Muhammad Yunus, founder of Grameen Bank, has explained
Increasing state control over Grameen Bank will not serve Bangladesh’s best interests
After nearly four years of bitter conflict, in 1995 the small Balkan country of Bosnia became the location for an experiment in the operation of a microcredit-driven post-war reconstruction and development program.
The concept of microcredit — tiny microloans used to help establish or expand income-generating informal microenterprises — was for most of the last 30 years seen by the international development community to be the perfect self-help answer to poverty, unemployment and under-development.
Group-based microlending is not a new concept. Jonathan Swift inspired it in Ireland in 18th century. In the then East Bengal, Nobel Laureate Rabindranath Tagore (also a landlord) and Leonard Elmhirst (an agricultural economist) set up Rural Reconstruction Institute in 1921
A piglet’s journey to market in October, 2010 helped expose the other face of microfinance that promised to make poverty archaic. A bdnews24.com/Reuters news report, datelined Vladivostok, Oct. 15, said: The seven-month old piglet’s journey to holy market was to pay off a woman’s micro debt of $432 to a bank in Russia, part of… Read more »