We often hear arguments that digital payments are crucial because they create a 'data trail,' while cash is 'invisible,' thus hindering access to credit. This is a powerful and valid point, but my fieldwork suggests that for millions of household enterprises in India's informal economy, the reliance on cash is far more strategic and complex than simply a 'cash habit.' To understand this, let's look at Amit. Amit is a 21-year-old artisan from Bagru, Rajasthan. He's a digital n

I recall a fascinating encounter during a market research assignment some years ago with an entrepreneur who ran a fleet of concrete trucks, financed through Sundaram Finance. The defining feature of this relationship wasn't just the capital provided; it was the profound sense of partnership. As he shared, Sundaram Finance was "invested in his success." They understood that loan recovery required active support to keep his vehicles operational. This commitment extended beyond

For decades, development organizations have viewed the informal economy as a problem to be solved through formalization . The conventional wisdom suggests that by integrating informal businesses into the formal system—through bank loans, GST registration, and legal contracts—they can unlock growth, stability, and prosperity. But what if this approach fundamentally misunderstands the artisans it aims to help? My ongoing research in Bagru, a renowned hand block printing cluster

Fabric being dyed at cloth production unit The answer lies in examining the social and economic context within which the artisan operates, the business models adopted, and their skill levels. Economic Context Crafts in India have evolved specialisations and the production is distributed. When I say distributed, I mean that an individual or household does not produce an item fit for market from end to end. The individual or household may engage in only one part of the producti