August 5, 2012 in Daily Bulletin
Would the financial crisis have happened if kids were in charge of our banking system? Well if The Children’s Development Khazana continues to grow we might eventually find out. France24 reported on a bank run for and by kids:
- The first branch opened in New Delhi in 2001. Now there are 12 in the capital of India, and another 300 in locations as far as Nepal, Bangladesh, Afghanistan, Sri Lanka and Kyrgyzstan.
- The banks are run for street children so that they have a place to put their money where they can be confident that it won’t be stolen. This encourages them to save and invest.
- The ‘branches’ are located in children’s shelters.
- Every six months account holders elect two child managers for each branch.
- To qualify for an account, children can’t make money from begging or drugs.
- Savings with the bank earn 5%.
- The only time an adult is involved is when the money is deposited in a nationalized bank at the end of the day.
To read more including the legality of child labour in India, the people who started the bank, what one 14-year-old manager has to say about those who put money in the bank, the stories of children who use the bank, what they plan to do with their savings, the number of clients a bank may serve, what the branches look like, and how it helps children build a stake in their own future, click here.