Solar Entrepreneur Shines Light on Rural Transformation
On a hot afternoon in rural Bihar, the steady hum of a water pump breaks the silence across cauliflower fields. Devki Devi operates a solar-powered irrigation system that now serves 112 farmers across 36 acres of land, providing her with a stable income while transforming agricultural practices in her community.
What makes Devi's story remarkable isn't just her entrepreneurial spirit, but the network of support that made it possible. Strangers in Bangalore offices and Mumbai high-rises, scrolling through profiles on Rang De's online peer-to-peer lending platform, chose to invest in her vision.
Bridging India's Financial Divide
In a country marked by significant economic inequality, where large corporations frequently default on loans while millions remain excluded from formal banking, Rang De has built an innovative bridge between individual lenders and underserved borrowers. Last month, this unique crowd-lending platform achieved a significant milestone: total disbursements of Rs 100 crore.
Over the past 15 years, this hybrid model blending philanthropy, social enterprise, and finance has enabled approximately 11,000 lenders to connect with 28,000 borrowers. The platform maintains an impressive default rate of less than 0.31%, demonstrating both the reliability of borrowers and effectiveness of their screening process.
"We are appealing to anyone who wants to invest in a fellow Indian," explains Smita Ram, Rang De co-founder who launched the platform with her husband in 2008 after returning from the UK. Their vision was both simple and revolutionary: enable ordinary Indians to lend directly to underserved borrowers nationwide at fair, non-predatory interest rates.
Beyond Financial Returns: Creating Social Impact
The average interest rate on Rang De loans stands at 8% per annum, significantly lower than what most informal lenders charge. "People do get financial returns, but that is not the focus. People who are participating on the platform are really interested in change," adds Ram, who operates from Bangalore.
Rang De views credit not merely as a financial transaction but as a tool to restore dignity and create opportunities for those excluded from formal financial systems due to systemic barriers or gender bias.
Despite India's economic progress, most Indians still rely on friends, family, or predatory moneylenders for urgent credit needs. Many lack necessary documentation like pay slips, income proof, or established credit histories that would grant them access to formal financial institutions.
Meanwhile, a growing number of urban Indians seek meaningful ways to participate in creating positive social change but often don't know where to begin or whom to trust.
Real Stories of Transformation
Rang De's lender community spans from senior citizens to students, with investments starting as low as Rs 500. The loan requests provide a window into the realities of everyday India:
- A Telangana dairy farmer needs Rs 1 lakh to purchase buffaloes and expand operations
- A Rajasthan woman operating a successful grocery store seeks less than a lakh to diversify into cosmetics
One particularly impactful initiative followed the Supreme Court's ban on hand-pulled rickshaws in car-free Matheran. Rang De enabled 462 social investors to collectively raise Rs 53 lakhs, helping rickshaw pullers transition to e-rickshaws. Last year, approximately 18 rickshaw drivers upgraded to e-autos in the dusty Maharashtra hill station.
The platform partners with local NGOs and social enterprises for grassroots connectivity. Devki Devi connected with Rang De through the Aga Khan Rural Support Program, while the e-rickshaw project was facilitated by Caring Friends.
For women like Devki Devi, who married at 15, raised three children including one with developmental disabilities, life was once a constant struggle for survival. Today, she and countless others are breathing new life into their dreams, supported by a community of believers who've never met them but invested in their potential.
