One Million and Beyond

Microcredit Campaign

By Matt - Thursday, November 2nd, 2006

I read an interesting article on Yahoo! about the Microcredit campaign going on world wide and the idea of the project struck me as brilliant. Essentially people participating in this campaign provide really small loans to people for businesses in the poorest regions of the world. They target regions and people who are making less than $1 per day.

Getting a $100 loan for a business venture in a poor region can spur the economy of the area and help those people and businesses improve their status and that of their region. For me this is the equivalent of the long tail for the financial world. Most financial institutions wouldn’t consider a $100 loan a big risk and they still make their interest. This way I can see them pushing out hundreds of these loans and making more in the long term versus a larger loan that might fail.

I just wanted to post up the link; great idea in my opinion.
Microcredit campaigners claim success in helping world’s poorest

Technorati Tags: Microcredit Campaign, Investments, Global Economic Development, Finance

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