Padmaja Reddy A Pioneer in Microfinancing

Driving financial inclusion through Spandana and Keertana.

Padmaja Reddy, Founder, Spandana Sphoorty Financial Limited and Keertana Financial Limited

Padmaja Reddy hails from a serene village near Guntur, where her parents, both dedicated farmers, instilled in her a profound work ethic and passion. Encouraged by her elder brother, who pursued a career in medicine after college, Padmaja embarked on her educational journey, eventually earning a Master's degree in Business Administration. This academic pursuit led her to an NGO, where her interest in humanitarian work blossomed. Through her unwavering dedication and natural leadership, she quickly rose to the position of Deputy Director, showcasing her commitment and abilities.

During her tenure with this NGO, Padmaja encountered a pivotal moment that changed her perspective. A chance encounter with a ragpicker piqued her curiosity about the economics of their trade. She discovered the staggering costs borne by the ragpicker, including an exorbitant rent of over Rs. 50,000 for a pushcart over 14 years, which costs just Rs. 1,500, and an interest of Rs. 1,50,000 on a loan of Rs. 300. This realisation stirred her compassionate heart and keen business acumen, prompting her to take action.

Recognising the transformative power of access to capital, Padmaja offered a small loan of Rs. 2,000 to the ragpicker, catalysing a remarkable change in his life. With this modest investment, the ragpicker was able to purchase their own cart and operate without the burden of exorbitant rent and predatory lending practices. This success story spread rapidly, sparking a wave of demand from other marginalised individuals seeking similar opportunities.