Microcredit Paragraph in English | Learning The Easy Way

 


Microcredit:
Microcredit means a small size of loan that is given to the poor for self-employment. It is also known as microloan. Bangladesh is called the country of the Microcredit revolution. The Microcredit revolution started among rural poor and landless women in 1970. Microcredit plays a significant positive role in empowering rural women. In the Microcredit system, service providers go to the doorsteps of the poor people. It is given with minimum paperwork. It is free of collateral. Its recovery rate is above 90 percent. All loans are to be paid back on a weekly or fortnightly basis. Despite some limitations, Microcredit has been accepted as an effective tool for poverty alleviation and development approach.


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