Rotarians may be "encouraged" to invest/provide a grant, of US$6 million for a thrift bank in Metro Manila or US$1 million outside Metro Manila, or US$100,000 for a rural bank outside Metro Manila to established this proposed bank. The sponsor/investor shall continue to own the "investment" and he/she/it will nominate the members of the board of directors which will run and operate the proposed bank. The proposed bank shall be managed by retired bank officials who have the expertise to run and operate a micro finance-oriented bank and who shall be encouraged to serve without compensation.
Before granting any loan, the proposed bank shall employ community organizers and social workers who shall check on a borrower's credit standing with other trading partners and on his overall reputation in the community. This "social investigation" shall also check id the borrower will use the money for business and not just to buy a refrigerator or fund a wedding reception. The proposed bank shall not only be in the lending business, but also in the business of building one's dignity, industry and sense of "pakikisma" (cooperation). This mission is based on the belief that it is useless to give someone money if he is not known to be hardworking. In other words, the proposed bank shall benefit the "working poor."
The establishment of this proposed bank shall demonstrate Rotary in real action of helping the working poor to help themselves.
Since the proposed bank shall accept deposits and shall engage in other normal banking business, it shall earn income which will then support the programs and projects of the Rotary Soup Kitchen, so that the Foundation can continue serving the "hardworking poor" of Quezon City for many, many years to come.
The contact person for this project is Judge Lorenzo B. Veneracion, a member of WCS Resource Network Specialists of R.I., 1998; charter president of RC Quezon City North, and president and executive trustee of the Foundation for the Rotary Soup Kitchen, Food Bank & Training Center, Inc. He may be contacted at Tel. (+62-2) 939-8288 and e-mail: judgelore@rotarysoup.org / rotasoup@edsamail.com.ph URL: www.rotarysoup.org.
Discuss this article here
