Microfinance - a path to independence
In our world, there are still people working in slavery-like conditions, with too low wages and very little free time. Microfinance means that a person can borrow a small amount, a micro-credit, to finance the start-up of a small business or an education. These micro-loans are interest free, repayable according to individual payment plans at a slow pace, as entries allow.
Muhammad Yunus
Muhammad Yunus was born on June 28, 1940 in Chittagong. He is a banker and economist from Bangladesh, Grameen Bank founder and inventor of the microcredit concept. Along with the bank, Yunus was awarded the Nobel Peace Prize 2006. Muhammad Yunus lends money to the poor to finance small businesses, so they are able to support themselves and their families economically. He is well known for organizing groups of borrowers in Bangladesh, which has joint liability. These systems are successful projects that create security and stability in the groups. |
Microcredit compared with traditional aid
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