1. Developing Countries
Necessary for GDP Growth
FOOD
KENYA
HOUSES

2. Globalization: Poverty or Prosperity?

3. A new way to fight global poverty
MICROLOANS
A new way to fight global poverty

4. Microcredit
Microloans allow poor people in developing countries to borrow small sums of money
Loans usually range from $10 - $1,000
Interest rates range typically between 20% - 70%
Originated in Bangladesh
Muhammad Yunus won Nobel Peace Prize for developing Micro-Loans
Founded Grameen Bank

5. Grameen Bank Founded 1973 in Bangladesh
Has distributed 6.55 billion USD
7.34 million borrowers (97% women)
Over 90% repayment rate!

6. Video on Microfinance

7. BENEFITS Allows new businesses to start
Establishes credit for future loans
Empowers women as head of the household
Helps developing countries slowly industrialize

8. COSTS Some women depend on loans for household expenses
Scams- abuses do occur
Some foundations use excessive interest rates
Could become entrapped in debt

9. Organizations Kiva Namaste Direct Unitus Grameen Bank (Village Bank)
Companies and Charities:
Kiva
Namaste Direct
Unitus
Grameen Bank (Village Bank)
Muhammad Yunus’s Bank
YOU can lend
Money!

10. Economic Analysis of Microloans
FOOD
KENYA
HOUSES

11. Bibliography http://www.microcreditsummit.org/Aboutmicrocredit.htm