Introduction

Micro Finance is the provision of a broad range of financial services such as deposits, loans, payment services, money transfers and insurance to poor and low-income households and their micro enterprises. The poor need a diverse range of financial instruments to be able to build assets, stabilize consumption and protect themselves against risks. It is achieved through investing money received through micro finance with or without the help of NGOs in business depending upon their capacity and capability. Investment in business is expected to provide consistent financial support to the poor through the return from such investment. Micro finance is provided only to those who come into groups (Self Help Groups).. Government organizations like NABARD, SIDBI and RMK play greater role in providing micro finance and livelihood finance. It is expected that micro finance can help the poor to increase income, build viable businesses, and reduce their vulnerability to external shocks. Researches and studies show that there is need for deepening / new product / different model for micro finance as the existing level has not helped them sufficiently to come out of poverty.

The Department of Commerce, School of Management of Pondicherry University organized two International Conferences on Micro Finance during January 2008 and January 2009 with different focus. These conferences provided insights on the existing micro finance and the need for bringing researchers and practitioners under one roof to discuss ways for improvements and sustainability of micro finance for community development. These conferences were supported by NABARD, SIDBI, Indian Overseas Bank and other Micro Finance Institutions.

Dr. K. G. Karmakar (MD- NABARD), Shri. S. A. Bhat (CMD-IOB) Mr. Malcolm Harper, Mt. Aloysius Fernandez (ED- MYRADA), Mrs. Vijayalakshmidas (CEO -FWWB), Dr. Gouri Shankar (Director - Standard Chartered Bank), and Mr. Baskaran (CEO- IIBF) were the notable experts who attended these conferences.

Conferences helped the participants to understand the role played by Micro Finance in poverty eradication and evaluated the performances over the period. Two Edited volumes of ninety selected papers were published. Report with resolutions was sent to various agencies including planning commission, Reserve Bank of India and Ministry of Finance, Government of India for the policy direction. Field visit to self help groups, SHG’s product expo were the added features of the conferences.

Department of Commerce, Pondicherry University has decided to hold this meet of researchers and practitioners every year during January to deliberate on the development in micro finance industry and help the researchers and policy makers to reorient the research and policy depending upon the need. Third three days International conference on Micro Finance would be held during 22-24 January 2010 as a step towards to make Pondicherry University as a centre for World Forum for Micro Finance.