Different Forms of Microfinance

Instructions and help about Different Forms Of Microfinance

Madhuka Kumari took out a loan from a microfinance company. She pretty quickly became unable to make the $30 monthly payments on those loans. And when she fell behind, she started getting visits from loan officers, and they became increasingly aggressive, demanding their money back. Ultimately, it led Kumari to attempt to commit suicide. She poured kerosene over her head and set herself alight. Microfinance was the development world's attempt to help do away with poverty by giving small loans to people in the developing world. In much of the developing world, people don't have access to capital. They call them unbanked because they can't get bank accounts. So, it started with this kind of noble aspiration. It began as a charitable endeavor and it has since morphed into something quite different. In many societies, it's doubly hard for women to get access to financial services. And microfinance was seen as a panacea in terms of targeting women in particular. What we found was a network