An exploration of the financial practices of tribal communities in Jhabua, India

ABSTRACT

Tribal communities of India have been facing financial challenges for many years, and these have increased alongside commercialisation led by industrialisation. The major reason for this is that tribal communities are neglected by the state, which has had a negative impact on their livelihoods and financial status. The state has made some attempts to promote these communities, but these have been unsuccessful. Against this background, this article explores the financial practices of tribal communities in Jhabua district of Madhya Pradesh, India and presents a microfinance model which could be suitable in the Jhabua context.

En Inde, les communautés tribales sont confrontées à des difficultés financières depuis plusieurs années, et celles-ci ont augmenté en même temps que la commercialisation entraînée par l'industrialisation. La cause principale de ce problème est la négligence de ces communautés par l'État, dont l'impact est négatif sur leur subsistance et sur leur situation financière. L'État a lancé quelques initiatives pour valoriser ces communautés, mais celles-ci ont échoué. Dans ce cadre, cet article examine les pratiques financières des communautés tribales sises dans le Jhabua, district du Madhya Pradesh, et présente un modèle de microfinance qui pourrait être adapté au contexte du Jabhua.

Durante muchos años, las comunidades tribales de India han enfrentado diversos retos financieros; éstos se han ido incrementando en sintonía con la comercialización impulsada por la industrialización. La razón principal que dio lugar a esta situación es que dichas comunidades han sido abandonadas por el Estado, lo que ha producido un impacto negativo en sus medios de vida y su situación financiera. El Estado ha impulsado sin éxito algunas acciones destinadas a promover a estas comunidades. Tomando en cuenta esta realidad, el presente artículo examina las prácticas financieras llevadas a cabo por las comunidades tribales del distrito de Jhabau, en Madhya Pradesh, India, y presenta un modelo de microfinanzas que puede resultar adecuado para el contexto de Jhabua.

KEYWORDS:

• Labour and livelihoods – Microfinance, Migration
• Environment (built and natural) – Agriculture
• Social sector – Education, Health
• South Asia

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Samapti Guha is a Professor at the Tata Institute of Social Sciences, Centre for Social Entrepreneurship, Mumbai, India.

Hemangi Patel is a Consultant, Aranca, Mumbai, India.

Nadiya Parekh is an Independent Researcher, USA.

Notes

1 1 hectare = 3 bighas.

2 Weather insurance deals with changing climatic trends. It covers the diminished agricultural output due to changes from optimum weather requirement of a crop within a specific location and specified time period. It is based on the fact that weather conditions affect crop production even when a cultivator has taken all the care to ensure good harvest.