Providing Microcredit In The Global South: Good Or Bad?
Presenter: Greg Holloway
Microloans are small loans that are issued by individuals rather than banks or credit unions. These loans can be issued by a single individual or aggregated across a number of individuals who each contribute a portion of the total amount.
THE GOOD: Empower women to support themselves and families? Helps daughters remain in school? May limit child marriage & overpopulation? Supports small farming (by men and women).
THE BAD: High interest rates. Debt traps. Strengthen patriarchy if women repay men.
THE UNSURE: Microcredit helps micro savings? Enables microfinance services? Builds community savvy?
Positive views from microcredit NGOs: Discussion at www.microcreditsummit.org/what-is-microfinance.html or from individual webpages
Critical views appear on blogs http://blog.microfinancetransparency.com/ or opinions https://opinionator.blogs.nytimes.com/2011/01/31/when-microcredit-wont-do/