A success story of Konoklota Mahila Urban Co-operative Bank Limited

Mrs. Purnima,( Bahana College, Jorhat)

Women have been regarded as the nuclei of nation and the builder and moulder of its destiny, But all women of our country are not free from their problems and are deprived from economic independence. Due to lack of education and poor economic condition they are more vulnerable in comparisons to urban women. In the present age when “Human development” and “Inclusive growth” are the buzzwords, any development Strategy is important for the economic strength of women, both urban and rural. The socio-economic rural of women must be taken onto account and their participation ensured in the whole framework of development. Indian women are also steadily moved from the status of housewives to educated, employed and women entrepreneurs.

Konoklota Mahila Urban Co-operative bank of Jorhat is a financial institution which is taken a prominent part in upliftment of economic status of women. In 1998 few enterprising women of Jorhat by able guidance of a very dynamic lady Mrs Lakhimi Baruah [ M.D, KMUC Bank] took initiative for establishment of a women bank in jorhat District of Assam namely Konoklota Mahila Urban Co-operative Bank Limited which is the only women bank in Assam exclusively run women only and meat for women. The bank was registered on 22nd may, 1998 under Assam Co-operative Societies Act 1949 and RBI has granted licence to the bank on 16th February 2000 to commerce banking business under the New Mahila Urban Co-operative Bank Policy 1989-90. In this way this bank has started its journey to offer banking services to the needy poorer section of the society and them aware of their fundamental right to live respectfully in the society, the has now constructed its own building which is funded by M.P.s fund and voluntary donations of dividends by the share holder members.18 women employees of the bank are the main strength of this bank whose whole efforts is the reason is the reason for success of the bank. The board of the bank comprises of 12 elected members among which two members are professionals, Mrs Shakuntala Devi the chairperson is helping the bank by her able guidance. In the spam of 10 years KMUC Bank has encompasses a wide range of areas of shareholders whose member exceeded over six thousand.

The highest share value is Rs. 25,000/- and lowest share value is Rs.100/- At present the working capital of the bank is over Rs.5.00 Crorers.

The area of operation of KMUC Bank is confined to the urban semi urban and rural areas of Jorhat district. The bank has its head office at Gar-Ali and branch at Jorhat Unnayan Bhawan, Gar-Ali and Mariani, Recently the area of operation of the bank is extended to its adjoining district Sivasagar and Golaghat. Future plan of the bank is to open branches at Sivsagar and Golaghat district.

The bank is funded so far by.

  • NEDFi-Equity partner of Rs. 5,00,000.00
  • SIDBI-Borrowing Rs. 80,00,00.00 Grant Rs.13,70,000.00
  • RMK-Refinance of Rs.13,40,000.00

The amount mentioned above is successfully implemented under microfinance schemes and in turn bank is also returning the dues per schedule. Recently KMUC bank has applied for Microfinance scheme for OBC under central government scheme through NEDFi.

Some of the special features of the bank are.

  • To encourage thrift, self help and co-operation among members.
  • To collect and transit money and securities.
  • Membership and lending of the bank is strictly for women only whereas. All Commercial banking services are open to all.
  • Promoting and financing self help group.
  • Dividend on shares as per rules.
  • Credit at a reasonable rate
  • Deposits are covered by deposit insurance and credit Guarantee Corporation.

Some of the schemes of the bank are, daily deposit scheme, recurring deposits scheme, re-investment plan, Pariwar Kalyan Nidhi, Different types of loan like demand loan term loan, cash credit, overdraft facilities are also provided to the needy women. Recently short term loan of Rs.5000/- with 15% interest was introduced which is of quite help to the women because it is given without any securities.

Microfinance provision of the bank is quit helpful to the street vendors. Who are informal part of the informal sectors. They are the micro traders who have been providing goods and service from a particular place to other. KMUC Bank is helping these women to persure better field of activities. Some street vendor who at first borrowed Rs.500/- from the bank is now become credit worthy for Rs.10,000/-, Rs.15000/- loans to do their business.

KMUC Bank gives loans to the self help groups of urban as well as rural areas. About 315 SHG are getting benefit from this bank. Most members of the SHG are engaged in various activities like agriculture, epiculture, food processing, Piggery, Poultry, Goatery, Knitting, Cutting & and weaving and integrated fish farming. The bank and development block jointly give necessary rating on performance management and conduct of the SHG groups and after getting good rating these groups can avail revolving found of Rs. 10,000/- in the initial stage. In course of time District Rural Development Agency grants subsidy under SGSY Scheme. In such cases bank sanctions loans for an economically viable project to the extent of Rs. 2,00,000/-.

Individual loans are also doing very well for themselves. For example one borrower of the bank is doing business of supplying gas cylinders to Hospitals and nursing homes and returning the principal amount along with interest in stipulated time period.

The bank authority also organizes training programme from time to time for the group regarding the account maintenance and how to handle the group members and keep accounts regarding deposits and recovery of loan from their own members.

As a bank of co-operative sector it is function in a progressive way and offered dividend to the shareholders as per RBI guidelines. Board meeting of the bank is held every month where pros and cons of the functioning of the bank is discussed and steps taken for the improvement of the bank.

Transparency is maintained in auditing system of the bank. Accounts report of concurrent audit, internal and accounting of the bank is very clear. At the end of each financial year the bank account are audited by statutory auditor and the audited balance sheet and profit and loss account is published in a local news paper for publicity.

Since its inception KMUC Bank is functioning successfully even though most of its clients & shareholders are from lower section of the society having very poor economical background. As the motto of the bank is to organize ‘Self Help’ instead of profit it seems that the bank is successful with its own mission. The role played by KMUC Bank for upliftment of the economic status of women and empower them socioeconomically is very appreciable. This bank is trying to enhance women entrepreneurial activities and to empower them economically so that can contribute more overall development of the society.

List of Holidays 2018
Welcome to the only women bank in Assam

Annual Report 2016-2017

Annual Report 2015-2016

Comparative Position 2017

P & L A/C as on 31-March-2016

B.Sheet as on 31-March-2016

P & L A/C as on 31-March-2017

B.Sheet as on 31-March-2017


Small Savings Schemes


Success Story


Sahid Konoklota Baruah


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